The renewable energy sector in Australia encounters new challenges as major tech companies establish AI data centres across the country. Projects once planned to export solar power internationally are now influenced by domestic energy demands.
Sun Cable, supported by billionaires Mike Cannon-Brookes and Andrew Forrest, aimed to deliver Australian solar energy to Singapore via a 4,300-kilometre sea cable. The project symbolised a vision for Australia to become a leading exporter of renewable electricity.
The rapid expansion of AI facilities is shifting energy priorities towards domestic infrastructure. Tech companies’ demand for electricity is creating new competition with planned renewable export projects.
Energy policy decisions now carry broader implications for emissions, the national grid, and Australia’s role in the global clean energy market. Careful planning will be essential to balance domestic growth with long-term renewable ambitions.
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Europe’s growing demand for cloud and AI services is driving a rapid expansion of data centres across the EU.
Policymakers now face the difficulty of supporting digital growth instead of undermining climate targets, yet reliable sustainability data remains scarce.
Operators are required to report on energy consumption, water usage, renewable sourcing and heat reuse, but only around one-third have submitted complete data so far.
Brussels plans to introduce a rating scheme from 2026 that grades data centres on environmental performance, potentially rewarding the most sustainable new facilities with faster approvals under the upcoming Cloud and AI Development Act.
Industry groups want the rules adjusted so operators using excess server heat to warm nearby homes are not penalised. Experts also argue that stronger auditing and stricter application of standards are essential so reported data becomes more transparent and credible.
Smaller data centres remain largely untracked even though they are often less efficient, while colocation facilities complicate oversight because customers manage their own servers. Idle machines also waste vast amounts of energy yet remain largely unmeasured.
Meanwhile, replacing old hardware may improve efficiency but comes with its own environmental cost.
Even if future centres run on cleaner power and reuse heat, the manufacturing footprint of the equipment inside them remains a major unanswered sustainability challenge.
Policymakers say better reporting is essential if the EU is to balance digital expansion with climate responsibility rather than allowing environmental blind spots to grow.
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Malaysia is accelerating its transition to a low-carbon and digitally driven economy by channelling investments into green technologies and innovation.
At the National Economic Forum 2025, Minister Chang Lih Kang outlined the country’s strategy to support sustainable growth through carbon management, hydrogen energy, green materials and circular economic models.
The government is also exploring advanced nuclear technologies such as Small Modular Reactors to support decarbonisation and enhance research, talent development and technology transfer.
A 17% increase in private R&D investment last year, mainly in clean energy and digital health, has helped build investor confidence. Authorities are now encouraging further growth through co-investment strategies, grants and collaborative innovation platforms.
Malaysia’s National Biotechnology Policy is also supporting biopharmaceuticals and agricultural biotech, in line with sustainability and ESG objectives. The Malaysian government aims to create a resilient, inclusive and innovation-driven economy for the next phase of regional development.
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Apple has made progress in reducing its environmental impact, according to the company’s own latest environmental progress report.
Its total greenhouse gas emissions dropped by 800,000 metric tons in 2024, marking a 5 percent reduction from the previous year.
Over the last decade, Apple has cut its global emissions by more than 60 percent, an achievement as emissions from other tech firms continue to rise due to the growing demands of AI.
The reduction stems from efforts to use renewable energy, increase recycling, and work with suppliers to cut emissions. Apple reported that its suppliers collectively avoided nearly 24 million metric tons of greenhouse gas emissions last year through cleaner energy and improved efficiency.
The company is also tackling highly potent fluorinated gases used in making semiconductors and displays, with all direct display suppliers and 26 semiconductor partners committing to reducing such emissions by at least 90 percent.
Recycled materials played a larger role in Apple’s products in 2024, making up nearly a quarter of all materials used. Notably, 80 percent of the rare earth elements and most of the tungsten, cobalt, and aluminium used came from recycled sources.
Despite these efforts, Apple still generated 15.3 million metric tons of CO₂ last year, though it aims to reduce emissions by 75 percent from 2015 levels by 2030 and eliminate 90 percent by 2050 to meet international climate goals.
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