Archive · 5 Aug 2026
Australia's data centres must be majority renewable powered, minister says
Australia wants big computer buildings, called data centres, to use mostly clean energy like sunshine and wind.
A new rule says data centres must get most of their power from renewable sources.
One place, the Northern Territory, wants to build a very big data centre near a city called Darwin.
It plans to use gas from rocks deep underground to power the building.
Australia's energy boss, Chris Bowen, says this plan does not match the new rules.
A company wants to build the centre and says it could bring lots of money to the area.
Gas can still be used a little bit, like a backup when the sun is not shining.
Australia is trying to make less pollution by the year 2035.
That is why leaders want clean energy for new buildings.
Australia's Energy Minister Chris Bowen said proposed national standards will require new data centres to be majority renewable powered.
Bowen said a data centre proposed to run only on gas would not meet minimum national standards and would not be allowed to register.
The Northern Territory awarded 185 hectares near Darwin to Beetaloo Digital for a 2-gigawatt data centre to be backed by shale gas from the Beetaloo sub-Basin.
Beetaloo said the data centre could attract up to A$40 billion ($28.17 billion) in private investment.
Bowen said gas could play a "firming" role backing up intermittent renewable supply, but should remain mostly dormant.
- Who
- Australia's Energy Minister Chris Bowen; Beetaloo Energy and its subsidiary Beetaloo Digital, developing the proposed Darwin data centre
- What
- Proposed national rules requiring new data centres to be majority renewable powered, clashing with the Northern Territory's shale-gas-backed data centre plans
- When
- Wednesday, Aug 5 (Bowen's remarks); the Northern Territory awarded the land last month
- Where
- Canberra, Australia; the data centre site is near Darwin in the Northern Territory, with gas planned from the Beetaloo sub-Basin
- Why
- To enforce renewable energy standards and help Australia meet its 2035 emissions reduction target
Renewable mandate
Gas-backed data centres
Power source for new data centres
Renewable mandate
New data centres must be majority renewable powered and build new renewable sources rather than pull electricity from the grid; gas-only proposals will not be allowed to register.
Gas-backed data centres
Northern Territory and Queensland back gas-fired power for data centres, arguing gas provides firm generation capacity that complements the Darwin Energy Hub's planned solar and battery storage.
Emissions targets vs. investment attraction
Renewable mandate
Reports suggest Australia may miss its 2035 emissions reduction target even before counting large new projects, so gas-heavy data centres add risk.
Gas-backed data centres
Beetaloo says the data centre could attract up to A$40 billion in private investment, supporting the Northern Territory's ambition to draw major tech spending.
- Data centre capacity
- 2 gigawatts (Beetaloo Digital project near Darwin)
- Land awarded
- 185 hectares (457 acres) near Darwin
- Potential private investment
- Up to A$40 billion ($28.17 billion)
- Projected gas use
- About 200 terajoules of gas per day per gigawatt of power
- Comparison project
- Shell's Queensland coal seam gas project: 84 TJ of gas a day
- 2035 emissions target
- 62% to 70% reduction over 2005 levels
- Announcement date
- Wednesday, Aug 5