Skip to main content
The Flux Daily
PoliticsSydney, New South Wales, Australia

Sydney data centre plan scrapped after community protest

Residents outnumbered developers at Lane Cove, forcing Goodman Group to withdraw its A$1.2bn Project Mars data centre bid.

Source: bbc.co.uk1 min read
Sign reading ‘No Goodman Data Centre’ outside a home in Lane Cove
Sign reading ‘No Goodman Data Centre’ outside a home in Lane Cove

In brief

Goodman Group abandoned plans to build a 90‑megawatt data centre, Project Mars, only 20 metres from suburban homes in Lane Cove after fierce local opposition. The developer received 374 public submissions, with only nine supporting the build, a record for a data‑centre application. An evolving state policy, including a fast‑track approval programme, led the company to withdraw the proposal, citing regulatory changes and community views. The move is seen as a victory for residents and a signal to other developers about the need for community‑respectful siting.

Goodman Group has cancelled its controversial data centre project in Sydney’s Lane Cove suburb after facing fierce opposition from local residents.

The proposed 90‑megawatt facility, known as Project Mars, would have cost A$1.2 billion and been built only 20 metres from neighbouring homes. The company withdrew its planning application following a record 374 submissions in a public consultation, with a mere nine in favour.

Goodman said it had carried out extensive stakeholder engagement and found that the regulatory environment for large data‑centre development had changed, making the project untenable.

The decision follows New South Wales’ recent introduction of a fast‑track approval programme, which could permit data‑centres to be reviewed within 75 days provided they meet strict water and energy standards. The move is seen as a win for the Lane Cove community who were urged to “find suitable locations before putting proposals forward.”

This cancellation underscores the growing tension in Australia between rising demand for AI infrastructure and the impact such facilities can have on local resources and communities.

Read more about the surge of AI data centres in Australia and the costs they bring.

Topics

More on this story