Media Release | 3 August 2026
Peter Rundle MLA
Shadow Minister for Water
Shadow Minister for Water Peter Rundle MLA is warning that the rapid rollout of AI driven data centres could place further strain on Western Australia’s already stretched water supplies and is not confident the Cook Labor Government is prepared.
While welcoming investment and technological innovation, Mr Rundle said new data centres must form part of an integrated plan that ensures the sustainable and responsible use of water.
“Artificial intelligence presents enormous opportunities for Western Australia, but the growth of AI data centres cannot come at the expense of household water security. The Cook Labor Government needs to prepare now to protect WA water sources and mitigate potential impacts,” Mr Rundle said.
Mr Rundle said the Federal Government’s recently announced National AI Plan lacked sufficient guidance on water use, despite AI data centres being significantly larger and more resource intensive than traditional facilities.
“As AI adoption grows, so too will demand for data centres and the water required to cool them. The question is not whether Western Australia will see more of these developments, but whether the Cook Labor Government is planning properly for the impact.
“Both the Albanese and Cook Labor Governments need to safeguard our water supplies and ensure water security remains a priority as Australia’s digital economy expands.”
Mr Rundle said Western Australia faced unique challenges compared with the eastern states, with Perth increasingly reliant on groundwater and desalination.
“Water is one of WA’s most valuable resources. Every major new water user should be assessed through a water security lens, particularly in a state already investing heavily in new water sources to meet future demand.
“What matters is where the water comes from, how it is used, whether recycled water is being prioritised, and whether it impacts households, agriculture, industry or future residential development.
“Any large-scale data centre should be required to demonstrate that recycled or non potable water sources have been properly considered before relying on drinking water supplies.”
Mr Rundle said transparency should also be a requirement for future approvals.
“Western Australians deserve to know how much water major facilities are consuming and what impact they may have on local supplies. Public reporting of water use should be standard practice, and this Government needs to apply strict rules around this.”
He said the issue was particularly important in regional Western Australia, including the Pilbara, where growing demands from mining, industry, renewable energy and future economic development were already increasing pressure on available water resources.
“Western Australia cannot afford to treat water as an afterthought. Water security must be built into every data centre approval from day one.”
ENDS
