Developer 'pauses' AI data centre proposal after it 'misread' community feeling

A developer says it has paused its plans to build a 1200-megawatt AI data centre in the Adelaide Hills, saying it "misread" community feeling about the proposal.

Quantum DC chief executive Alby Tomassi said the company would not seek development approval this year and would instead undertake a "longer-term and more comprehensive engagement programme" to address community concerns.

"We misread the strength of feeling about this proposal and acknowledge the first weeks of our early engagement created more questions than answers," Alby Tomassi said in a statement.

"We sincerely apologise for this, and we understand the disappointment and frustration it has caused. That is why we are pausing and intend to take a fresh approach to how we engage and how this proposal is tested."

Quantum DC is proposing a 1,200-megawatt hyperscale data centre along with energy infrastructure on Collins Road in Tungkillo, about 41 kilometres directly east of the Adelaide CBD.

It had scheduled two community consultation sessions last month but postponed them to a later date amid safety concerns.

In their absence, locals instead convened their own protest meetings where a few hundred attended.

Mr Tomassi said the company has been contacted by more than 350 people about the proposal and the community had submitted a consolidated list of 432 questions.

He said the issues raised related to water, energy, noise, lighting and the night sky, traffic, bushfire, farming land, location and the local environment.

Quantum DC said it would now convene a panel of independent experts to review specialist studies and make their findings public.