A new national project aims to cut energy use and emissions in Australian data centres through a hybrid quantum and AI optimisation platform. Backed by an AUD 1.1 million grant under the Federal Government’s National Critical Technologies Challenge Program, the initiative will move from simulation to live deployment inside a facility operated by NextDC.
The project is led by La Trobe University and was announced by Kate Thwaites MP, Federal Member for Jagajaga. The consortium includes La Trobe’s Centre for Data Analytics and Cognition, the University of Western Australia’s Centre for Quantum Information, Simulation and Algorithms (QUISA), and industry partners NextDC, Fujitsu and AQ Intelligence.
Researchers will develop a hybrid framework combining quantum-inspired algorithms, quantum machine learning and advanced classical optimisation. The focus is on improving the efficiency of heating, ventilation and cooling (HVAC) systems, which can account for up to 30 percent of a data centre’s total energy use.
The system will first be tested in a high-fidelity digital twin. It will then be deployed in a physically isolated operational testbed within a NextDC data centre to measure reductions in energy use and emissions under live conditions.
Professor Damminda Alahakoon of La Trobe said the rapid growth of cloud computing and AI has shifted workloads into purpose-built facilities, delivering sustainability gains. The next phase requires more advanced optimisation as infrastructure evolves.
NextDC CEO Craig Scroggie said: “By applying quantum-inspired techniques to real-time energy and cooling systems inside an operational data centre, we are targeting improvements in power utilisation at scale.
“As AI accelerates, the challenge is not simply producing more energy, but orchestrating it intelligently. Delivering this capability in an operational facility strengthens Australia’s sovereign quantum and digital infrastructure capability and positions us to lead research in this field of next generation sustainable, high-performance AI computing systems.”
Fujitsu Oceania CEO Peter Grassi highlighted the use of quantum simulators and Digital Annealer technology, while Professor Jingbo Wang of QUISA said the project would assess measurable efficiency gains in real-world environments.
The programme aligns with Australia’s National Quantum Strategy, National AI Plan and Victoria’s Sustainable Data Centre Action Plan. Beyond data centres, the framework may support manufacturing, logistics, smart buildings and renewable energy systems.
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