Data Centres need more than planning approval
by Heather Campbell, Premier Strategy Manager
Australia needs data centres. Not only do they provide the computing power so many of us rely on every day, but they also enable world-leading scientific research, support defence and national security, and ensure critical data remains here, under Australian laws and control.
Accordingly, governments across Australia are creating more streamlined pathways to attract digital infrastructure investment and accelerate approvals.
However, faster approvals don't necessarily deliver public confidence.
In many cases, streamlined approvals reduce the influence councils and local communities have in the assessment process, creating a significant trust deficit. Communities feel they are being informed about decisions rather than involved in shaping them.
Developers are then left with an important question: is simply meeting the statutory requirements enough, or is there a case for going above and beyond?
I would argue there is.
Streamlined approvals make engagement more important, not less.
Planning approval may give a project the green light to move ahead, but it does not automatically deliver community consent and confidence. Community opposition to data centres is broadly driven by concerns about how decisions are made, who benefits, and whether local voices have genuinely been heard. Trust has to be earned through transparency, responsiveness and meaningful engagement long before shovels hit the ground.
That's why it was heartening to hear Victorian Minister for Artificial Intelligence and Digital Economy Anthony Carbines MP speak at Data Centre World earlier this month about the state's forthcoming rules and regulations for the sector.
Those expectations are now becoming clearer. Victorian Premier Ben Carroll has announced a Sustainable Data Centre Action Plan, which aims to provide greater clarity around sustainability, suitable siting, public benefit, and engagement with communities
This represents a significant shift in Victorian policy, sending a strong message to developers that successful projects are about more than technical details and the commercial case alone. Future projects will need to demonstrate need, justify location, explain how impacts will be managed or mitigated, and clearly outline how communities will be involved in decision-making.
As Australia continues to position itself to attract digital infrastructure investment, greater clarity around expectations, assessment and community considerations will be critical. Governments have a role to play in setting those expectations, and developers have a responsibility to go beyond them.