The Victorian government has unveiled what it calls the “strongest, clearest data centre rules in the country”, including a ban on facilities being built within 150m of homes, schools and childcare centres, and a requirement to generate renewable energy.
But for residents of Spotswood, where a $1.47 billion, 240MW data centre has been proposed, the new protections may have come too late.
Sydney-based technology company Greensquare, which was acquired by a Swiss private equity firm last year, applied to build the facility through the Victorian government’s fast-track planning process.
The proposed site in the small suburb, about 7km south-west of Melbourne’s CBD, is as close as 100m to residential areas and a childcare centre.
Under the newly announced rules, the proposal would likely be rejected. However, the changes will not apply retrospectively, meaning applications already lodged can proceed under the existing arrangements.
That leaves the Spotswood proposal potentially unaffected by the new protections.
For long-time residents Peter and Laura Russel, who have been campaigning against the development, this is difficult to accept.
They believe approvals for data centres should be put on hold until the new rules take effect.
“If the government now says data centres should be kept away from homes and childcare centres, what happens to the new Greensquare proposal?” Laura told Information Age.
“I’ll be furious if Greensquare is approved before these new protections come in. If the government believes these rules are necessary, why wait until 2027?”
However, the campaigners may have secured a victory, with reports that Greensquare withdrew its Spotswood proposal.
The public consultation process is expected to be reset if, or when, the application is resubmitted.
The rumours
For the Spotswood residents, the campaign began with a rumour circulating on a local community Facebook page.
Residents had started hearing whispers that a large data centre was being planned for their small Melbourne suburb.
A page on Greensquare’s website detailing a planning application for the facility was subsequently shared in the group.
For many, it was the first they had heard of plans for a $1.47 billion, 240MW data centre in their neighbourhood.
The community has since rallied in opposition, raising concerns about the facility’s proximity to homes and childcare centres, its enormous electricity requirements, noise and environmental impacts.
Spotswood has become another flashpoint in the growing community opposition to data centre developments, as state governments move to fast-track projects and capitalise on the significant economic opportunities they promise.
The dispute highlights the challenge facing governments as they attempt to balance the economic benefits of data centre investment against the environmental and community impacts.
‘Flat out do not want this’
Greensquare initially submitted its data centre application to the local council before withdrawing it and later resubmitting it through the Victorian government’s fast-track planning approval process.
The process removes the council from the decision-making process and eliminates the ability to challenge a planning decision through the Victorian Civil and Administrative Tribunal (VCAT).
In its application, Greensquare described the facility as “critical digital infrastructure in a highly suitable industrial location” that would “not result in material detriment to any person.”
It argued the development “will deliver significant economic, infrastructure and public realm benefits through the redevelopment of a large, long-vacant and underutilised industrial site for critical digital infrastructure within the Spotswood Industrial Precinct.”
