Extract from ABC News
Anthony Albanese says AI companies will not be able to use Australian books, music, art or news to train AI "without the artist's control". (AAP: Dan Himbrechts)
In short:
A new set of standards for artificial intelligence will provide clear rules for data centres, forcing them to minimise water usage and underwrite or supply their own power.
Anthony Albanese vows that AI companies will not be able to use Australian books, music, art or news to train AI "without the artist's control".
What's next?
The prime minister will seek agreement from state premiers and territory chief ministers over the new set of standards at a national cabinet meeting next month.
Australia will force data centres to minimise water use and fund their own power supply under mandatory national rules, as Anthony Albanese moves to centralise oversight of artificial intelligence.
The prime minister warned Australia had a narrow window to set AI's "social licence" as he acknowledged gaps and risks in the currently fragmented approach to the technology in a major address at the University of Sydney on Wednesday.
Mr Albanese also used the speech to give Australian musicians, writers and artists strong assurances they would maintain control over their work and get to name the price in any copyright deals with AI companies.
"Anything less is theft," he said.
Speaking to 7.30, Mr Albanese doubled down on his support for artists and said he was not worried Australia's copyright settings would prevent AI giants like Anthropic from investing in Australia.
"We're confident the advantages that Australia provides will see significant investment here," he said.
"I've met with a range of the companies. We've made clear to them our position and today we've made that very publicly clear as well."
His speech earlier did not include concrete announcements related to AI-specific legislation, funding, tax incentives, copyright, consumer rules or workplace rights, with specific measures expected to come following consultation.
But Mr Albanese confirmed he would seek state and territory agreement for "clear, consistent and mandatory" data centre Australian standards at a meeting of the national cabinet next month.
Legislation for these standards would then be brought to parliament early next year.
PM says workers should not be shut out of AI debate
On the union-led push for workers to have a say on how and what types of AI were introduced to their workplace, Mr Albanese told 7.30 he hoped people would understand the changing landscape.
Anthony Albanese has delivered a major speech outlining the government's response to artificial intelligence. So, what's their plan?
"I'm encouraging workers to recognise that artificial intelligence is happening," he said.
"Change is happening and they have an interest in shaping that change because if not, then they don't get a say."
Mr Albanese said businesses could have "massive productivity benefits" from using AI.
"We need to make sure that workers though aren't shut out of those discussions. They have an interest in businesses being successful because the more successful businesses means better workplaces and better conditions," he said.
Sally McManus says employers need to consult and mitigate against negative effects on workers. (AAP Image: Joel Carrett)
ACTU Secretary Sally McManus is happy to see the government moving on a coordinated approach to ensure Australians can "get the benefits and not the harms" of AI.
Asked whether workers' rights should be included in the guardrails, she said it was already on employers to consult and mitigate against the effects on people.
"Behave as you should behave, and they've got nothing to worry about," she told the ABC.
"But if they want to use it to increase their profits and not share it with working people, then people of Australia won't put up with that."
Electricity, water rules mandatory for data centres
The prime minister said Australia had an opportunity to establish AI's "social licence" before major investments became entrenched, acknowledging the government could not wait until companies had already built data centres before negotiating conditions.
He positioned AI as both an economic opportunity and a strategic national security issue, repeatedly arguing Australia should develop sovereign capability rather than simply hosting foreign-built infrastructure.
"Our great country can be much more than a data warehouse for AI products made overseas," he said.
"We can do much more than manage investment in ideas from elsewhere."
The rules will detail where the data centres can be built and explain how much power and water they will be able to use. (Supplied: Cloud Carrier)
As part of the proposed standards, future large-scale AI data centres would face mandatory obligations around electricity, water and infrastructure.
Mr Albanese said new facilities would be required to underwrite new electricity generation and pay the full cost of connecting to the grid so households were not left footing the bill.
He said the data centre companies would have to contribute at least as much energy to the grid as they consumed, including both renewables and firming power.
The government would also require the centres to minimise water use and pay for any additional water infrastructure where necessary.
Mr Albanese said the national standards would replace the existing piecemeal approach involving different levels of government and provide greater certainty for investors, while ensuring communities retained confidence in major developments.
South Australia is the only state with a dedicated data centre framework, while the Queensland government last month warned further work would be needed before it would adopt any "underdeveloped national proposals" around renewable energy requirements.
Albanese confronts copyright fears
The prime minister addressed the concerns of copyright holders directly in his speech, warning tech companies that, while the government would cooperate with sharing factual information, "not everything produced in Australia is up for grabs".
"Australian writers, musicians, artists and journalists must retain ownership and control of their work," he said.
"Our laws will spell that out plain as day."
