The state government is pushing ahead to reap the \u201ceconomic benefits\u201d of artificial intelligence with a new strategy, as plans for multiple AI data centres in regional South Australia are announced.<\/p>\n
Premier Peter Malinauskas today released plans to lead the nation in AI infrastructure and development through the \u2018Data Centre Strategy\u2019, with the government estimating $850 billion would be invested in the sector over the next few years.<\/p>\n
\u201cAI represents the single biggest source of growth in the global economy. We are seeing billions and billions of dollars of capital flow into the AI opportunity in any number of different forms,\u201d Malinauskas said.<\/p>\n
\u201cWe need data centres in Australia. As a state, we\u2019ve got a choice to either embrace it and seek to utilise it where we can or let others have the opportunity and regret it later down the track.<\/p>\n
\u201cWhat we\u2019ve got a responsibility to do as a government is to make sure that opportunity isn\u2019t at the expense of our living standards but rather enhances it.\u201d<\/p>\n
The strategy follows recent announcements from IREN Limited, which would build an 800MW AI data centre in the state\u2019s Mid North town of Bundey.<\/p>\n
It includes the introduction of a Data Centre and AI Infrastructure Act to streamline data centre development, activating the Coordinator General to take over decision-making functions, deploy renewable energy to power sites, secure industry partnerships and scale AI research and development.<\/p>\n
It also outlines a dedicated planning pathway, with data centres designated as essential infrastructure with amendments made to the Planning, Development and Infrastructure Act.<\/p>\n
Applications for data centres must be submitted with advice from SA Water that there is sufficient water supply to meet requirements and a certificate from the Technical Regulator confirming it complies with the requirements of the state\u2019s power system.<\/p>\n
Minister for Energy and Mining Tom Koutsantonis said SA\u2019s \u201c$32 billion renewable energy pipeline\u201d would be used to power the data centres.<\/p>\n
Federal Grey MP Tom Venning claimed\u00a0that SA does \u201cnot have the reliable base load power that these data centres demand\u201d, and raised concerns about water usage.<\/p>\n
\u201cThe traditional data centre uses a lot of water, and in the driest state, in the driest continent, we cannot afford to be using our precious resource on data centres,\u201d Venning told InDaily.<\/p>\n
\u201cIREN has proposed a closed-loop cooling system in Bundey, and the permit must ensure that they stick to that.\u201d<\/p>\n
He was also worried that large-scale AI companies may not have to pay council rates, as many regional councils struggle with funding.<\/p>\n
\u201cMultinational companies are making hundreds of millions of dollars from Australian business, from Australian households, but they\u2019re not paying any council rates. That must change,\u201d Venning said.<\/p>\n
\u201cWe absolutely need to be at the forefront of this technology, but we\u2019ve got to do it right.\u201d<\/p>\n
In recent weeks, regional communities have expressed concerns over potential environmental damage and a lack of community consultation from the government over data centre proposals.<\/p>\n