NECA welcomes NSW Data Centre Framework and focus on skills and investment

The National Electrical and Communications Association has welcomed the Minns Government’s new NSW Data Centre Policy Framework, describing it as an important step towards securing major investment while ensuring the infrastructure and workforce required to support that growth develops alongside it.

NECA NSW Executive Director Mark Stedfut said data centres had become one of the most important growth areas for the electrical and communications contracting industry and were creating significant opportunities for contractors, electricians, apprentices and specialist workers.

“Data centres are highly electrical intensive projects. They require significant capability across high voltage and low voltage distribution, switchboards, critical power, uninterruptible power supplies, generators, battery systems, communications, controls, testing and commissioning.”

“For many electrical contractors, data centre work is becoming an increasingly important part of their project pipeline and investment decisions. Continued and sustainable growth in this sector will support thousands of jobs, apprenticeships and substantial long-term opportunities for Australian businesses.”

Mr Stedfut said NECA particularly welcomed the Government’s recognition that future data centre development must include a commitment to training and skills.

“We strongly support the Minns Government’s decision to recognise skills and workforce capability as part of the framework.”

“The electrical workforce cannot simply be assumed to be available. New South Wales needs significantly more electricians to deliver data centres at the same time as we are building housing, renewable energy, transmission, hospitals, transport, defence infrastructure and the broader electrification of the economy.”

“The answer is not to slow data centre investment. The answer is to use that investment to help grow the workforce Australia needs.”

NECA believes major data centre developments should genuinely contribute to additional electrical apprenticeships, structured apprentice training, specialist post-trade skills and increased training capacity through high-performing Registered Training Organisations and Group Training Organisations.

“Major data centre projects present an extraordinary training opportunity. They can expose apprentices and electricians to some of the most advanced electrical systems being installed anywhere in Australia.”

“If we get the settings right, these projects can do much more than consume skilled labour. They can help create the next generation of electricians and develop specialist capability that will ultimately benefit housing, energy, defence, healthcare and other critical infrastructure.”

Mr Stedfut said the industry also supported the principle that exceptional new demand for infrastructure should be accompanied by appropriate investment in the capacity required to support it.

“The Government has rightly recognised that major new demand for electricity and water should be accompanied by investment in additional supply. NECA believes the same principle should apply to workforce and training capacity.”

“If a major development creates exceptional demand for electricians and apprentices, there should be a corresponding investment in additional apprentices, trainers, training facilities and specialist capability.”

“This is about ensuring growth is sustainable and mutually beneficial. New South Wales should continue attracting data centre investment, while making sure that investment leaves the State with more electricians, better trained electricians, stronger electrical contractors and greater training capacity than we would otherwise have had.”

Mr Stedfut said NECA looked forward to working with the Premier, the Treasurer, Minister Scully, Minister Sharpe, Minister Chanthivong and the broader NSW Government on the implementation of the framework.

“The Government has established an important direction. NECA wants to work constructively with government, data centre proponents, electrical contractors and training providers to turn the commitment to skills into practical workforce outcomes.”