Australian outback data centre pulls timeline after regulator stalls

The regulator overseeing Australia's biggest planned data centre has delayed setting environmental parameters, forcing the developer to scrap its initial target start date. Energy North, a startup planning a gas and solar-powered data centre in the country's remote north, had initially slated June 28, 2028, for "first power." However, the Northern Territory environment regulator suspended its seven-week deadline to decide project requirements, prompting the developer to retract its timeline.

Energy North vice-president Daniel Hunter stated that the June 2028 date was just an indicative schedule and the company is no longer working to it. The project, the largest in Australia to delay its timeline, underscores the challenges facing data centre investments in the isolated north, which aims to attract AI investment despite competing against major cities.

The Territory relies on its vast uninhabited land, abundant sunshine, and a significant shale gas reserve for backup power. Despite this setback, Energy North remains committed to confirming its new timeline once the regulator outlines terms for an environmental impact statement. The regulator's decision to seek federal government advice reflects the complexities involved in developing AI infrastructure projects in Australia.