Amazon Adds 430MW of Clean Power for Australian Data Centres

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Melbourne in Victoria, Australia. Credit: Getty Images
Amazon expands renewable energy portfolio to support AI-led data centre growth, combining solar wind and battery storage across Australia's national grid

Amazon is expanding its renewable energy footprint in Australia with 430MW of new capacity, directly supporting the power demands of its growing data centre operations.

The company will sign nine new power purchase agreements (PPAs), lifting its total renewable portfolio in the country to 990MW across 20 projects. These agreements form part of a broader strategy to secure reliable electricity for cloud and AI workloads hosted in AWS data centres.

In June 2025, AWS revealed plans for AU$20bn (US$14.4bn) investment in Australian digital infrastructure through 2029. As data centres scale to handle more complex AI workloads, energy demand increases in both volume and intensity, placing greater pressure on grid stability and long-term supply.

Linking energy supply to data centre growth

Amazon’s latest energy projects span New South Wales and Victoria, combining wind farms, utility-scale solar and distributed solar-battery hybrid systems. The inclusion of battery storage is a key feature, with eight of the nine projects integrating energy storage to manage fluctuations in renewable generation.

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For data centres, which require continuous uptime, this approach addresses the challenge of intermittency. Solar and wind output varies depending on weather and time of day, while battery systems store excess energy and release it when generation drops, helping maintain consistent power delivery.

Matt O’Rourke, Head of Infrastructure and Energy Policy for AWS ANZ, says: “This is the largest ever (publicly announced) investment into Australia from a global technology provider.

Matt O’Rourke is Head of Infrastructure and Energy Policy for AWS ANZ. Credit: Sky News

“It supports the Australian government’s vision to improve productivity and grow the economy through AI innovation by putting the latest cloud and AI capabilities into the hands of AWS customers so they can innovate at scale and transform their operations.

“If AI is the future then the future can be made in Australia on AWS.“

Building resilient infrastructure for AI

The scale of AWS’ investment highlights how AI is reshaping infrastructure requirements. Compared with traditional cloud workloads, AI processing requires higher energy density due to the intensive compute involved in training and running models.

To meet this demand, data centre operators must ensure not only sufficient power capacity but also reliability. Any disruption to supply can impact services ranging from enterprise applications to large-scale AI platforms.

Amazon’s clean energy projects are spread across New South Wales (pictured) and Victoria in Australia. Credit: Getty Images

By integrating nearly 1GW of renewable energy into its Australian operations, Amazon is working to align data centre growth with sustainability targets. The combination of generation and storage creates a more flexible energy model, supporting continuous operation while reducing reliance on fossil fuels.

The projects also include developments such as the Muswellbrook solar farm, located on rehabilitated former coal mining land. This reflects how energy infrastructure is being repurposed to support digital workloads, linking legacy energy sites with new data centre demand.

Workforce and regional impact

Alongside infrastructure, Amazon is investing in skills development to support the operation and use of its data centre platforms. Rianne Van Veldhuizen, Managing Director for AWS ANZ, highlights the pace of adoption. “The acceleration of consumption with AI is something that we’ve definitely seen in Australia... it’s moving a lot quicker here than in many other countries,” she says.

Rianne Van Veldhuizen is Managing Director for AWS ANZ

Rianne also points to workforce development as a parallel priority, with AWS already having trained more than 400,000 Australians in digital skills. This ensures that businesses and public sector organisations can make use of the expanded data centre capacity.

The geographic spread of the energy projects supports regional development as well as grid resilience. By distributing generation across multiple locations, Amazon reduces the risk of localised supply constraints affecting its data centre operations.

An example of what Amazon’s battery energy storage systems could look like. Credit: Amazon

Battery storage further strengthens this approach by enabling energy to be shifted across time, balancing supply and demand more effectively. For data centres, this provides an additional layer of operational security, ensuring that power remains available even during peak demand or reduced generation periods.

Amazon’s position as a major corporate buyer of renewable energy in Australia reflects a broader trend across the data centre sector. As operators scale infrastructure to meet AI demand, securing reliable and sustainable energy supply is becoming as critical as the facilities themselves.

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