Firmus Bell Bay data centre has been recommended for approval by George Town Council planners, clearing a major planning hurdle for the proposed 288-megawatt artificial intelligence facility in northern Tasmania.The project, planned for the former Gunns pulp mill site at Long Reach near Bell Bay, will face a final vote by the full council next Tuesday.
Planners found the development compliant with the Tasmanian Planning Scheme and proposed a series of conditions covering bushfire management, noise, stormwater, air quality and generator use.The council is scheduled to vote on the application on Tuesday. More than 300 public submissions were received, along with an online petition that attracted thousands of signatures. Community concerns focused on the facility’s expected energy and water use, as well as potential noise and light impacts from a 24-hour operation.
George Town Mayor Greg Kieser has noted that the council’s role is limited to assessing whether the proposal meets the planning scheme. Many of the broader issues raised by residents, including long-term power supply and water allocation, fall under separate state or utility processes.Firmus has described the Bell Bay site as well suited for large-scale digital infrastructure. The land sits within an established industrial precinct, already serviced by high-voltage power lines, a bulk water main and heavy-vehicle road access.
The company plans two purpose-built data hall buildings, an office and a maintenance workshop on previously disturbed industrial land, staying within existing height limits.The facility is expected to draw approximately 288 megawatts from the grid. Tasmania’s electricity supply is dominated by hydro, wind and solar generation, though the scale of the project has prompted questions about future generation capacity and the cumulative impact of multiple data centres planned across the state.Firmus is also advancing other Tasmanian projects, including a centre under construction near Launceston and a potential third site.
The company has raised substantial equity in recent months and has flagged a potential Australian sharemarket listing valued in the billions of dollars.The Environmental Protection Authority assessed the risk of environmental harm from the Bell Bay proposal as very low or negligible under the conditions recommended. Greens representatives have called for greater transparency around energy and water negotiations and raised questions about late-added conditions on noise.
Data centre development has become a flashpoint across Australia as AI companies race to secure large blocks of power and land. Local communities frequently express concern about resource use, visual impact and the distribution of economic benefits. State governments, meanwhile, have been balancing the desire to attract investment with requirements for renewable energy, community consultation and social licence.
Firmus has previously said it supports extended consultation periods when requested and is committed to working with local stakeholders. The company positions its Tasmanian projects as part of a broader strategy to build sovereign AI infrastructure in Australia and the Asia-Pacific region.If approved, the Bell Bay centre would represent one of the larger single AI data centre commitments in the state. Construction timelines and final power and water agreements would still need to be finalised after any planning permit is issued.The Tuesday vote will determine whether the project proceeds to the next stage or faces further conditions or refusal.
Whatever the outcome, the decision is being watched closely as a test case for how regional councils handle large-scale AI infrastructure proposals amid growing public scrutiny.
