$32 Billion Data Centre Proposal Could Lift Queensland’s Power Demand by a Quarter

High voltage electricity transmission towers crossing rural Queensland farmland at golden hour

A proposed $31.9 billion data centre in Queensland’s Western Downs could eventually draw as much electricity as 1.5 million average Australian households, reviving questions about who ends up paying for the power infrastructure new data centres need.

What Happened

Singapore-based developer Zerra DC has proposed the Western Downs Digital Park, a data centre precinct on a former feedlot near Dalby, about 250 kilometres west of Brisbane. At full build-out across four phases, the facility would have a peak capacity of 2.16 gigawatts and could draw around 47 gigawatt-hours a day, compared with Queensland’s current average daily electricity use of about 170 gigawatt-hours, a potential 25 per cent increase in the state’s daily demand. The developer says the facility would connect directly to nearby gas-fired power stations and existing wind and solar farms rather than drawing through local distribution networks that supply surrounding towns.

Who It Affects

Queensland households are affected indirectly through the state’s electricity grid and market, even though the developer says the facility will largely bypass local distribution infrastructure. Andreas Helwig, an associate professor at the University of Southern Queensland, has warned that “getting this wrong will impact grid stability and cost to consumers,” reflecting a broader national debate about whether data centre operators or everyday households ultimately absorb the cost of the extra generation and transmission capacity these facilities require.

What Readers Should Do

There is no immediate action for households to take. The proposal is still at development application stage, with approval and construction expected to take four to six years even once lodged, and the review process itself could take years. Households concerned about the project’s effect on local infrastructure or future power prices can register interest in the development application process through the Western Downs Regional Council, and keep an eye on any public consultation periods once the application is formally lodged. Given continuing volatility in household energy costs generally, it remains worth reviewing your own usage; see our guide on what appliances like a clothes dryer actually cost to run.

What to Watch Next

Watch for the formal development application lodgement, any public consultation Western Downs Regional Council or the Queensland Government runs, and the outcome of the national cabinet discussion on rules for how data centres source and pay for their energy use, an area where the Queensland Government has reportedly opposed some proposed federal rules. Also watch for how AEMO and Queensland’s energy regulators treat the project’s grid connection, since that decision will shape whether the cost of new transmission capacity is spread across all electricity customers or borne by the developer.

Official Source / Verification

This article is based on ABC News reporting published 14 September 2026 (“Hyper-scale data centre could draw quarter of Queensland’s power usage”), including comment from Andreas Helwig, associate professor at the University of Southern Queensland, and figures reported for Queensland’s current and projected daily electricity consumption.

This article is general information only. The project remains a proposal at an early planning stage and figures may change as the development application process proceeds; always check current advice from Western Downs Regional Council or the Queensland Government for the latest status.

Join The Discussion