House debates
Monday, 23 March 2026
Private Members' Business
Artificial Intelligence
11:56 am
Garth Hamilton (Groom, Liberal National Party, Shadow Assistant Minister for Energy Security and Affordability) Share this | Hansard source
It's a very important topic that we're speaking on—artificial intelligence—and I'd take a moment to acknowledge the member for Chifley, sitting opposite, and the contributions he's made to this and to my local manufacturing industry, which relies heavily upon AI and will continue to do so. So when I speak to this topic I'm speaking about local jobs. I think there are many people across the chamber who still focus on good jobs and good pay, and that's what should be driving this current debate.
We have seen the largest drop ever in productivity in Australia since Labor came to government—over a five per cent drop. We could have an argument as to the causes of that. The Labor government will point to events that have happened outside this nation, we will speak to policy decisions that the government has made, and we can have that debate about the causes of that. The important point, though, is: what are we going to do about it? What is the government of the day going to do to address that incredible drop in productivity—over five per cent?
We're blessed, in some ways, that at this time in Australia's history the opportunity AI presents has made itself available. We have to acknowledge that this is a race across the world. The people who want to build data centres that would support localised AI within each nation have constraints on their capital and are having to make decisions based upon where they can invest and who's going to support that the most. The countries that are able to best support the investment in data centres are going to have the most benefit. It's a very simple equation. And, given that drop in productivity, it's absolutely vital that Australia jumps into that race and leads it.
I was recently speaking to the headmaster of Toowoomba Grammar School about the role AI plays in the education system there. They've gone from a time when they would actively ban the use of AI in any assessments to considering how to include the use of AI in the assessment of kids—knowing full well that the jobs of the future will be for people who can use AI, who can use it well and who can understand it in the same way those of my generation learnt how to use the internet and those of previous generations learnt how to use AutoCAD or whatever was the driving technological advantage of the day. AI is going to be a tool that we have to use, and we have to get into that race. It's as simple as that.
I want to talk to what I think is the most important part of that conversation, which is cheap energy. Regardless of the moral views that come out in the energy conversation, if we want AI data centres to be built in Australia then we're going to need to provide them with cheap energy, or they're going to have to provide it for themselves. That's the reality that is faced all over the world, and everyone we speak to who is interested in investing in data centres has a No. 1 concern: what is the cost of energy? This is not a technology that can rely on intermittent power. This is not a technology that can just run when the sun is shining or when the wind is blowing; this is technology that needs to run 24/7. If we don't do that, we will not have the advantage of it. Of course, there is the question that's obviously put forward: what about batteries? To which I would answer: South Australia's battery is charged by coal and gas from New South Wales and Victoria. We see those numbers from AEMO every single day.
The cheap energy that Australia needs now and will need to get in front of the race for the development of AI data centres will come from things like coal and gas—and, goodness me, who knows, if we can get over ourselves and look around the rest of the world, maybe even nuclear. This is how the race is being won by other countries right now. We have a very short window to decide whether we actually want to be in that race or if we want to sit back and be bystanders and watch others take advantage. The only thing that we can offer at the moment is the stability of government. That's a good thing; of course, it's Australia's great advantage.
We are not building the structural advantages into our system of government as to why we would build an AI data centre in Australia. We do not provide cheap energy. The number one thing that will be needed, we don't provide. Until we do and until we make the firm decision that that's important to us and that we don't want to miss out on the next great leap forward that is happening around the world, we will fall behind; we will not win this race.
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