MATTERS OF PUBLIC IMPORTANCE
Mr WILKIE (Clark) (15:51): I thank the member for Warringah for bringing this matter of public importance before the House. It's a timely debate about a matter on which this federal government appears to be slow off the mark. Yes, the government has laid out five expectations for data centres, but the government really should be going much further and establishing clear rules and limits which prioritise Australia's environment and national interests and provide a reasonable return for the Australian community.
I'm not against data centres in principle—not at all—because housing data centres in Australia has the potential to be a really good thing. They are the engine of much of the digital world, underpinning the operation of things like cloud computing and, of course, artificial intelligence. The fact is that Australia already has about 162 operational data centres, with at least another 90 in the pipeline.
In fact, Australia is consistently recognised as one of the most attractive locations for investment in data centres, and many companies want to build here because we're close to the growing demand in South-East Asia. We've got a lot of land, significant renewable energy potential and relative geologic, economic and political stability. Moreover, if we plan it right, being a significant centre for this infrastructure could actually provide us leverage and even some steps towards digital sovereignty in what is an increasingly competitive and sometimes dangerous global AI race.
It also brings investment, economic activity and jobs, though the number of long-term jobs is obviously considerably less than during the brief construction phase. But the truth is that, at the same time, there are also a lot of reasonable community concerns about the proliferation of these centres, not least to do with the environmental impact they have, consuming vast quantities of power, water and land as they do.
Indeed, by some estimates, by about 2030 data centres in Australia will use about as much energy as all the homes in Victoria. Without additional energy in the grid and renewable energy in particular, emissions and power prices will rise. Data centres also use a significant amount of water.
While they may not use as much as some industries, on the driest inhabited continent on Earth any proposal placing additional pressure on water resources does need to be scrutinised and managed carefully. There are also concerns about lack of proper community engagement and a lack of consideration about the long-term economic return to the community. The centres are increasingly big and sometimes pretty ugly.
They can be noisy and could impact power prices, land prices, local water resources and the general amenity of communities. There's a reasonable expectation on the part of communities that proponents should be made to demonstrate that all these concerns will be addressed before approvals are granted. These facilities are not being built in a vacuum.
They rely on Australian land, Australian infrastructure, Australian energy networks and Australian water resources. Increasingly, they are being developed by some of the largest and most profitable multinational corporations in history, so it is entirely reasonable for Australians to ask: what are we getting in return? Our return should include requirements to invest in additional renewable energy generation, contribute to local infrastructure upgrades, support skills and training programs, and provide other direct benefits to the communities hosting these developments.
For, if we roll out the red carpet without demanding proper safeguards and dividends, we risk giving away too much for too little, and that's a habit in this country. We do it with too many industries, and, once they're in, it's hard to roll anything back. That's why the government's current political approach feels inadequate.
We need a framework that recognises the opportunities and the risks—one that welcomes investment but on our terms, one that encourages sovereignty and economic growth while ensuring that environmental impacts are properly managed and that communities have a genuine say in developments that affect them, one that secures a fair return for Australian people from the use of our resources and infrastructure.
Data centres will undoubtedly play a major role in the economy of the future. I think it's right we build them, but that means we should be paying closer attention and setting stricter limits on how they are built, where they are built and under what conditions they are built. Frankly, the Australian people expect their government to plan ahead, to set clear rules and to stand up for the national interest.
When it comes to the proliferation of data centres, that means ensuring that growth is sustainable, communities are respected and the public receives a fair return on the investment.