Artists have previously urged the government to leave existing copyright laws in place, while AI giants like Anthropic have pushed for alternate proposals like a shared creative fund to compensate artists.
Mr Albanese's comment suggested the potential for a change in laws, but he was clear in stating the price of copyright material would be set by the artists.
"No company should use Australian books, music, art or news to build or train AI without the artist's control, and that includes the artist's control of the price and value of their work," he said.
Mr Albanese said "no country" had got AI and copyright "right yet".
"Nowhere do artists or rights holders have sufficient control of their work when it comes to AI training," he said.
"And that is why the best way to secure the strongest copyright protections for Australian artists is for Australia to be active and involved."
Australia's only option is to 'shape' AI revolution
Mr Albanese confirmed the opening of a new Office of AI to sit within the Department of Prime Minister and Cabinet to coordinate work already underway across education, employment, climate and energy, copyright and defence portfolios.
The prime minister said AI would become central to Australia's productivity, economic resilience and sovereign capability.
"We should not treat AI as a threat to good jobs; we must use it as an instrument to help create them," he said.
Mr Albanese said Australia was "past" the point of being able to decide "if or when" AI would transform the economy.
"This is about Australia shaping the future rather than letting the future shape us," he said.
"You do not need to be an expert in AI to have a say or a stake in it. We are all involved."
Mr Albanese said AI would be a test of Australia's resolve, cooperation and ambition.
"If we mobilise our resources and coordinate our efforts, if we move with the urgency that the speed of this change demands, if we build to match the scale of the opportunity that this moment presents, and if we do it the Australian way, true to our values and our standards, we can make AI work in Australia's national interests," he said.
In response to Mr Albanese's speech, Anthropic's general counsel Jeff Bleich said the company had been clear for "some time" that societal-level solutions were needed for AI.
He said it would bring "significant benefits and unprecedented challenges" to democracies, economies and national security.
"We respect the process articulated by the prime minister today for establishing Australia's AI framework and take seriously Anthropic's responsibility to meet the terms set out by the Australian government for AI developers," he said.
Social media ban proves Australia's potential
Mr Albanese also outlined Australian initiatives that have gone on to gain traction around the world, from the minimum wage and eight-hour workday, to superannuation, the social media age ban and granting women the right to stand for parliament and vote.
He said there was also a lesson in the social media regulation in that the outcomes for many people could have been different if governments had "acted" to tackle harms a decade ago.
"Imagine the difference it would have made if these limits had been put in place when the world first grasped the risks of these platforms, when we first understood their reach, and indeed, their power," he said.
"That is the opportunity and the choice that we have now with artificial intelligence."
David Shoebridge has been critical of the prime minister's plan, arguing he has "totally missed the moment". (AAP: Lukas Coch)
After the speech, Greens senator David Shoebridge said Mr Albanese had "totally missed the moment" to provide a "clear statement" on how the government would regulate AI and protect Australians.
"What we need from this government, what we need from the parliament, are clear legislated protections, yes, for the environment, but also for our own control, for our industry, for control over our own data," he said.
Independent Curtin MP Kate Chaney said it was "about time" the prime minister took AI "seriously" and described the decision to make data centre expectations mandatory as "promising".
"But public confidence and trust will only be built upon if the expectations of AI infrastructure developers are strengthened and legislated," she said.
"Addressing the data centre challenge is of great importance to Australians, and I urge the government to move as fast as possible to progress this."
Climate Council chief executive Amanda McKenzie said the AI-driven surge in data centres would have a "profound" impact on Australia's energy system and environment, arguing the government must "adequately regulate" the infrastructure.
"Australia is a very attractive location for data centre proponents, but it means that we need strong guardrails to protect our standard of living; we need these things to work for us," she said.
Australian Chamber of Commerce and Industry (ACCI) chief executive officer Andrew McKellar said he awaited the details but hoped that regulation in the AI space would not deter investment.
"The success of any framework will depend on whether it provides certainty for investors, encourages innovation and helps Australia attract the investment needed to realise the opportunities AI presents," he said.
'Clear message' to AI companies welcomed
Australian Recording Industry Association (ARIA) chief executive Annabelle Herd has welcomed Mr Albanese's commitment to creatives and said it was a "clear message" to AI companies that they must "get on with licensing" deals.
Anthony Albanese has weighed in on the AI economy.
"The prime minister could not have been clearer. Australian writers and musicians keep ownership and control of their work," she said.
"Artists control what that work is worth, not the government and not a technology company."
Ms Herd said control of price, value and terms of use underpinned commercial licensing markets.
"That is how licensing works everywhere else in the world, and it is how it should work here," she said.
