26/08/2026
The NSW Government recently released the NSW Data Centre Guidelines, which set out what the state expects from data centre developments. The Guidelines also promise a faster, more predictable path through the planning application process.
If you are developing data centres in NSW, here are the five energy tests to understand:
1️⃣ PPA & Firming Agreements - 10+ year contracts with a minimum 40% wind mix and 25% 4-hour storage on pre-FID projects.
2️⃣ 25% Load Drop - Prove you can drop a quarter of your load for two hours without relying on diesel generators.
3️⃣ Managing Stranded Asset Risk - Commercial arrangements with energy utilities to protect consumers, including mechanisms such as guarantees, prepayments or upfront capital contributions.
4️⃣ Grid Location - An incentive to locate in parts of the grid with spare capacity, including REZs and former coal generation sites.
5️⃣ Energy Forecasting - Have maximum and average energy usage figures ready, alongside utility-spec smart energy meters.
Read more in our full article.
NSW Data Centre Guidelines require 40% wind PPAs, 4-hour storage and 25% load reduction without diesel. Here's what data centre developers need to plan for.