Victoria will make a concerted push to expand its data centre sector, Premier Jacinta Allan said in her State of the State speech at CEDA, unveiling a dedicated plan to attract infrastructure investment and build a skilled workforce to support accelerating AI adoption.
Allan said data centres were “the digital infrastructure that supports AI around the world”, and confirmed that more than 40 facilities already operate in Victoria – versus more than 90 in Sydney – with NEXTDC soon adding a AUD 2 billion digital campus at Fishermans Bend.
“We’re going after the data centre jobs. We’re going to be ruthless about it,” she told the audience. “We want to be the ‘data centre’ centre. We have the land, the energy and the talent – and now, I’m announcing the Sustainable Data Centre Action Plan.”
The AUD 5.5 million Sustainable Data Centre Action Plan is designed to activate projects valued at up to AUD 25 billion in potential capital expenditure. The state will deploy its integrated mapping technology to identify suitable locations using transport, energy and water data, including recycled water, to support sustainable development of new facilities.
Workforce development is a central element. The government will partner with TAFEs to establish a “data centre workforce pipeline”, covering construction roles, operations teams and digital specialists. AI formed the other major technology focus of the Premier’s speech. She cited research indicating AI could contribute up to AUD 30 billion in GSP over 10 years and argued that its adoption could modernise industry, improve productivity and support job creation. “AI can deliver net jobs here,” Allan said. “It can attract investment… take the grind out of work, lift productivity, and give people time back in their day.”
To prepare the state’s workforce, the government will invest AUD 8.1 million in an AI career conversion programme, offering intensive training to more than 1,300 digital professionals across fields including finance, accounting and marketing.
The forthcoming AI Mission Statement, to be released by the Minister for Economic Growth, will outline further initiatives aimed at balancing innovation with workforce protection. Allan said the goal is to “maximise the benefits of AI, while protecting our workforce”, adding that Victoria aims to be the first state in Australia with a comprehensive AI plan of this scale.