호주 연방 당국이 기존 청정에너지 의무를 철회하고 신규 AI 데이터센터가 기존 석탄 및 천연가스 발전소에서 전력을 공급받을 수 있도록 명시적으로 허용했다.
It is official: Australia’s data centre boom will not be exclusively powered by renewables. At the National Cabinet meeting on Wednesday, 26 August, the federal government softened its stance on allowing coal and gas to power energy-intensive data centres. Initially, policymakers proposed requiring new facilities to rely on renewable energy, supplemented by battery storage and gas. Those requirements have since been revised. The updated standards, scheduled for legislation in early 2027, permit certain jurisdictions to utilize fossil fuels instead. Queensland and the Northern Territory have welcomed this policy shift.
In an increasingly digital economy, data centres form a critical component of infrastructure, operating around the clock to store and process information. They are essential to meet surging demand for generative artificial intelligence (AI), which underpins applications ranging from healthcare to journalism. However, both domestically and internationally, communities are raising concerns over the rapid expansion of these facilities. Local opposition frequently cites strained water supplies, reduced land availability for housing, persistent noise, and rising electricity costs. According to the Australian Energy Market Operator (AEMO), data centres are projected to account for 13 percent of national grid demand by 2035–36, a significant increase from just 3 percent in 2025–26.
State and federal leaders have agreed to establish mandatory standards for large-scale data centres, regulating their consumption of energy, water, and land. These frameworks will also address workforce development, including mandates for apprenticeships in construction and operations. Nevertheless, planning approval authority remains with individual states and territories. Uncertainty also persists regarding whether the proposed rules will apply to the more than 250 existing data centres currently operating across Australia, or solely to future developments. While the new standards represent progress, they leave notable regulatory gaps, particularly concerning state-level implementation.
Under the previous federal position, new data centres would have been required to fund grid upgrades, prevent upward pressure on household electricity bills, and procure additional clean energy rather than drawing solely from existing supply. The revised framework, however, grants carve-outs to Queensland and the Northern Territory, permitting continued reliance on coal and gas. Queensland maintains that its publicly owned electricity network enables it to manage cost and supply implications effectively. The Northern Territory argues it should retain access to local gas reserves, noting its exclusion from the National Electricity Market, which primarily serves eastern states.
From a technical standpoint, a jurisdiction-by-jurisdiction approach may be viable. Data centres require “firm” power—electricity available when renewable generation dips or faces disruption. AEMO identifies batteries, pumped hydro, and gas as viable firming technologies. Yet, these exemptions must not undermine national objectives to reduce climate emissions and maintain affordable energy. Effective enforcement is therefore paramount. New South Wales offers a relevant model: its policy framework rests on six core principles, emphasizing robust environmental and efficiency standards alongside a commitment to zero net costs for consumers and communities. Developers meeting these criteria qualify for a streamlined 75-day planning assessment. Non-compliant proposals are not automatically rejected but forfeit fast-track status, facing potential modification, conditional approval, or outright refusal.
To strengthen enforcement, Australia can draw upon international regulatory practices. The European Union mandates comprehensive energy and water usage reporting for major data centres and is developing a comparative efficiency rating system alongside minimum consumption thresholds. Similarly, Ireland evaluates new proposals against multiple criteria, including grid capacity and broader renewable energy targets. Domestically, Australia must prioritize transparent approval processes and public reporting. Equally important is sustained community engagement, beginning with early consultation. This ensures projects deliver tangible local benefits—such as shared energy infrastructure and structured apprenticeship programs—rather than merely expanding operational capacity.
Further research is urgently needed to assess how data centres impact water resources, peak electricity pricing, noise pollution, and emissions. Crucially, these studies must rely on verified operational data rather than developer-provided estimates. While the federal government has delegated greater authority to states and territories over data centre energy sourcing, rigorous enforcement remains essential. Only through strict oversight can Australia ensure that every facility keeps energy costs manageable, safeguards the environment, and delivers lasting value to local communities.
This article is republished from The Conversation under a Creative Commons license. Read the original article by Ehsan Noroozinejad, associate professor and global challenge lead, Urban Transformations Research Centre, Western Sydney University.