Startup Energy North Scraps Project Ares Start Date

Startup Energy North has scrapped its target start date of June 28, 2028, for Project Ares, a 1-gigawatt gas and solar-powered data centre planned for a remote cattle ranch in Australia's Northern Territory. The developer abandoned the timeline after the Northern Territory Environment Protection Agency suspended its seven-week deadline to determine environmental hurdles.

The regulator expressed a "low level of confidence" in the developer's proposed measures to manage potential significant impacts, specifically citing concerns over water system strain and the disruption of Aboriginal sacred sites. The agency is currently seeking advice from the federal government to establish policy expectations for AI infrastructure.

Project Ares was designed as a 191 sq km campus featuring a solar farm and gas turbine system. The delay reflects broader regional challenges for AI investment, as other proposals, such as those from Beetaloo Energy Australia, could collectively demand power that exceeds the current grid capacity of the Northern Territory. Additionally, the Northern Land Council has highlighted the difficulties of expediting Indigenous consultation for such large-scale developments.