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File image: Row of tall electricity transmission towers crossing flat arid landscape
✓ The ExaminerMoney & Work

Will AI data centres cut or spike Tasmania power bills

Energy companies say AI data centres will lower bills. Analysts warn that 24/7 demand will drain reserves and raise costs.

AI data centres are being proposed for Tasmania. One company is planning three facilities.

They would need 444 megawatts of power. Six more secret proposals would add another 705 megawatts.

Energy companies say spreading costs across more customers directly cuts bills for homes and small businesses. TasNetworks' interim chief executive said about 60 percent of transmission costs come from homes and small businesses.

Adding large demand puts downward pressure on electricity prices. Policy analysts worry the 24/7 power use will drain state reserves.

It will trigger expensive upgrades that households must pay for. One proposal from Firmus requires 2:1 renewable capacity.

For every megawatt of data centre demand, about 888 megawatts of new wind and solar must be built. A parliamentary inquiry received more than 150 submissions on the issue.

It is still examining the costs and benefits.

444 megawatts
Firmus data centre power need
705 megawatts
Other proposals total
60 percent
Transmission costs from households
150 plus
Parliamentary submissions received

Why it mattersTasmanians want to know if industrial growth helps their power bills or hurts them. This determines whether households gain or lose money.

AustraliaThe outcome will directly affect Tasmania's household energy costs and how quickly the state builds new renewable energy infrastructure.

Corroborated bytheadvocate.com.au

✓ Claims checked against the source. checked 3 h ago

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