Sydney data centre project scrapped after community pushback
Goodman Group, which sought to build a 90‑megawatt, A$1.2 billion data hub called Project Mars in Lane Cove, has withdrawn its application after a record 374 community submissions – only nine in support – sparked nationwide debate over the environmental and social toll of AI data centres.
The proposal would have placed the facility a mere 20 metres from the nearest house and drew fierce opposition from residents who warned of water, power and noise stresses on the suburban neighbourhood.
In a letter to the New South Wales Department of Planning, the company cited changing policy and the views of the local community as reasons for stepping back, saying the regulatory environment for large‑scale data centres had evolved substantially since March 2025.
The decision comes just after the state introduced a fast‑track scheme that could cut the approval period for future data centres to 75 days if developers fund additional water and energy supply upgrades.
It was described by NSW MLA Anthony Roberts as a win for the Lane Cove community, a common‑sense victory that signals developers must locate projects responsibly.
