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Premiers clash with Canberra over renewable rules for AI data centres at national cabinet

State leaders gathered with Prime Minister Anthony Albanese in Sydney, where the proposed renewable-energy standards for AI data centres are expected to dominate a packed agenda.

Premiers and chief ministers convened with Prime Minister Anthony Albanese in Sydney to discuss a crowded national cabinet agenda, with the most contentious issue being the Commonwealth's push for renewable-energy standards for AI data centres. The policy would require developers to provide their own renewable power, set limits on water consumption and mandate community contributions, prompting sharp criticism from Queensland and the Northern Territory, which accuse the federal government of constitutional overreach.

Energy Minister Chris Bowen said the government is prepared to legislate over state laws if needed and rejected proposals to power data centres with small modular nuclear reactors. The leaders will also receive a briefing on the H5N1 bird-flu outbreak now present in all six states, review fuel-security strategies amid ongoing disruptions, and consider a national gun-buyback that so far has only been adopted by New South Wales and the ACT. Cross-bench parliamentarians have urged Albanese to strengthen the Domestic, Family and Sexual Violence Commission, while a five-year plan to end violence against women and children is expected to gain consensus.

Why it matters

The outcome will shape Australia's energy policy for fast-growing AI data centres and affect state-federal power balances.

In this story

AI data centresrenewable energy standardsdomestic violence planbird flu outbreakgun buybackfuel securitystate-federal dispute
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