INTHEBLACK October 2026 - Magazine - Page 23
“If countries get it right, they will be better positioned in
the next phase of the digital economy. It is as simple as that.
Trusted, secure and sustainable digital infrastructure is what
it is about.”
JANNAT MAQBOOL FCPA, UNIVERSITY OF MELBOURNE
Investors, regulators and customers are
demanding stronger sustainability credentials,
while simultaneously expecting organisations
to leverage digital technologies and AI
to remain competitive.
Whitelock, however, thinks the framing
of “growth versus sustainability” is misplaced.
“The evidence shows these two goals are
mutually reinforcing.” Globally, she says,
45 per cent of corporate power purchase
agreements (PPAs) involve data-centre
operators, while large-scale generation
certificates (LGCs) — the tradeable financial
certificates designed to reward the generation
of renewable energy from large-scale
sources — are also important.
“That investment certainty is what unlocks
new renewable generation projects,” she
says. “Major operators and their hyperscale
customers have committed to matching
100 per cent of their power use with
renewable energy by 2030, and they are
putting capital behind those commitments
through PPAs and LGCs.”
Whitelock says governments, organisations
and companies need to focus on coordination.
“That means aligning data-centre development
with energy and water roadmaps, integrating
digital infrastructure into grid planning, and
supporting innovation in cooling technologies
like closed-loop liquid cooling, which uses
near-zero water while handling high-density
AI workloads.”
Maqbool agrees that governments
and organisations should treat digital
infrastructure, energy infrastructure and
sustainability strategy as connected decisions,
not separate conversations. “AI and cloud
growth will require significantly more
computing capacity, and to do that you need
physical infrastructure,” she says. “Of course,
that means needing more energy to power
the infrastructure, but that should not mean
we slow digital transformation. We just need
THE AUSTRALIAN
OPPORTUNITY
Australia has a genuine chance to help
shape how AI is developed, deployed and
governed over the next decade, according
to CEO of the Australian Information
Industry Association, Elizabeth Whitelock.
Nevertheless, she says the nation must
shift from a mindset of “Should we build
this?” to “How do we build this well?” In this
sense, three elements matter:
1. Predictable, transparent policy
frameworks — investors making decisions
about where to deploy multi-billion-dollar
facilities need confidence in timelines for
land, power and permits.
2. Genuine community benefit — support
is required for apprenticeships and
training pathways, local supply chain
participation, transparent reporting
on energy and water use, and
contributions to grid infrastructure
that benefit surrounding communities.
3. Coordinated planning — a national
approach to digital infrastructure is
crucial, integrated with energy roadmaps
and supported by a single coordinating
body of the kind the AIIA has
recommended at state level. This would
reduce conflict between commercial
imperatives and community expectations.
“Most of the friction we are seeing is the
product of fragmented decision-making,
not unbridgeable interests,” Whitelock says.
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