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Victoria calls for halt to data centre approvals — ABC News Australia

Fedir Kryshtovskyi 29 October 2026 20:17
Victoria calls for halt to data centre approvals — ABC News Australia

The Municipal Association of Victoria (MAV), which brings together all 79 local councils in the Australian state, has called on authorities to introduce a moratorium on approvals for new data centres and expansions of existing facilities. The restrictions are proposed to remain in place until a comprehensive system of urban planning and environmental rules is developed, ABC News Australia reports.

Local councils’ decision

The relevant resolution was adopted at the October meeting of the MAV State Council, the association’s governing body, which includes delegates from every council in the state. The association also supported a separate demand to strengthen regulation of the social, economic and environmental impacts of data centre operations. Local authorities have expressed concern about such facilities’ use of land, energy and water resources.

MAV President Jennifer Anderson said the decisions had strengthened the position of municipalities and enabled the association to represent their interests before the state and Australian governments. Eight councils, including Melbourne, Geelong, Maribyrnong and Hume, brought the issue of data centres to the October meeting. Earlier, the councils of Melton, Brimbank, Maribyrnong and Hume had separately called for an immediate moratorium on approvals for such facilities.

More current news is available on the UA.News Telegram channel Telegram.

Land and powers

The City of Greater Geelong warned that large-scale data centres could delay residential and industrial development needed for growing communities. This year, NextDC purchased 169 hectares of land in Lovely Banks, in the Northern Geelong growth area. The site had previously been earmarked for the construction of more than 2,000 new homes under a plan to reduce the city’s housing shortage. Construction of a NextDC data centre is already underway in neighbouring Corio.

MAV also criticised the state’s Development Facilitation Program, which allows companies to apply for planning approval directly to the planning minister rather than local councils if a project is considered significant for economic development. Last month, the Victorian government announced new rules for data centres that prohibit their construction near homes and schools and require the use of renewable energy and non-potable water.

Ahead of the Victorian election, an opposition representative said that under a Liberal and National Party government, data centres would not be built in residential areas, next to them or in green wedge areas. The Greens called for a moratorium on all new artificial intelligence data centres and compensation for communities affected by such projects.

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