7am How AI is draining Australia’s green power
Jan 26, 2026
Ketan Joshi, senior research associate at the Australia Institute who covers energy, climate and tech policy, discusses the clash between big tech AI demand and Australia’s renewable export ambitions. He traces Sun Cable’s pivot from exporting solar to powering domestic data centres. The conversation covers booming electricity needs for AI, emissions risks if renewables lag, and policy choices for balancing power, climate and social value.
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Sun Cable's Grand, Sci‑Fi Vision
- Ketan Joshi recalls being captivated by Sun Cable's sci-fi scale and its founder referencing the Kardashev Scale.
- The project promised to physically export massive renewable electricity from northern Australia to Southeast Asia.
Physical Export Of Clean Electricity Emerged
- Sun Cable was among the first large-scale ideas to physically export renewable electricity, not just materials or expertise.
- Its unprecedented subsea cable concept made Australia’s role as a clean energy exporter tangible for the first time.
AI Data Centres Shift Energy Priorities
- Sun Cable shifted short‑term focus from export to supplying domestic data centres as AI demand grew.
- Australia is now the second largest jurisdiction globally for planned data centre capacity by power usage.