Australian politicians and datacentre executives say public opposition to new AI datacentres is being amplified by US debates and social media, arguing Australia’s facilities are smaller and more tightly regulated. The backlash has nevertheless become a national issue in 2026, prompting protests, calls for a moratorium, government inquiries and efforts to regulate datacentres’ use of energy and water.

Industry representatives cite about 252 datacentres and 1.4 gigawatts of capacity in Australia, compared with roughly 5,400 facilities and 53.7 gigawatts in the US. Critics note that Australia has nearly one datacentre per 100,000 people, compared with 1.5 in the US, while rapidly expanding projects include proposed facilities of 2.4 gigawatts near Melbourne and 2 gigawatts in the Northern Territory.