No decisions made as Whanganui District Council removes data centre information from its website
Whanganui’s mayor says no decisions have been made on data centre initiatives in the district but he is open to exploring “all options”.
Data centres are cooled buildings housing racks of servers and other IT hardware, with hyperscale centres having at least 5000 servers and floor space of about 930sq m.
Whanganui District Council recently removed information about data centre opportunities from one of its websites, saying it “did not provide enough context”.
The page, titled “Whanganui data centres as strategic infrastructure”, was shared in several Facebook groups but is no longer visible on Whanganui & Partners’ (W&P) website.
W&P is the council’s economic development agency.
On September 28, the Chronicle asked the council why the page was taken down, whether councillors were aware of any data centre initiatives, if they would be considered as a future investment, and if any work had been undertaken.
In a statement on its website on September 30, the council said the information was a case study, alongside opportunities such as synthetic fuel production, and wind and solar development.
“The material did not provide enough context about the status of any potential investment and could be taken to imply a confirmed council position,” the council said.
“That is not the case, so the material has been temporarily removed while the council brings the full background together and ensures any future information is clear about what is being worked on and why.”
The council shared the original W&P page contents with the Chronicle on October 5, following a request on September 30.
It said aWhanganui-led regional data centre hub offered a scalable platform to attract export-oriented artificial intelligence (AI) and cloud computing infrastructure into the country.
“Targeting non-latency-sensitive workloads such as AI training and high-performance computing, the hub leverages the country’s renewable energy advantage and stable operating environment.
“The model enables staged, multi-site development aligned with energy and infrastructure capacity, positioning Whanganui as a complementary regional node within New Zealand’s emerging data centre ecosystem.”
A global race for data centre investment was underway and New Zealand needed to act fast to convert its advantages into projects, customers and economic growth, it said.
“In the 2025 report from Boston Consulting Group, Future of NZ Inc: What Will New Zealand Be Known for in 2050?, they have identified data centres as a growth opportunity for New Zealand, harnessing the country’s competitive advantage in sustainable energy.”
Mayor Andrew Tripe said the council had made no decisions or given any direction around data centres.
“But to me, technology and energy are going to be big future industries we need to face into, and we need to understand what our role is,” he said.
“How can we play in that space? Whatever that is, is still up for grabs.”
Tripe said data centres came in different sizes – “I’ve got one sitting on my desk”, up to large operations with high energy demands, water depletion and noise pollution.
“I’m certainly no expert but I’m happy to explore all options.”
In a Facebook post, Whanganui Deputy Mayor Michael Law said W&P was “under fire online” for doing what it was paid for – looking at global economic trends that increased incomes, grew the economy and opened up conversations.
“Why is there suddenly anti-data centre lobbying going on?” he said.
“It’s all fallout from the USA. Misinformation in the US is even worse in little Whanganui.”
Law told the Chronicle he was “a technologist” and small-scale, New Zealand-owned data centres allowed for data sovereignty, raised wages and increased jobs.
However, he opposed centres similar to one being built by Datagrid near Invercargill.
That project began at Makarewa in August, with the company aiming to build a 78,000sq m centre on a 42ha site.
“If you’re against big, AI hyperscales that are foreign-owned, I actually support you,” Law said.
In August, University of Auckland commercial law professor and technology specialist Alex Sims told NZME she did not see any pros about hyperscale centres being built in New Zealand.
Multinational data centre owners sent profits offshore, she said.
“Tech companies are experts at minimising the tax they pay in high-tax countries such as New Zealand.”
Law said the council did not have the money or expertise to build a data centre.
“There are probably only six people in our whole district who understand what these even are and how to maintain them, and I’m one of them.
“It’s a private-market conversation and the council would only get involved when consent is required.”
In his view, elected members were aware of data centres through public information and events, Law said.
“During Whanganui Tech Week, we spoke about this to a room of 100 people, with councillors in that room.
“But there has not been any behind-the-scenes projects, or anything they’re leading, and there was no formal council meeting.
“But should there be? Should councillors be deciding what Whanganui & Partner looks at? I would say no.”
Mike Tweed is a multimedia journalist at the Whanganui Chronicle. Since starting in March 2020, he has dabbled in everything from sport to music. At present his focus is local government, primarily Whanganui District Council.