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Australia data centre inquiry finds inadequate checks, stops short of moratorium
The inquiry urged stronger planning controls and said 23 recommendations are needed as more than 60 data centres operate or are being built in NSW.
On Thursday, a New South Wales parliamentary inquiry released a report criticizing the state's fast-tracked planning regime, finding that data centre approvals failed to consider cumulative impacts on water, electricity, and infrastructure.
Committee chair Abigail Boyd warned of an "AI-fuelled data centre frenzy," dubbing the Investment Delivery Authority a "tech bro concierge service" after the state government took an "entirely backwards" approach to planning.
Among 23 recommendations, the report urged requiring data centres to supply 100 per cent renewable energy hourly, though Public Accountability and Works Committee members voted 6-1 to remove a proposed moratorium on approvals.
Australian Writers' Guild chief executive Claire Pullen told the inquiry that "AI data centres will be used to host these models and this data made from my members' stolen work," amplifying creative industry concerns.
With more than 60 data centres operating or under construction in NSW, a government spokesperson said findings reflected prior consultations and argued the industry supports renewable energy investment, making a moratorium "not the answer.