Power-hungry data centres threaten Australia’s energy grid. Here are 3 steps to make them more efficient

Wed, 15 Oct 2025 04:34:13 +1100

Andrew Pam <xanni [at] glasswings.com.au>

Andrew Pam
<https://theconversation.com/power-hungry-data-centres-threaten-australias-energy-grid-here-are-3-steps-to-make-them-more-efficient-266992>

"The Australian Energy Market Operator estimates data centres will consume 6%
of Australia’s grid-supplied electricity by 2030.

To put that in context, that’s more than the current share of Australia’s
healthcare and social assistance industry.

This reflects the rapid growth of Australia’s data centre industry – the
backbone of artificial intelligence (AI). This growth is, in part, being driven
by multi-billion-dollar investments from major tech players including AWS,
Microsoft, CDC and NextDC. Atlassian co-founder Scott Farquhar has even
suggested Australia could become Southeast Asia’s data centre hub.

The federal government is also fertilising the data centre industry. In August,
for example, Treasurer Jim Chalmers announced the development of “national
interest principles on data centres” as an outcome of the economic reform
roundtable.

The power-hungry nature of data centres, however, poses major problems for the
current energy grid in Australia. But there are three steps Australia can take
to help power these facilities reliably and sustainably."

Cheers,
       *** Xanni ***
--
mailto:xanni@xanadu.net               Andrew Pam
http://xanadu.com.au/                 Chief Scientist, Xanadu
https://glasswings.com.au/            Partner, Glass Wings
https://sericyb.com.au/               Manager, Serious Cybernetics

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