Data centres

We do not determine the location of data centres. Data centre land use and development approvals are managed through Victoria’s planning system.

Data centres may require the need for an EPA Development Licence and Operating Licence if they trigger scheduled activities under the Environment Protection Regulations. Typical scheduled activities undertaken by data centres include:

K01 – Power Generation: capacity to generate at least 5 MW of electrical power. Hyperscale Data centres typically generate power above this threshold and we expect most to trigger permission requirements.
G04 – Bulk Storage: storage of combustible liquids (diesel) in tanks larger than 10,000 litres (0.01 ML) in a single vessel, and where the total site capacity exceeds 1 ML (these are major hazard thresholds which are typically regulated by WorkSafe only if classified as "Dangerous Goods").

Data centres are encouraged to access our permissions proposal pathway guideline early in their planning to obtain advice on whether they require an EPA permission.

In some instances, we may play a role in providing advice to planning authorities, if referred. If referred, we provide advice regarding the proposal’s consistency with the Environment Protection Act 2017 during the planning stage to inform the planning authority’s decision making. We do not make the decision in relation to this process, this sits with the planning authority.

While only some data centres may trigger a permissioning requirement, all data centres are required to comply with their environment protection obligations in accordance with the Environment Protection Act 2017, including the General Environmental Duty, and any conditions attached to an EPA permission.

Data centres are not exempt from their obligations to operate in a way that reduces the risk of harm to human health and the environment. We regulate existing data centres, as it does for all industrial operations, through compliance and enforcement activities such as responding to pollution reports regarding noise, air quality, and other environmental protection matters within its remit.

Your legal obligations

The Environment Protection Act 2017(opens in a new window) establishes the legal framework for protecting human health and the environment in Victoria from waste and pollution.

Duties

The Act sets out 13 duties to protect human health and the environment. Duties apply to individuals and businesses.

The general environmental duty applies to any activity that creates a risk of harm to human health and the environment.

Other duties may also apply to your activities, including:

Regulations

The Environment Protection Regulations 2021(opens in a new window) support the Act to address some risks of harm that need further controls.

There may be specific requirements that apply to your activities under the Regulations.

Permissions

Under the environment protection legislation, we issue permissions for some activities. These include licences, permits and registrations. Different types of permissions have different requirements.

Find which permission you need.

Compliance and enforcement

We:

support businesses to comply with the law through guidance and education
enforce the law if the environment or community is deliberately or negligently exposed to harm.

Our authorised officers visit businesses and premises to conduct inspections, provide advice and assess compliance with the law and any specific permission conditions.

Local councils also have powers to enforce certain environmental laws.

Risk management

It's your responsibility to understand and manage the risk of harm to human health and the environment from pollution and waste from your data centre’s operation or associated activities.

Use a risk management process to help you eliminate or reduce risks so far as reasonably practicable.

Common hazards

A hazard is something that can cause harm to human health or the environment, particularly if it's not managed well.

As part of the risk management process, you must identify hazards and assess their risks.

Common hazards that may be present at data centres include:

This is not a complete list, but it gives you an idea of some hazards that may impact human health and the environment. Every business is different and has a unique set of hazards and risks.

If you need more information to better understand hazards in your business, sources of information include:

Department of Transport and Planning for information about Victoria’s planning system
Local councils for information on building regulations and the Victorian planning schemes and what they mean for your operations
Victorian Building Authority for information about Victoria’s building regulatory framework
WorkSafe Victoria for guidance and advice relating to health and safety at your workplace, including storing, handling and transporting dangerous goods
Fire Rescue Victoria for guidance and advice relating to fire safety design.

Control measures

The controls you put in place depend on your business activities and hazards.

Check controls regularly to make sure that they’re working, well maintained and effective and that they remain the most appropriate option.

We also have some information about controls:

Updated 31 August 2026