Councils across Sydney, New South Wales, are increasingly alarmed by the rapid growth of datacentres, which they argue is leading to significant negative impacts on local communities. Lane Cove Council reported a rise in blackouts linked to datacentre expansion, while the City of Ryde highlighted that a cluster of twelve datacentres in Macquarie Park is competing for valuable residential development opportunities. These developments are not only affecting housing but also raising health concerns due to the noise and emissions produced, particularly from back-up diesel generators. Furthermore, the additional pressure on local water supplies is delaying approved housing projects. Jess Miller, deputy lord mayor for the City of Sydney, noted that if all proposed datacentres are built, they would require approximately 4.4 gigawatts of power, equivalent to the needs of 10 million households, and could consume up to 25% of the city's drinking water by 2035. The Western Sydney Regional Organisation of Councils warned that without coordinated planning, the cumulative impacts of datacentre clusters could exacerbate existing pressures on electricity and water systems. The industry is under pressure to address these concerns, with the federal government recently releasing national expectations for datacentres. Local councils are calling for an overarching strategy to ensure datacentres operate as responsible corporate citizens.