“Labor aims to shape AI revolution with new data centre and AI copyright rules”, 15 July 2026

Australia will force data centres to minimise water use and fund their own power supply under mandatory national rules, as Anthony Albanese moves to centralise oversight of artificial intelligence.

The prime minister warned Australia had a narrow window to set AI's "social licence" as he acknowledged gaps and risks in the currently fragmented approach to the technology in a major address at the University of Sydney on Wednesday…

But Mr Albanese confirmed he would seek state and territory agreement for "clear, consistent and mandatory" data centre Australian standards at a meeting of the national cabinet next month.

Legislation for these standards would then be brought to parliament early next year…

As part of the proposed standards, future large-scale AI data centres would face mandatory obligations around electricity, water and infrastructure…

He said the data centre companies would have to contribute at least as much energy to the grid as they consumed, including both renewables and firming power.

The government would also require the centres to minimise water use and pay for any additional water infrastructure where necessary…

Mr Albanese confirmed the opening of a new Office of AI to sit within the Department of Prime Minister and Cabinet to coordinate work already underway across education, employment, climate and energy, copyright and defence portfolios…