Large data mining centres can require significant cooling.

Northam cannabis facility and data mining centre 

A Northam resident has questioned the approval process regarding a hydroponic cannabis facility and data mining centre at the AvonWest transport and logistics hub.
February 12, 2026
Mike Peeters

NORTHAM resident Amber Balfour-Cunningham has raised concerns about the approval process regarding a hydroponic cannabis facility and data mining centre at the AvonWest transport and logistics hub.

The hub is about an hour east of Perth on a 62ha industrial-zoned site along Great Eastern Highway, Malabaine.

Ms Balfour-Cunningham said the first development was a 7.5m tall cryptocurrency mining server with a lot size of between 5000 and 7000sqm.

“This was approved by the Shire of Northam without public consultation,” she said.

She said few details were available about one of WA’s first cryptocurrency mining facilities.

She said such mining operations typically housed thousands of computers using large amounts of electricity 24/7 to check and record specific transactions of computer code, earning digital ‘crypto’ coins as a reward.

She added that to prevent the computer servers overheating, air conditioning needed to be run constantly or gigalitres of cold water piped around the computer equipment.

According to a recent United Nations report, global bitcoin mining has a significant carbon footprint and is highly dependent on fossil fuels with worrying impacts on water and land.

When questioned at a recent Shire of Northam council meeting about who would be operating or managing the approved crypto mining facility, the Shire of Northam stated the shire’s records identified only the applicant (planning consultancy) and the landowner.

In response to further questions, the shire said the approval was issued as ‘warehouse use’, which is a permitted (P) use within the current zoning of the property (Light and Service Industry).

Procon Developments, which is leading the establishment and development of the $500 million AvonWest logistics precinct, has one crypto ATM at its Atlas fuel station in Northam.

There is also another at a local property investor’s retail business.

Ms Balfour-Cunningham also questioned the recent regional Development Assessment Panel (DAP) approval of a hydroponic cannabis growing facility at the AvonWest industrial hub.

In its submission, Hidding Urban Planning, acting for Procon Developments, asked that the proposed hydroponic growing facility be considered as a ‘use not listed’ and therefore part of the Light and Service Industry zone.

According to council minutes, the facility will produce pharmaceutical grade medicinal cannabis under licence, with permits issued by the federal Office of Drug Control (ODC).

In the minutes, it is stated the facility will comprise growing rooms, drying and storage areas, packaging and warehouse space, a loading dock (for 19m vehicle access), and parking for three articulated trucks and18 cars.

The entire facility will also be security fenced using a 2.4m high steel anti-climb fence, with gates to driveway and loading areas, including an electrified perimeter, 24/7 monitored CCTV, biometric access, tamper detection systems and onsite security personnel.

The project, which is being undertaken by Netherlands-based company Vitaponix, will be operational on its own microgrid.

In her deputation against the approval of the cannabis hydroponic growing facility, Ms Balfour-Cunningham said the proposed development was not consistent with the intended land use of the Light and Service Industry zone.

Other major concerns included the odour and emissions risk, conflict with its location next to a truck assembly area, negative impacts to Northam’s visual landscape and valley setting and a lack of consideration regarding vegetation clearing and environmental matters.

“The facility is an example of piecemeal planning that has current and future implications for Northam’s rural character and environment,” Ms Balfour-Cunningham said.

“In essence, the proposal presents unresolved risks relating to odour, security, environmental impacts, and visual amenity at a prominent entry point to Northam.”

Privately owned, proudly independent local news service.

ALL IMAGES & WORDS © 2023 Echo Newspaper
linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram