A national renewable energy plan for data centres has been rejected by the Northern Territory who say they do not need it.
NT Minister for Mining and Energy Gerard Maley claims the plan from Federal Energy Minister Chris Bowen demonises data centres.
“These facilities are critical to the digital services Australians use every day, can help deliver sovereign digital capability in Australia and have the potential to bring more jobs to the Territory,” he says.
“New data centres should not be put at risk by minister Bowen’s draft policy,” he says.
Maley wants data centre operators to be encouraged to set up in the Territory.
“Data centres should be encouraged to develop in locations where there are no energy shortages and where there is capacity for growth; that place is right here in the Northern Territory.”
He says the Territory is in “a fundamentally different position to eastern states” when it comes to energy capacity, citing plentiful gas supplies and solar energy as factors.
“We can see why electricity grids in parts of the eastern states, which are already operating at capacity, pose an issue for large-scale data centre expansion,” he says.
“With access to solar energy and reliable gas generation, the Territory can provide the energy security these projects require without adding pressure on household and business consumers connected to the existing electricity grid.”
Maley says the Territory is not part of the national electricity market and claims that many of the large-scale data centre investors that they are targeting are looking at off-grid models powered by stand-alone electricity generation.
“That means these projects can support new generation investment without increasing pressure on electricity prices or grid stability for Territory consumers,” he says.
NATIONAL GAS SCHEME
Maley also claims that if the Commonwealth is serious about achieving a proposed 20% Domestic Gas Reservation Scheme, it should focus on unlocking new supply.
“The best way to achieve the Commonwealth’s 20% domestic gas reserve objective is to help pipe Beetaloo Basin gas to the domestic market,” he says.
“The Territory has the resources, the land and the potential to play a critical role in strengthening Australia’s energy security and growing our economy.”
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