The Victorian Greens say new warnings that the rapid expansion of AI data centres is putting pressure on housing and driving up construction costs show the Allan Government must immediately halt approvals for new large-scale AI data centres.
It comes after Transport for NSW, the Reserve Bank and economists warned the explosion in AI data centre construction is competing with housing for land, workers and resources, risking higher inflation and making it harder to build the homes Australia desperately needs.
The warning comes after technology giant NEXTDC purchased $165 million worth of land previously earmarked for thousands of homes on the outskirts of Geelong.
The Greens say Victorians are already struggling through the worst housing affordability crisis in generations and Labor should be prioritising homes, not hyperscale AI infrastructure for multinational tech corporations.
The Victorian Greens say that Jacinta Allan's Labor Government is rolling out the red carpet for big tech corporations and are calling for a moratorium on all new large-scale AI data centres until Victoria has proper planning rules that protect water, energy, biodiversity, cultural heritage and local communities.
As stated by Greens MP for Western Victoria, Dr Sarah Mansfield:
"Everyday there's a new problem when it comes to data centres and this is exactly why Jacinta Allan's Labor Government shouldn't be recklessly rolling out the red carpet for them before considering any of the repercussions.
"Labor is choosing big tech over everyday Victorians. We're told that while there's not enough builders, enough land, or enough money to build the affordable homes we need, Labor can wave through these hyperscale AI data centres that compete for all three."
"Victorians shouldn't be competing with multinational AI corporations for homes, clean water or reliable energy. Labor's data centre obsession is a disaster in the making and that's why the Greens want an immediate pause on new large-scale AI data centres until proper safeguards are in place."