The new Office of AI – announced today in a speech by Prime Minister Anthony Albanese – must enforce his directive that new Australian data centres bring additional renewable energy to the table from the get-go.
With the Queensland Government threatening to allow data centres to expand without any renewable energy requirements, posing significant risks to power bills and our climate, the new Office of Artificial Intelligence must ensure Australians do not pay the price for a state-by-state race to the bottom for data centre expansion.
Prime Minister Albanese’s announcement is a welcome step in ensuring the AI and data centre boom works in Australians’ interests – but how our new national standards are implemented will determine whether Australians are protected against hefty power price rises and worsening fires, floods and heatwaves driven by fossil fuels.
Climate Council CEO Amanda McKenzie said:
“The AI-driven surge in data centres will have a profound effect on our energy system, and unchecked, this growth could mean soaring prices and rampant climate pollution. The Government must adequately regulate data centre growth to ensure it occurs in the best interests of Australians.
“Today’s GenCost report shows us yet again that solar and wind are the backbone of the lowest-cost energy mix for Australia – but right now data centres could delay this shift.
“Australia is a very attractive location for data centre proponents, but it means that we need strong guardrails to protect our standard of living; we need these things to work for us.
“This means upholding Prime Minister Albanese’s pledge today that data centres match their energy demand with new renewables and storage to shield households and other businesses from increased costs. With power prices and climate pollution set to surge in the next decade without intervention, this must occur from the get-go.
“Accelerating the roll-out of proven renewable energy is the only way to keep prices as low as possible, ensure grid stability, and slash climate pollution to better protect our communities, economy and environment from worsening climate disasters.”
