Canberra's data centre boom continues as officials reject development pause

More than a dozen data centres are currently operating in Canberra, and developers have lodged plans for a new 40-megawatt facility in Beard and a possible extension in Hume. CDC Data Centres, which runs eight sites and employs roughly 250 people, attributes its success to the ACT’s cool winters, abundant renewable electricity and close ties to the federal government. Unlike other regions where water-intensive cooling has provoked protests, ACT sites use closed-loop systems that avoid drawing on local water supplies, helping to keep community opposition low.

The federal government’s upcoming legislation will set national standards for large AI-related data centres, prompting some groups and the Greens to call for a development freeze. Chief Minister Andrew Barr, however, argues that the territory’s existing planning, environmental and utility regulations already align with the intended national rules and sees no reason to pause “responsible” growth. Industry leaders, including CDC’s Greg Boorer, view Australia’s political stability and Five Eyes membership as further incentives for continued expansion.