Plans for another artificial intelligence data centre in Sydney have been abandoned following strong opposition from residents and community campaigners.
The proposed project had become a focus of concern among locals, who raised questions about the impact of large-scale data centre infrastructure on the surrounding community.
The community group Stop the Cooks River AI Project welcomed the decision, describing it as a victory for residents who had campaigned against the proposal.
The cancellation comes as Australia faces a wider debate about how quickly data centre capacity should expand to meet growing demand for artificial intelligence services.
Data centres require significant amounts of electricity and, depending on their cooling systems, water. The issue has increasingly become part of discussions about where new facilities should be located and how their infrastructure requirements should be managed.
Deputy Prime Minister Richard Marles said earlier this month that data centres should not necessarily be built in suburban areas. He argued that developers should be responsible for providing the power and water needed for their operations.
The federal government has also been developing its broader approach to artificial intelligence regulation and infrastructure.
The Sydney project is among several proposed developments that have faced resistance from local communities. The latest cancellation is likely to add to the pressure on governments and developers to address concerns about the environmental and infrastructure impacts of the rapidly expanding AI industry.
For residents who opposed the project, however, the decision represents a significant win after months of campaigning.


