Firmus Technologies announced plans to build three AI data centres in Tasmania, a project that would require 444 megawatts of electricity – enough to make it the state’s largest power consumer. The company later withdrew its Australian Securities Exchange listing after weak demand, cancelling a $7 billion fundraising effort.

Public sentiment turned sharply negative. EMRS polling in September showed most Tasmanians, especially women and younger people, oppose the AI data centres. Around 80 residents gathered at a George Town council meeting to demand the proposal be rejected.

The backlash focused on three main issues: the company’s plan to use irrigation water for cooling without consulting farmers, the perceived lack of community consultation, and worries that backup diesel generators could be used more often than promised.

Despite the community outcry, the Tasmanian government has continued to back Firmus, maintaining political support even after the IPO cancellation. The Greens, however, have criticised the government’s unwavering stance, saying the company’s projects have not addressed the raised concerns.

Investors are now watching closely. The failed IPO and ongoing protests signal that raising private capital will be harder, and the uncertainty over power supply and environmental impact could delay or derail the data centres. The case illustrates how environmental, social and political factors can stall high‑tech projects.