# Sydney data centre plan scrapped after local backlash

> Goodman Group withdraws its A$1.2bn Project Mars after residents oppose construction metres from homes.
- Title: Sydney data centre plan scrapped after local backlash
- Summary: Goodman Group withdraws its A$1.2bn Project Mars after residents oppose construction metres from homes. Goodman Group has withdrawn plans for a one point two…
- Keywords: goodman group, project mars, lane cove, sydney, data centre, australia, new south wales, ai infrastructure, news, world, data, centre
- Source: BBC News — https://bbc.co.uk/news/articles/c6n9wrqpj4yqo
- Published: 2026-09-28T12:47:09.383+00:00
- Read time: 1 min
- Topics: goodman group, project mars, lane cove, sydney, data centre, australia, new south wales, ai infrastructure, news, world
## Goodman Group scraps Sydney data centre
Australia's biggest property company Goodman Group has withdrawn its application to build Project Mars, a ninety megawatt data centre in Sydney's Lane Cove suburb, following intense community opposition.
## The facility would have cost A$1.2bn
Project Mars was a one point two billion Australian dollar facility that would have been constructed about twenty metres from the nearest house in the Lane Cove area.
## Record opposition from residents
The proposal received three hundred seventy four submissions during consultation, with just nine in support. According to local news website In the Cove, this is the highest number of submissions ever received for a data centre application.
## Wider debate over data centre role
Australia has become a global destination for data centre construction due to its clean energy and land, but the country faces stiff opposition over the huge demands these centres place on water and energy supplies and local disruption.
## Goodman cites changed regulatory environment
In its letter to New South Wales Department of Planning, Goodman Group said the policy and regulatory environment for large-scale data centre development had evolved significantly since starting the planning process in March two thousand twenty five.

> During this time, the policy and regulatory environment for large-scale data centre development has evolved significantly.
## Local MP hails community victory
Anthony Roberts, a member of the New South Wales Legislative Assembly representing Lane Cove, said the decision sends a clear message to other data centre developers to find suitable locations before putting proposals forward.

> This victory sends a clear message to other data centre developers. To find suitable locations before putting proposals forward.
## Key takeaway

Goodman Group has withdrawn plans for a one point two billion Australian dollar data centre in Sydney's Lane Cove after intense community opposition and three hundred seventy four consultation submissions.