Australia 'sleepwalking' into AI crisis, Greens senator warns as Pocock challenges government
Australia 'sleepwalking' into AI crisis, senator warns

Greens senator Sarah Hanson-Young has warned that Australia is 'sleepwalking' into an artificial intelligence crisis, calling for an immediate moratorium on the construction and approval of new datacentres until proper regulations are in place. She said the nation cannot allow tech companies to 'drain our power and water' in what she described as a 'tech bro free-for-all'.

Pocock challenges government over AI copyright rules

Independent senator David Pocock used Senate question time on Tuesday to urge the Albanese government to prevent tech giants from using Australian content to train AI models without appropriate safeguards. His challenge comes as cabinet considers competing proposals to modify copyright rules for the rapidly evolving technology.

Pocock said he had received information suggesting Prime Minister Anthony Albanese was preparing to announce a plan on or about 15 July that could include expedited approvals and investment for new datacentres. He questioned Industry Minister Tim Ayres about the government's intentions, but the debate was interrupted as Senate President Sue Lines struggled to maintain order.

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Government split over approach to AI regulation

Guardian Australia has learned that competing cabinet submissions are in progress, with the Department of Industry, Science and Resources and the Attorney-General's Department divided on the best path forward. Ministers may choose between establishing new exemptions from copyright rules in exchange for greater investment in Australian-hosted datacentres, or extending existing licensing arrangements to cover AI model developments. Under the latter proposal, AI companies could use Australian content to train their commercial products. A new fund for creative industries could also be established.

Ayres accused Pocock of being reckless in airing the questions publicly, but did not rule out the possible moves. 'It is absolutely our intention to do what we can to make sure that people who produce content in Australia, who are currently getting ripped off all around the world … we are looking at that question,' Ayres told the Senate. He added that it is in Australia's national interest to have sovereign capability in technology, particularly where there is competitive advantage.

Hanson-Young calls for pause on datacentre approvals

Hanson-Young, who chairs a parliamentary inquiry into artificial intelligence and datacentres, said Australia should not allow a 'tech bro free-for-all' on the country's water and power resources. 'Until we have proper regulations for the use of energy and precious water and proper protections for Australian artists and businesses we cannot allow a tech bro free-for-all. Until the necessary safeguards are in place and Australia's resources are protected, approval and development must be paused,' she said.

The former industry minister Ed Husic had argued for new AI guardrails and consideration of a major new act, but he was dumped from cabinet in 2025. Ayres, his successor, is in favour of a lighter touch approach. A spokesperson for Ayres told Guardian Australia that Pocock's claims were incorrect. 'That is inaccurate. The government has ruled out a text and data mining exception. Our position has not changed,' they said.

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