CDC Proposes $15 Billion Data Centre Near Wagga Wagga Landfill

1.4-gigawatt facility would be one of Australia's largest, pending state approval

By LineZotpaper
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Canberra-based CDC Data Centres has unveiled plans for a $15 billion data centre on council-owned land next to a landfill facility at Gregadoo, 15 kilometres from Wagga Wagga in south-western New South Wales. The 1.4-gigawatt development, if approved, would rank among Australia's largest data centres, trailing only proposals such as Anthropic's $32 billion plan in Dalby, Queensland, Syncline Energy's 2.4 gigawatt hub in north-west Melbourne, and a 185-hectare site near Darwin.

A scoping report lodged with the NSW Department of Planning, Housing and Infrastructure outlines plans for four single-storey buildings, each roughly the size of a supermarket distribution centre. The site sits about one kilometre from Transgrid's Wagga Wagga substation, a critical factor given the immense electricity requirements.

CDC chief executive Greg Boorer said the location was ideal. "It's sandwiched between renewable energy zones, it's got significant spare capacity in the grid, there's a university, a skilled workforce and it's proximate to Canberra where we're headquartered," he said. CDC plans to fund its own grid connection and network augmentation.

Cooling would rely on mechanical infrastructure such as chiller decks and pump rooms designed to minimise water consumption, along with a closed-loop radiator system. The scoping report also cites plans for 384 back-up diesel generators, on-site diesel storage totalling 6,400 tonnes, and two large-scale batteries.

Nine rural dwellings are near the proposed site, with three within a 500-metre radius. "The location is excellent because you're a long way from homes and people. It's next to a rubbish tip where people don't want to necessarily live anyway," Mr Boorer said. Notably, a fire at the adjacent landfill facility in January 2026 burned through 55 hectares of surrounding land.

CDC has been in discussions with Wagga Wagga City Council for about nine months, and the proposed purchase of the site is progressing. In a statement, the council called the proposal "a potentially generational economic, investment and workforce opportunity" for the region, while acknowledging the community would have questions and concerns about data centres generally and the location's potential impacts.

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Analysis

Why This Matters

  • The project would inject billions in investment and create construction and operational jobs in a regional area, but raises concerns about environmental impacts, water use, and diesel emissions.
  • As Australia's AI and cloud computing demand surges, massive data centres are being proposed in regional areas with available land and grid capacity, reshaping local economies and landscapes.
  • The proposal will test the balance between economic development and community concerns, especially given the site's proximity to a landfill that experienced a significant fire earlier this year.

Background

CDC Data Centres is a Canberra-based operator with existing facilities across Australia. The company is proposing one of the largest data centre developments in the country, tapping into demand driven by artificial intelligence and cloud services. The site was chosen for its proximity to renewable energy zones, grid capacity, and skilled workforce from nearby Charles Sturt University. The proposal is in early stages, with a scoping report submitted but full planning approval still required.

Key Perspectives

CDC Data Centres (developer): The company argues the location is excellent - remote from homes, near renewable energy and grid infrastructure, and next to a landfill that already makes the area less desirable for residential use. CDC pledges to fund grid upgrades and use water-efficient cooling. Wagga Wagga City Council: Sees the proposal as a generational opportunity for economic growth and employment, but is aware of community concerns and is taking a cautious approach, allowing the planning process to proceed. Nearby residents and environmental groups: The nearest three dwellings within 500 metres may face noise, visual impacts, and diesel emissions from back-up generators. The 55-hectare landfill fire earlier this year also raises safety questions about the site selection.

What to Watch

  • The NSW Department of Planning, Housing and Infrastructure's assessment of the scoping report and whether it requires a full environmental impact statement.
  • Community consultation processes and any local opposition campaigns.
  • CDC's ability to secure financing and grid connection agreements for the $15 billion project.

Sources

Zotpaper

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