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Sydney Councils Warn Datacentre Growth Risks Blackouts and Housing

4/4/2026

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Story summary
  • Sydney councils warn rapid datacentre expansion risks blackouts, housing shortages, and health impacts.
  • Lane Cove Council reports increased blackouts linked to datacentre growth.
  • City of Ryde notes datacentres compete with residential development.
  • Penrith City Council calls for halting new approvals until water and power impacts are understood.
  • Jess Miller, deputy lord mayor of Sydney, warns datacentres could consume up to 25% of the city’s drinking water by 2035.