Australia’s Data Centre Expansion Sparks Community Concerns Over Displacement and Environmental Impact

During a town hall meeting organized by Greenpeace Australia Pacific at Lane Cove library, residents expressed surprise at being excluded from decisions about a new data centre precinct in their neighborhood.

One proposed facility would sit 16 metres from the nearest residence and 160 metres from a local primary school.

According to local councillor Flood, approval of four data centres in the industrial park would require 50% of existing businesses to relocate, potentially eliminating those jobs.

Felipe Tanaka, a manager at a business within the industrial park, confirmed he has been instructed to move operations.

“We never anticipated something like this would occur,” Tanaka told the BBC. “Thousands of jobs will disappear from this area within the coming years.”

While data centre construction can employ over 1,000 workers, research indicates operational employment typically drops to around 100 positions per facility.

“Our workforce of 300 to 400 employees includes many local residents,” Tanaka noted. “Relocation will likely cause half our staff to leave.”

NSW Treasurer Mookhey argues that the economic benefits come from business users rather than on-site employment, stating, “It’s encouraging to see Microsoft and Amazon investing in skilled operations here.”

However, the nature of jobs created and the actual purposes of these facilities remain unclear. Critics highlight that some AI applications consume energy equivalent to running a microwave for an hour per task, questioning the value proposition.

“They claim this is essential infrastructure for our community but won’t explain its intended use,” Flood said. “When vital resources like water, energy, and land are devoted to generative AI projects with questionable utility, it provides no return to the public.”

*Names have been changed to protect identities

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