Investment Delivery Authority Data Centre Case Study

These hypothetical case studies are provided to help proponents better understand how the Investment Delivery Authority (IDA) process can support complex, high-value projects. 

These examples offer practical insights into how early coordination, strategic facilitation, and multi-agency engagement can help unlock delivery, reduce delays, and support proponents in navigating planning and infrastructure challenges.

Project overview

Proposal for a hyperscale data centre in a transitioning industrial area with estimated development cost of $1.2 billion. Located on industrial land, with no proximity to sensitive receivers. Broadly aligned with infrastructure planning for digital and energy resilience.

Examples of potential barriers, delays or issues

• Permitted use under existing planning controls, but potential issues with standards such as height limits that may require a concurrent planning proposal to amend the development standard
• Potential concerns about water supply and wastewater/trade waste infrastructure in the area. The challenge is not the individual facility, but cumulative servicing impacts from multiple clustered developments
• Electricity network capacity issues i.e., amount of time required to approve and implement network upgrades
• The proposed design is not consistent with the infrastructure scenario that informed the precinct’s rezoning. This has introduced uncertainty around assessment scope and methodology, contributing to delays
• Other challenges could include issues such as road access, air quality, noise, and emergency management. 

How IDA and NSW Government agencies could assist

• Facilitate early coordination between the Department of Planning, Housing and Infrastructure (DPHI), councils, and agencies to resolve infrastructure priorities and sequencing
• Recommend a concurrent state significant development (SSD) / planning proposal pathway to the Minister for Planning and Public Spaces, where justified
• Provide early intelligence and engagement with Sydney Water to support servicing strategy development and capacity allocation
• Facilitate or support identification and investigation of solutions for servicing (roads, water or wastewater/trade water) or construction challenges that may impact post-consent development timeframes
• Investigate opportunities to reprioritise existing servicing and infrastructure plans, where appropriate. 

Why IDA support may be appropriate

• High-value strategic infrastructure project with alignment to NSW’s digital economy goals
• Located in a well-planned precinct with minimal community sensitivity
• Complex multi-agency interfaces that benefit from coordinated government support
• Issues are significant but not insurmountable — early facilitation could unlock delivery.