Mega Datacentre in Outer Melbourne Sparks Environmental Debate 2026

Alicia Foster
Mega Datacentre in Outer Melbourne Sparks Environmental Debate
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A mega datacentre planned for outer Melbourne is stirring community uproar over its colossal size and energy demands. The 350-hectare site in Plumpton, northwest of the CBD, would be six times larger than Chadstone shopping centre and consume more electricity than Victoria's largest power station, Loy Yang A.

What Is the Proposed Mega Datacentre?

Syncline Energy, the developer behind the Victorian AI hub, is proposing four datacentre buildings with a maximum capacity of 2.4 gigawatts on 140 hectares of land. The remaining 60% of the site will remain open space. The project aims to support Australia's growing artificial intelligence infrastructure but has alarmed locals with its sheer scale.


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Community Reaction and Concerns

Residents received letters from Syncline Energy offering a “friendly introduction,” but many already learned about the project through social media and news reports. The deep discomfort stems from the rapid explosion of datacentre construction across Australia. An April report by Data Centres Australia noted 30 datacentres operating in Victoria and another 30 in the pipeline.

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Environmental and Energy Impact

The mega datacentre would require massive amounts of electricity, raising questions about sustainability. While the site is adjacent to Melbourne’s renewable energy hub, critics argue it could strain the grid. A comparison of power usage highlights the scale:

Facility Power Capacity (MW)
Loy Yang A Power Station 2,200 MW
Proposed Plumpton Datacentre 2,400 MW

The datacentre would consume more power than the coal-fired station, intensifying debates over renewable energy allocation and carbon emissions.

Key Takeaways

  • The mega datacentre is 350 hectares, with 140 hectares for buildings – six times the size of Chadstone shopping centre.
  • It will have a capacity of 2.4 GW, exceeding Loy Yang A’s output.
  • Construction won’t begin for at least two years, pending planning and environmental approvals.
  • Community opposition is growing, fueled by concerns over energy use and environmental impact.
  • The project is part of a broader surge in datacentre development across Victoria and Australia.

FAQ

Where is the mega datacentre planned in Melbourne?

The proposed site is in Plumpton, about 30km north-west of Melbourne CBD, near the Calder Freeway and Tullamarine airport.

How big is the mega datacentre compared to a shopping centre?

The built area (140 hectares) is roughly six times the size of Chadstone shopping centre, one of Australia's largest retail hubs.

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What are the main environmental concerns?

The datacentre‘s energy consumption would exceed that of Victoria’s biggest power station, raising worries about grid strain, carbon footprint, and impact on renewable energy resources.

When will construction start?

Syncline Energy stated construction will not start for at least two years while planning and environmental approvals are completed. Community consultation is ongoing.

The mega datacentre controversy underscores the tension between technological growth and environmental stewardship. As Australia pushes forward with AI investments, balancing innovation with local and ecological impacts remains a critical challenge. Stay informed about this developing story as further details emerge.

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Alicia Foster

Author

Alicia Foster

Alicia is a trailblazer in luxury travel and all-inclusive resorts. Armed with a master's degree in Tourism Management, she has not only explored the hidden gems of the Caribbean, but has also collaborated with renowned hospitality brands. Her words are a gold mine for choosing the perfect accommodation.


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