{"id":545972,"date":"2026-07-27T09:17:11","date_gmt":"2026-07-27T09:17:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/545972\/"},"modified":"2026-07-27T09:17:11","modified_gmt":"2026-07-27T09:17:11","slug":"govt-wants-common-sense-rules-around-big-data-centres-pm","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/545972\/","title":{"rendered":"Govt wants &#8216;common-sense&#8217; rules around big data centres \u2013 PM"},"content":{"rendered":"<p class=\"body-paragraph articleLinkText  [&amp;_p]:tit-sub-xl tit-sub-xl md:[&amp;_p]:d-tit-sub-xl md:d-tit-sub-xl mb-[1.3rem]\">The Government is working on a &#8220;compact&#8221; setting rules for hyperscale data centre operators wanting to build locally, with Prime Minister Christopher Luxon saying large facilities will need to bring additional power generation.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">It follows a call from the <a href=\"https:\/\/www.1news.co.nz\/2026\/07\/26\/greens-push-to-pause-big-data-centre-consents-pm-calls-it-alarmist\/\" target=\"_blank\" rel=\"nofollow noopener\">Greens to impose a one-year moratorium<\/a> on consents for new large-scale &#8220;AI data centres&#8221;, which have been divisive in communities locally and abroad.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Luxon said today he had directed Economic Growth Minister Nicola Willis and the Department of the Prime Minister and Cabinet to develop a set of principles, and that the Ministry of Business, Innovation and Employment had also been engaged.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">He said the Government wanted to involve energy companies, data centre operators, and other interested parties in shaping the rules.<\/p>\n<p class=\"text-greyDarkFaded\">Party co-leader Chl\u00f6e Swarbrick said a freeze was not a ban, as a &#8220;one-year pause gives us time to get this right, while National leader Christopher Luxon called it &#8220;alarmist&#8221;. (Source: 1News)<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;I want to be able to get all the interests that are in that space to come back with some sensible, common-sense rules. Essentially, a compact that we would actually say: &#8216;This is the deal by which you come into New Zealand if you want to build out a data centre&#8217;.&#8221;<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">A new 78,000 square metre AI-oriented data centre planned for Makarewa has <a href=\"https:\/\/www.1news.co.nz\/2026\/07\/24\/southand-community-has-questions-about-35b-ai-data-centre\/\" target=\"_blank\" rel=\"nofollow noopener\">drawn controversy with locals<\/a>. Using up to 280 megawatts of power, the facility was expected to be second only to the Tiwai Point smelter for industrial power usage nationally.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Speaking to media today, Luxon said large-scale data centres would need to demonstrate &#8220;additionality&#8221; to the electricity system, meaning they could not simply draw from the existing grid without contributing new generation capacity.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;It depends a little bit on size as to what would be needed in terms of additionality. But certainly large ones \u2014 absolutely \u2014 we need to make sure that there is additionality.&#8221;<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2026\/07\/an-early-artist-impression-of-datagrids-data-centre-in-makar-GEF66XDZRVFVDAMFMKMLLUI7KA.jpg\" alt=\"An early artist impression of Datagrid's data centre in Makarewa, north of Invercargill.\" width=\"800\" height=\"450\" loading=\"lazy\"\/><\/p>\n<p class=\"ImageMetadata__MetadataParagraph-sc-hi5x8q-0 cWTYyG image-metadata\">An early artist impression of Datagrid&#8217;s data centre in Makarewa, north of Invercargill. (Source: Supplied)<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">The Prime Minister said he had discussed the issue with Australian Prime Minister Anthony Albanese several months ago, noting the importance of the two countries presenting a consistent framework to global investors considering the region.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;If you&#8217;re looking at our part of the world, Australia and New Zealand, I think having some alignment between the two countries is kind of important in this space,&#8221; Luxon said.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Albanese had recently announced Australia would create new legal obligations for hyperscale data centres to underwrite additional renewable power generation, with a focus on not increasing power prices for consumers.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">His government had been courting artificial intelligence giants such as Anthropic, makers of chatbot Claude, into making investments to the tune of NZ$25 billion in Australia.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">The $1.6 trillion company, the most valuable of Silicon Valley AI startups, registered a local firm under the name &#8220;AI Infra NZ&#8221;, BusinessDesk and The Bottom Line <a href=\"https:\/\/businessdesk.co.nz\/article\/infrastructure\/anthropic-quietly-registers-new-zealand-company\" rel=\"nofollow noopener\" target=\"_blank\">reported last week<\/a>. <\/p>\n<p class=\"text-greyDarkFaded\">A group of university students took part in an experiment with ChatGPT.\u00a0 (Source: 1News)<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">The PM&#8217;s remarks today went further than his response yesterday to the Greens&#8217; call for a moratorium on hyperscale data centre consents, which he had dismissed as &#8220;alarmist&#8221;. <\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">While still rejecting a moratorium, Luxon acknowledged today the sector had begun to lose social licence in parts of the world, particularly North America. But, &#8220;putting a one-year moratorium in place sends a message to global investors,&#8221; he said.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;Sitting in Canada, thinking about, you know, where I might make that investment of the 195 countries that are out there, we want New Zealand to be a competitive position for that for that capital to come here,&#8221; Luxon said.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;We can find quite good bipartisan support for that going forward, but the answer is not to turn off investment before it&#8217;s even shown up in the country.&#8221;<\/p>\n<p>Greens say there must be &#8216;national conversation&#8217;<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Greens co-leader Chl\u00f6e Swarbrick announced the one-year pause pledge on Q+A over the weekend, framing it as a chance for a &#8220;national conversation&#8221; rather than a ban. <\/p>\n<p class=\"text-greyDarkFaded\">Swarbrick spoke to Q+A about the Greens&#8217; policy to pause new AI data centres consents for a year. (Source: Q and A)<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;This is not a ban on data infrastructure. It&#8217;s a pause on the most resource-intensive developments while New Zealanders get a say on what conditions they should meet,&#8221; she said in a media release accompanying the announcement.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;Let&#8217;s take a moment, let&#8217;s have a common-sense think about who they&#8217;re actually benefitting, and whether New Zealanders want them in the first place.&#8221;<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">She said the pause was not a ban, as a &#8220;one-year pause gives us time to get this right&#8221;.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Swarbrick said the country had never been asked whether it wanted the facilities at all, stating that New Zealanders were entitled to &#8220;a national conversation&#8221;.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;If we are going to let these things be built, we should at least understand who is benefiting and ensure we protect our natural resources and communities. That&#8217;s why the Greens are calling for a one-year pause, to allow intentional regulation to be developed.&#8221;<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Supporters of further investment argue New Zealand is unusually well placed to win a share of the fast-growing global market, pointing to renewable energy opportunities, cooler climate, fibre connectivity and stable business environment.<\/p>\n","protected":false},"excerpt":{"rendered":"The Government is working on a &#8220;compact&#8221; setting rules for hyperscale data centre operators wanting to build locally,&hellip;\n","protected":false},"author":2,"featured_media":545973,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,363,364,273,69543,11507,111,139,69,135,145],"class_list":["post-545972","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-environment","tag-green-party","tag-national-party","tag-new-zealand","tag-newzealand","tag-nz","tag-politics","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/545972","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=545972"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/545972\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/545973"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=545972"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=545972"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=545972"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}