Victoria’s Controversial Mega Datacentre Proposal Sparks Community Outrage

Ryan Patel, Tech Industry Reporter
6 Min Read
⏱️ 4 min read

A proposed mega datacentre in Plumpton, located 30 kilometres north-west of Melbourne, has ignited significant local dissent, with over 3,600 residents signing a petition demanding a comprehensive review of its environmental and social impacts. Syncline Energy’s ambitious plan, aimed at establishing a facility six times the size of Chadstone shopping centre, has become a focal point in the ongoing debate surrounding the rapid expansion of datacentres in Australia.

A Growing Concern

The site, currently an expanse of open land, is set to accommodate a datacentre capable of generating up to 2.4 gigawatts (GW) of power. This would surpass the output of Victoria’s largest power station, Loy Yang A. While the company has assured that construction will not commence for at least two years pending various approvals, the sheer scale of the project has already raised alarm amongst local residents.

Community dissatisfaction has been brewing for some time, intensified by the increasing number of datacentre developments across Australia. According to a report by Data Centres Australia, there are currently 30 operational datacentres within Victoria, with another 30 slated for development. This rapid growth has prompted concerns over environmental degradation, water and electricity consumption, and the socio-economic ramifications of such large-scale infrastructure.

Molly Walker, a conservationist who initiated the petition, expressed her concerns about the environmental footprint of the proposed datacentre. “How much is being taken away from the environment?” she questioned, reflecting a sentiment echoed by many in the community who feel the project threatens local ecosystems.

The Community Response

Residents like Karen Austria, an electrical engineer, fear that the industrialisation of their neighbourhood could adversely affect property values and overall quality of life. The perception that the western suburbs are being treated as a “dumping ground” for unwanted infrastructure is growing among locals. “They always say they can’t put datacentres out in the east because of the land. The west has these vast lands, and people there are likely to complain less,” she noted, highlighting a troubling trend of socio-economic disparity.

Moreover, the noise pollution associated with datacentres is a particularly pressing concern. Reports from similar facilities in the United States indicate that the constant hum of machinery can significantly disrupt local environments, further fueling community anxieties.

The Corporate Perspective

Phil Galloway, Managing Director of Syncline Energy, has asserted that the firm is committed to engaging with local stakeholders before submitting its application. He emphasised that the consultation process would extend over the next year, incorporating ecological surveys and cultural heritage assessments. Galloway believes that the scale of the project is essential for enhancing Australia’s sovereign AI capabilities and ensuring efficient land, energy, and water use.

He explained that the location’s proximity to the Melbourne airport flight path imposes restrictions that make residential development unfeasible, thus justifying the choice of site for such a large-scale project. Galloway also stated that the datacentre would incorporate sustainable technologies, including solar and wind energy, and contribute to local infrastructure through job creation and community funds.

However, local opposition is mounting. A Facebook group formed against the datacentre has amassed over 300 members, signalling a growing discontent that has reached local politicians. Federal MPs Alice Jordan-Baird and Sam Rae have publicly questioned how the project aligns with broader government expectations regarding datacentres and AI infrastructure.

The Bigger Picture

The rapid proliferation of datacentres is raising alarms among experts, who warn of potential ramifications for the nation’s energy and water resources. The NSW Net Zero Commission recently stated that the surge in datacentres could hinder the transition to a sustainable electricity sector. In response, various inquiries at both state and federal levels have been launched, with calls for a moratorium on new developments until clearer regulations are established.

The Australian government is currently working on a framework that would require large datacentres to contribute to new power supplies and ensure they do not deplete existing resources. Premier Jacinta Allan has touted Melbourne as a prime destination for datacentre investment, but this must be balanced against community concerns and the imperative for responsible planning.

Why it Matters

The controversy surrounding the Plumpton datacentre epitomises a larger struggle across Australia as communities grapple with the implications of rapid technological development. As demands for digital infrastructure escalate, the need for sustainable practices and genuine community engagement has never been more critical. The outcome of this particular project could set a precedent for how future datacentre developments are approached, reflecting a pivotal moment in balancing economic growth with environmental stewardship and social responsibility.

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Ryan Patel reports on the technology industry with a focus on startups, venture capital, and tech business models. A former tech entrepreneur himself, he brings unique insights into the challenges facing digital companies. His coverage of tech layoffs, company culture, and industry trends has made him a trusted voice in the UK tech community.
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