Goodman Group has scrapped its A$1.2bn Project Mars data centre after a storm of community opposition in Lane Cove, Sydney.
The plan, which would have seen a 90‑megawatt facility constructed just 20 metres from residents’ front doors, was withdrawn by the company following a record 374 submissions in the formal consultation—merely nine in support.
"The policy and regulatory environment for large‑scale data centre development has evolved significantly," Goodman said in a letter to the New South Wales Department of Planning. It noted that evolving standards and rigid community feedback led the firm to abandon the proposal.
The decision has come at a time when NSW is rolling out a fast‑track assessment programme for data centres, offering 75‑day reviews for projects that meet water and energy supply criteria. However, the Lane Cove case highlights that speed cannot trump local consent.
Assembly member Anthony Roberts welcomed the reversal, calling it “a huge win for the Lane Cove West community” and warning that developers must identify suitable sites before proceeding.
The controversy reflects a broader debate in Australia over the environmental and social costs of expanding AI data infrastructure. While the country’s abundant clean energy and space have attracted global investment, the high water and electricity demands of new sites spark discontent in many communities.
