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File image: Dense cable-filled server racks in a data centre aisle
✓ SmartcompanyMoney & Work

Victoria's 150m data centre rule could kill projects, industry warns

Victoria requires a 150-metre buffer between data centres and homes. Industry warns this could make projects uneconomical.

The Victorian government's new plan sets strict rules for data centre development covering energy, water and community effects. Data centres cannot be built near schools or childcare or in rural areas lacking infrastructure.

The 150-metre setback from homes has surprised the Data Centre Council of Australia. Chief executive Belinda Dennett told SmartCompany that suitable industrial land near power sources is already scarce.

The new buffer rule shrinks the footprint available on viable sites. Dennett warned the rules could push investment to other states competing for data centre development.

Why it mattersStrict setbacks could move billions in data centre investment away from Victoria. This could affect jobs and economic growth.

AustraliaVictoria risks losing data centre projects to other Australian states due to setback requirements that make local development uneconomical.

✓ Claims checked against the source and corrected before publish. checked 2 d ago

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