Today the Albanian Labor government released the long-awaited National AI Plan“a whole-of-government framework that ensures technology works for people, not the opposite way around.”
With this plan, the federal government guarantees an inclusive economy with artificial intelligence (AI) that protects employees, closes service gaps and supports local AI development.
In a serious U-turn, it also confirms that Australia won’t introduce mandatory guardrails for high-risk AI. Instead, it’s argued that our existing legal system is sufficient and any minor changes to specific AI harms or risks may very well be addressed with the assistance of a brand new A$30 million AI Security Institute inside the Ministry of Industry.
Given the plan's primary goal of constructing Australia a sexy location for international data center investment, it is sensible to avoid major changes to Australia's legal system.
The initial caution has disappeared
After the general public release of ChatGPT in November 2022 ushered in a generative AI boom, initial reactions focused on existential risks posed by AI.
Leading AI experts even called for a pause on all AI research. Governments sketched plans to manage.
However, as investments in AI have increased, governments world wide have now moved from caution to an AI race: seizing the opportunities while managing the risks.
In 2023, the European Union created the world leading AI plan Promote the adoption of human-centered and trustworthy artificial intelligence. The United States launched its own, more optimistic motion plan in 2016 July 2025.
Australia's latest plan prioritizes creating a neighborhood AI software industry, spreading the advantages of AI “productivity gains” to employees and public service users, attracting a few of the world's relentless investment in AI data centers, and promoting Australia's regional leadership by becoming an infrastructure and computing hub within the Indo-Pacific.
These goals are outlined within the plan's three pillars: Seize Opportunities, Spread Benefits and Protect Us.
What opportunities will we benefit from?
It continues to be unclear whether AI will actually increase the productivity of all organizations and corporations that use it.
Regardless, global investment in AI infrastructure has been immense, and a few predictions about global data center investment suffice 8 trillion Australian dollars by 2030 (so long as the Bubble doesn't burst previously).
Through the brand new AI plan, Australia goals to take part in the boom and develop into a destination for capital investment within the US and global technology industries.
In the AI ​​plan, the selling point for increased Australian data center investment is the boost it would supply to our transition to renewable energy. States are already competing for this investment. New South Wales has optimized the approval processes for data centers and Victoria creates incentives to “ruthlessly” pursue investments in data centers in greenfield locations.
Under latest federal environmental law reforms passed last week, latest permits for data centers might be expedited in the event that they do merged with latest renewable energymeaning there may be less time to think about biodiversity and other environmental impacts.
But data centers are also controversial. Concerns about energy and Water The demands on large data centers in Australia are already growing.
The Impact on water consumption The number of knowledge centers is important – and the plan is remarkably silent about it, aside from the promise of “efficient liquid cooling”. Experiences to date Germany And the USA shows data centers which can be straining energy networks beyond their limits.
It is true that data center firms are likely to take a position in renewable energy, but at the identical time the expansion in demand for data centers currently justifies it Continued use of fossil fuels.
Australian agencies have certain requirements taking the environment into consideration Sustainability of knowledge centers Hosting government services. But a robust plan There is a lack of expertise on environmental assessment and reporting in the private and non-private sectors.
Who really advantages from AI?
The plan guarantees that the economic and efficiency advantages of AI will profit everyone – employees, small and medium-sized businesses, and people receiving government services.
Recent scandals suggest Australian firms are fascinated with using AI Reduce labor costs without necessarily Maintaining service quality. This has led to concerns in regards to the impact of AI on labor markets and dealing conditions.
Australia's AI plan addresses this issue by encouraging workforce development, training and reskilling quite than protecting existing conditions.
The Australian trade union movement must take motion to make the “AI-ready workforce” narrative a reality and protect employees from AI habituation Reduce labor costs, Increase surveillanceand speed up the work.
The plan also mentions improving the efficiency of the general public service. Whether these efficiency gains are possible or not is difficult to say. However, the plan recognizes that we want comprehensive investment to unlock the worth of personal data assets and public data assets useful for AI.
Will we be protected enough?
With the publication of the plan, the federal government has officially abandoned last yr's proposals for binding guardrails for high-risk AI systems. It claims Australia's existing legal framework is already strong and might be updated on a “case by case” basis.
Just like we did previously identifiedthis contradicts public opinion. More than 75% of Australians want AI regulation.
It can be not according to other countries. The European Union already bans the riskiest AI systems and has updated product safety and platform regulations. It can be current Refinement of a regulatory framework High risk AI systems. Canadian federal government systems are regulated by a tiered risk management system. South Korea, Japan, Brazil and China have rules that regulate AI-specific risks.
Australia's claim to have a powerful, appropriate and stable legal framework can be way more credible if the document contained a plan or clarity about it significant backlog in legal reform. This backlog includes data protection rights, Consumer protectionautomated decision making in government after Robodebt, as well copyright And Digital due diligence.
Ultimately, the National AI Plan says something good about sustainability, sharing the advantages and keeping Australians protected, whilst the federal government advocates for investment in data centers and the creation of an AI hub for the region.
Compared to those of some other Nationsthe plan lacks specificity. The test can be whether the federal government gives substance to its goals and guarantees and not only chases short-term AI investments.
