Data Centres vs Community: The Perth Council’s Brave Stand

The City of Stirling, Perth’s largest metropolitan council, is considering a motion that would make it the first local government in Australia to ban data centres in residential areas. Councillor Suzanne Migdale’s notice of motion seeks to reclassify data centres as “prohibited uses” under the local planning policy, citing their significant environmental footprints and detrimental impact on community amenity.

At first glance, this move may seem like a reaction to the proliferation of data centres in Perth. However, upon closer inspection, it becomes clear that Migdale’s concerns are well-founded. Data centres have brought energy consumption, water usage, noise pollution, and air quality issues to the region. Research has linked large data centres to community concerns around air quality, noise, water stress, and public health impacts.

The City of Stirling’s proposed ban is not just about aesthetics; it’s about preserving residential areas and protecting citizens’ well-being. As Migdale notes, data centres can create “impacts that are difficult to reconcile with residential amenity, local environmental management, and sustainable planning outcomes.” The implications of this motion go beyond Perth, serving as a warning sign for other councils across Australia to re-examine their policies on data centre development.

The federal government’s plans to introduce legislation around large AI data centres aim to set clear expectations for power and water usage. However, these rules do little to address the broader environmental concerns surrounding these facilities. The government’s emphasis on “common sense” and guaranteeing that power and water usage will not affect local communities rings hollow when weighed against the mounting evidence of data centre-related issues.

The story of GreenSquareDC’s withdrawn proposal in the City of Swan is a telling one. Despite significant community pushback, the company persisted with its plans for a $600 million data centre near the Helena River, ultimately withdrawing only after public outcry reached fever pitch. This incident highlights the disconnect between corporate interests and local communities.

The City of Stirling’s vote on Migdale’s notice of motion will be a litmus test for councils across Australia. Will they follow suit, prioritizing community concerns over corporate interests? Or will they opt to ignore the warning signs, risking further environmental degradation and social tensions?

As cities grapple with rapid urbanization and technological advancements, local governments must take a more nuanced approach to data centre development. By prioritizing community needs and environmental sustainability, we can create a better balance between economic growth and social responsibility.

The proposed ban on data centres is not about stifling innovation but about ensuring that progress doesn’t come at the expense of our communities. If approved, this move will send a powerful message to developers, governments, and citizens: that community concerns must be taken seriously, and environmental sustainability should always take precedence over corporate interests.

The stakes are high, and the outcome is far from certain. But one thing is clear – the City of Stirling’s decision will have a ripple effect across Australia, serving as a beacon for councils to re-examine their data centre policies and put people before profits.