Project Mars set off a war of words. Now the AI data centre is wiped off the face of earth
Goodman Group has abandoned plans for an $800 million data centre in Sydney following intense community opposition and evolving regulatory policies. This marks the third such project cancelled in Australia recently, highlighting growing public concern over AI infrastructure.
Why it matters
Reflects the rising tension between the rapid expansion of AI-supporting infrastructure and local community environmental and planning concerns.
— 3:50pm , first published September 29, 2026 — 8:07am
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Share A A A Residents and community groups are celebrating after an industrial property giant abandoned plans to build a hyperscale data centre on Sydney’s north shore, as the local mayor called for a moratorium on similar developments until tougher laws are introduced.
Goodman Group had placed state-significant plans for the construction and 24/7 operation of an $800 million, 81-megawatt data centre on public exhibition in March, which would have required the demolition and excavation of four existing warehouses. The case sparked outrage among residents, attracted widespread media coverage, and became a flashpoint for the spread of artificial intelligence infrastructure across the country.
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