- Framework to offer 'strongest possible' protections for Australian artists, media to ensure writers, artists, journalists retain ownership of their work
- Regulation itself is not a threat to innovation, Toby Walsh, chief scientist at AI Institute of UNSW Sydney tells Anadolu
Australia has unveiled its first national AI framework in an attempt to capture the benefits of the technology while managing its growing risks.
According to a statement from the Prime Minister’s Office, one of the key measures under the Australian Standards for AI require large data centers to finance their own new power supply instead of relying on the existing grid.
They will also have to pay their full share of grid connection costs to help minimize the impact on consumers' energy bills.
The centers will be expected to “put at least as much energy into our grid as they take out of it,” according to Prime Minister Anthony Albanese.
The framework also addresses water use, requiring data centers to be as water-efficient as possible, as AI facilities consume vast amounts of water to cool their systems. They will be required to pay for any additional water infrastructure needed.
It additionally seeks to ensure new data centers are built in the most appropriate locations and with input from local communities.
On copyright, it promises the "strongest possible" protections, ensuring writers, artists and journalists retain ownership of their work.
Last year, the Albanese government rejected introducing a Text and Data Mining exception to Australia's copyright laws that would have allowed AI companies to use copyrighted material without permission or payment to train AI models.
Albanese said the framework was Australia's opportunity to establish AI's "social license" before major investments became entrenched, according to the Australian Broadcasting Corporation (ABC).
However, Toby Walsh, chief scientist at UNSW.ai, the AI institute of UNSW Sydney, told Anadolu that Australia's approach could fall short of the level of public investment seen elsewhere.
South Korea recently announced a $1-trillion investment plan for AI. The UK established its Office for Artificial Intelligence in 2019 and backed it with an additional £1 billion in funding.
A similar level of investment is unlikely in Australia, Walsh said, citing Albanese's reluctance to increase government spending.
What is the implementation process and timeline?
The Office of AI was established on July 15 to oversee the national rollout of the framework and coordinate AI policy across government agencies.
The National Cabinet will consider the government's approach in August, with the standards expected to be legislated early next year.
On the timeline, Walsh said that implementing the framework effectively would require significant work and warned that it may come too late.
According to the prime minister's office, the legislation will create a "simple, consistent regulatory framework" for large data centers and AI training, which it says will make Australia the first country to legislate such standards.
Australian government will also outline its whole-of-government AI consumer safety priorities in the coming weeks, building on the recent establishment of the AI Safety Institute.
On potential gaps in the framework, Walsh said Australia should expedite discussions on a “digital duty of care” and apply it to AI tools, including AI chatbots, AI companions and AI therapists.
What does the government hope to achieve?
The government said the framework is intended to help Australia capture AI's economic potential while ensuring its development serves the country's national interests.
Albanese said the framework reflected the government’s view that AI should be managed rather than resisted.
“No government can turn back the clock, or press pause on all of this,” Albanese said.
“The fact that we cannot stop change, does not render us powerless, far from it. Our power, our agency, our choice lies in embracing change and shaping it,” he said.
How has the framework been received?
The framework has drawn a mixed response from lawmakers, experts and advocacy groups.
For Walsh, Albanese's speech -- a “captain's speech” -- acknowledged many of the concerns surrounding the rapid development of AI.
“He understands many of the issues. Let’s see if he now addresses them adequately,” he said.
While some businesses may fear that tighter rules could deter investment, Walsh argued that regulation itself is not the threat to innovation.
A lack of regulation could instead turn the public against AI and ultimately hinder innovation, he said.
While regulation is necessary, Australia should also “look to seize some of the upside not just avoiding the downside,” Walsh said.
Greens Senator David Shoebridge argued the Albanese government had “totally missed the moment” to set out a clear plan for regulating AI and protecting Australians.
“What we need from this government, what we need from the parliament, are clear legislated protections, yes, for the environment, but also for our own control, for our industry, for control over our own data,” he said.
Independent lawmaker Kate Chaney welcomed the move, saying it was “about time” the government took AI “seriously.” She urged for addressing the data center challenge.
Climate Council chief executive Amanda McKenzie also said that Australia's attractiveness as a destination for data centers made strong safeguards essential.
Currently, South Australia is the only state with a dedicated data center framework. Australia has at least 162 data centers, with another 90 in the pipeline as of March 31, according to the Australian Data Centre Forecast Report.
