• The A$200 million Maroochydore facility is under construction and due online in early 2027, with about 1MW at launch and 6MW planned

• Australia has yet to define whether later phases at existing campuses will face the new power and water requirements



The act

NEXTDC is building SC2, a five-level data centre beside its existing SC1 facility and the international cable landing station in Maroochydore, Queensland. The A$200 million project is expected to open in the first half of 2027. NEXTDC lists 6MW of planned IT capacity and says about 1MW will be available initially.

The Australian government plans to introduce standards for new large data-centre proposals. Developers would be required to support additional power supply, pay their share of grid-connection costs, reduce demand when needed and limit water use. Prime Minister Anthony Albanese said the rules would apply only to new proposals, so SC2 is not expected to be covered because construction is already under way. The government has yet to define what capacity will count as a large data centre. Existing electricity and water infrastructure charges will still apply.

The assessment

SC2 is expected to sit outside the new standards because construction has already begun. But only about 1MW is due at opening, against 6MW planned for the site. The government has not said whether later capacity at the same campus will keep that exemption.

If the framework does not clarify how later expansions are treated, SC2 could open under existing arrangements and add most of its planned capacity after the new standards take effect. For BTW readers, that matters because it shapes how Australia's internet infrastructure layer—data-centre capacity, grid adjacency, and connectivity—will be planned and regulated. Other operators with sites already under construction could follow the same pattern.

What to watch

National Cabinet is due to consider the framework in August, with legislation expected in early 2027. The main questions are how large a project must be to fall under the rules, whether sites already under construction will remain exempt and how later expansions will be treated.