Queensland will be allowed to power data centres with coal or gas. Prime Minister Anthony Albanese and the state premiers met as National Cabinet in Sydney on Wednesday to set national standards for the boom in AI halls, and Canberra blinked. The federal government had wanted new large centres to underwrite extra renewable generation. Queensland Premier David Crisafulli had said energy sources should be “technology-neutral.” After the meeting he called the carve-out a “good win” for a state that owns much of its own electricity system. The Northern Territory, which also wants gas, got the same recognition.
Albanese said both jurisdictions were in a “different position” to the others. He still claimed “buy-in on Australia’s first national AI laws,” and said the new standards — covering energy, water, land use, and community consultation — would be legislated early next year. South Australian Premier Peter Malinauskas rejected the idea that the prime minister had been rolled, and said leaders were aligned that data centres should add to the grid without wrecking the national energy market. “What we agreed upon is that renewables will principally be the form of energy that will power data centres in the future in Australia,” he told 7.30. The communique talked about consistency for investors, sovereignty, and national interest. It did not restore the renewables mandate Energy Minister Chris Bowen had said he would legislate over the top of holdouts.
The numbers underneath the argument are not small. The Australian Energy Market Operator said Tuesday that data-centre electricity use on the National Electricity Market — everywhere except Western Australia and the Northern Territory — is expected to rise sevenfold in ten years, from about 3 percent of the grid now to around 13 percent by 2036, roughly what New South Wales and Victorian homes use together. There are already more than 200 centres. Opposition energy spokesman Dan Tehan said Albanese had “clearly been rolled.” Greens Senator Sarah Hanson-Young said Labor had “opened the door to more gas, more pollution and a fossil fuel free-for-all.” Crisafulli’s line, from state parliament on Tuesday, was simpler: “We should choose the energy mix, not a minister in Canberra who is driven by ideology.”
National Cabinet also agreed that Australian citizenship will be a condition of holding a firearm licence, with some exceptions. A national gun buyback after last December’s Bondi attack barely moved: Queensland is still out, Victoria and South Australia have not signed up, and Albanese said the offer was “still there.” Bird flu, now detected in all six states, got another $125 million. GST was left alone. The fight that actually changed on Wednesday was over who gets to burn what to keep the servers on.
Sources: ABC News.