Queensland Premier David Crisafulli is Set to Clash With Federal Labor Over Data Centre Energy Policy and GST Distribution
The Australian Financial Review
ENRICHED
Details
- Date Published
- 23 Aug 2026
- Priority Score
- 2
- Australian
- Yes
- Created
- 24 Aug 2026, 02:01 am
Description
Under Labor’s policy set to be legislated early next year, all next-generation data centres such as those that train and power artificial intelligence agents will be required to use renewable electricity.
Summary
This report highlights a burgeoning conflict between the Queensland state government and the Australian federal government over energy mandates for high-compute infrastructure. The proposed federal policy requiring next-generation data centres to use 100% renewable energy and contribute net-positive power to the grid directly impacts the physical layer of frontier AI development. While the debate is framed through domestic politics and energy security, it underscores the infrastructure constraints that could dictate the scale and safety of AI model training within Australia. The outcome will likely influence Australia's sovereign AI capabilities and the regulatory environment for large-scale AI agents.
Body
PoliticsFederalNational cabinetPrint articleRonald MizenPolitical correspondentAug 24, 2026 – 5.00amQueensland Premier David Crisafulli will firmly reject federal Labor’s push to force large data centres to use renewable electricity when he meets with Prime Minister Anthony Albanese at national cabinet this week, laying the groundwork for a stoush with federal Labor.Under Labor’s policy set to be legislated early next year, all next-generation data centres such as those that train and power artificial intelligence agents will be required to use renewable electricity and add more power to the grid than they consume.Loading...SaveLog in or Subscribe to save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? LoginLicense articleRead MoreNational cabinetAIAnthony AlbanesePolitical leadershipGSTChris BowenDavid CrisafulliData centresFetching latest articles