Australia is facing a massive expansion of AI Data Centres that threatens to derail the country’s shift to renewable energy, divert precious water resources and puts the country’s ability to act on climate change at risk.
There are very limited regulations in place for this high-risk industry and Australia has no tailored legislation that addresses the specific risks of AI data centres. Right now, we have an opportunity to influence the federal government's approach:
A federal senate inquiry into Artificial Intelligence and Data Centres is now underway and accepting submissions until this Friday 26th June.
Please make a short submission highlighting your concerns about the risks of AI Data Centres and calling for a moratorium by emailing [email protected]
You can draw on the following information and reports to inform your submission:
Key points and recommendations
Australia currently faces a massive expansion of AI Data Centres that threatens to derail the country’s shift to renewable energy, diverts precious water resources and puts the country’s ability to act on climate change at risk. This is being driven by the growth of generative and agentic AI.
Australia currently has no guardrails or tailored regulations in place to manage the rapid construction of AI Data Centres.
Without strict regulations for this high-risk industry, it is likely that Australia will fall prey to the same impacts on energy and water we are witnessing in other jurisdictions including the US, UK and Ireland.
Based on the research in the 2026 Greenpeace report Energy Vampires we are joining the call for:
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An urgent moratorium on data centre development until safeguards are legislated
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Binding, legislated standards for AI development, including substantiated claims of additional renewable energy
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Full disclosure of services delivered, emissions, finances and energy use, per project
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Full assessment of compliance with human rights frameworks
Australia is a drought-prone country. If AI Data centres threaten local water supplies, they should not be allowed to continue. The Australian government should introduce strict requirements for AI Data Centres to ensure water for human use, agriculture and the environment is not impacted.
Tips for your submission:
Provide clear facts and examples. See some below for inspiration and rewrite info in your own words.
Make your submission personal: if you live near a data centre proposal describe what the risk means to your community. If you’re angry about what it means for electricity bills, water and the climate, describe what those impacts mean for your, your family and community.
Key facts you can draw on:
The AI Data Centre Proposal in the Western Suburbs of Melbourne will have electricity demand larger than even the state’s largest coal fired generator.
Cloud Carrier has proposed building a 700 MW gas fired generator in Moss Vale, NSW which would become the second largest gas generator in the country solely for the data centre. According to Greenpeace, this could wipe out NSW entire projected emissions cuts for 2028.
Even if projects sign contracts with renewable energy it is likely that new demand will help keep fossil fuel generation, including coal and gas, online for longer, even if renewable energy grows. This will only push up greenhouse gas emissions and make climate change worse.
The Climate Council has shown that AI Data Centres risk driving a 26% increase to household electricity bills if projects are not 100% powered by cheap renewable energy.
A 2026 Report by Greenpeace Australia-Pacific found that data centres are already failing to cover their emissions, and that no data centre analysed in the report could adequately prove claims it was driving new investment in renewable energy.