Politics

The tussle over Australian datacentres is just beginning – and it’s been far from easy so far | Tom McIlroy

The Guardian Australia - Australian Politics · 29 August 2026 at 1:00 am

The tussle over Australian datacentres is just beginning – and it’s been far from easy so far | Tom McIlroy

As he negotiates Australia’s AI future, the prime minister is under pressure from leaders of conservative states and territories Australian Politics podcast: Who actually benefits from new datacentres in Australia? Get our breaking news email , free app or daily news podcast Tucked away at the end of a media release from the Australian Energy Market Operator this week was a data point worthy of national attention.

Releasing its annual snapshot of electricity supply and demand, the regulator revealed consumption by datacentres in Australia was forecast to increase from about 3% of all electricity supplied through the national grid today to about 13% by 2035.

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The tussle over Australian datacentres is just beginning – and it’s been far from easy so far | Tom McIlroy

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