Queensland and NT reject Labor’s push to ensure that power-hungry AI datacentres use renewable energy

Federal-state stoush comes as rating agency warns that electricity bills could skyrocket

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Queensland and the Northern Territory have rejected the federal government’s plans to mandate that AI datacentres use renewable power, rubbishing Anthony Albanese’s proposals to regulate the booming technology as “underdeveloped ideas that hand increased power to Canberra”.

The latest federal-state stoush on energy comes as S&P Global, the economic rating agency, warns that power use from datacentres could rise five-fold by 2035 to 10% of Australia’s total consumption, and that a mismatch between delivery timelines for datacentres and renewable projects could lead to energy bills skyrocketing.