Anthony Albanese is set to crush any state attempting to go rogue on the AI data centre boom, locking leaders into a single national framework at the upcoming National Cabinet this Wednesday.
The Prime Minister will seek cooperation from state and territory leaders on the Government’s new national standard for AI, including minimum obligations for data centres around water and energy usage as well as training regarding copyright, security, and safety.
His AI policy point-guard Andrew Charlton argued the rules will reassure communities’ worries and confirmed the standards will be mandatory rather than voluntary amid friction with Queensland and the Northern Territory over gas usage as an energy supply.
It could lead to a showdown as Northern Territory Minister Josh Burgoyne has warned against Commonwealth “overreach” and Queensland Premier David Crisafulli has publicly refused to back down on gas power.
Speaking in Perth on Tuesday, Mr Charlton said a nationally consistent approach to data centres was essential despite admitting it was an infrastructure area traditionally controlled by states and councils through planning laws.
“Uniformity is very valuable in this space. Why? Because it’s new. Because data centres are cropping up all over the place,” he told ABC radio.
“The Prime Minister has said that Australia will, in a world first, set rules for these large AI data centres.
“Those rules are going to National Cabinet this week for the first time and they will be legislated in due course. These will be new mandatory rules.
“Data centres cannot take more power from the grid than they give back. Data centres cannot affect people’s access to water. Data centres cannot take land that is required for, for example, housing.
“These are the first rules in the world that will put national consistency around data centres. And Australia is showing real leadership here through the Prime Minister.”
Energy Minister Chris Bowen on Tuesday quashed debate about whether nuclear could be used as a power source for data centres, labelling it a “pipe dream” while insisting renewables will be Australia’s pathway to become an artificial intelligence hub.
It comes as the Coalition has previously called for nuclear energy to be considered to help support Australia’s energy intensive data centres, insisting it would help capture investment rather than Mr Bowen’s demands tech companies BYO renewable energy.
Shadow energy minister Liberal MP Dan Tehan said it was a missed opportunity if Labor refused “all due to Chris Bowen’s ideology”.
“Why don’t we just lift the ban? If it works, if you have AI data centres wanting to come here and put small module reactors in place . . . they are emissions free,” Mr Tehan said on News24.
“Just lift the ban. Let’s see.”
While Australia has had a prohibition on nuclear power generation since the 90s — which Coalition have called to be removed — countries like the US are exploring if small modular reactors can bolster grid capacity for data centres.
Speaking in Perth on Tuesday, Mr Bowen shut down the idea of lifting the nuclear moratorium to let the market decide if it was worth the cost to establish reactors.
“This is a pipe dream,” the Labor frontbencher said.
“These data centres are coming now. A nuclear power station takes 20 years.
“We are focused not on distractions like nuclear, which is the most expensive form of energy and the longest to deploy.
“And I see Mr Tehan out there talking about small modular reactors.
“There isn’t a small modular reactor operating anywhere in the world outside China and Russia. Nowhere.
“We’re focused on the practical, common-sense reality, which is renewables backed by gas firming.”
Mr Bowen reminded his shadow minister Mr Tehan, that it was under John Howard’s leadership of a former Coalition government that nuclear power was banned.
Mr Albanese travelled to Sydney after hosting his Federal Cabinet in Perth on Tuesday morning to address the Business Council of Australia’s annual dinner.
Mr Albanese was expected to use the speech to declare that Australia can “do more to unlock frontier AI development in Australia” but insisted that the path forward needs to maintain a “social license”.
“AI adoption will continue to grow as business builds and tests newer capabilities and frontier AI capabilities accelerate,” the PM is expected to say, according to speech excerpts.
“We must shape this change to harness the positive opportunities while minimising the downsides.
“But maintaining social licence will be essential. That means ensuring energy bills do not rise, water security is maintained and locations are appropriate.”
Mr Albanese will argue Australia must turn attractive investment settings into a national “comparative advantage”, and will add that progress in AI could help the nation see off the “populist challenge”.
“Getting this right can ensure Australia is the infrastructure partner for our region, aided by our status as a Five Eyes partner,” he stated.
“It will advance our national sovereignty, and it is essential for our national security, business productivity, science, innovation and resilience.”
The other items on the agenda at National Cabinet will be action on sexual violence, the response to the growing H5 bird flu strain, the national gun buyback following the Bondi Beach terror attack and fuel supplies.
Mr Albanese had declared he wanted sexual violence to be a central topic during his last question time in Parliament sitting last week.
He said Australia had zero tolerance for sexual violence in Australia and said consultations were underway for the second National Plan to End Violence against Women and Children.
His speech came in the wake of alleged sexual assault reports linked to the Sydney Swans AFL club during an away game in Melbourne.
“In every single case of violence, my thoughts are with the women involved. That includes the cases of sexual violence that, tragically, we have heard about again in the media this week,” he said.
“Every woman and every girl has the right to feel safe and must be safe at all times — in our workplaces, in our schools, in our sporting clubs, in our homes and in our communities.
“Many members of this Parliament have been involved in the consultation process on the second National Plan to End Violence against Women and Children.”
The meeting in Sydney is expected to assess progress on special national cabinet commitments, including verifying the impact of 500 Commonwealth-funded frontline workers.
“That will form the next critical step towards the second national plan. This will be absolutely critical,” Mr Albanese said.
Get the latest news from thewest.com.au in your inbox.
Sign up for our emails