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Last Update: 10/27/2026 at 5:34 AM EST
Data Centers and Water
Coverage from EY, Data Center Knowledge, and others
Data-center cooling can draw on municipal supplies, groundwater, or nearby surface waters, creating competition with household and other local needs.
Evaporative cooling can consume substantial water, while closed-loop, air-cooled, liquid-cooling, and reclaimed-water approaches offer different tradeoffs in water use, energy demand, and operating conditions. Water discharged from cooling systems may carry concentrated chemicals or excess heat, raising questions about wastewater treatment, permits, and effects on aquatic ecosystems. Understanding these impacts means looking beyond on-site consumption to water sourcing, reuse, public reporting, and—in some cases—the water demands associated with electricity generation.
Key Articles4 of 96 articles
If you read one thing
It clearly introduces local water constraints and the tradeoffs between cooling efficiency, water use, and resilience.
The evidence
It explains and quantifies how electricity generation can add a much larger, poorly disclosed water footprint than on-site cooling.
Best explainer
It lays out the treatment, infrastructure, monitoring, and approval requirements behind reclaimed-water cooling.
The local angle
Its utility and permitting cases show how commissioning wastewater can create concrete treatment and discharge problems for local communities.
Key Issues
Local water availability constrains development
Water stress, competing demands, and limits on municipal or groundwater supplies make local hydrology a material constraint on data-center siting and expansion. Cooling demand is difficult to curtail during drought, increasing the importance of assessing supply and peak conditions before projects are approved.
Electricity generation adds a major indirect water footprint
Water used to generate data-center electricity can substantially exceed on-site cooling use, with exposure tied to the location and water intensity of the power supply. Estimates vary by scope and methods, and sparse power-plant reporting limits precision.
Cooling choices trade water use against energy and cost
Evaporative cooling remains attractive for cost and electricity efficiency but can consume substantial water; closed-loop and air-cooled alternatives can reduce direct water demand while adding energy, capital, or operational burdens. The appropriate balance depends on site conditions and system design.
Reclaimed water offers relief but requires substantial systems
Treated wastewater and other non-potable sources can reduce reliance on drinking-water supplies and improve cooling resilience. Their use depends on treatment and monitoring, dedicated distribution and storage, and jurisdiction-specific approvals, adding cost and implementation complexity.
Fragmented disclosure limits planning and oversight
Facility-level water-use information remains incomplete or fragmented, making it harder for communities and regulators to judge local impacts and plan supply. Reporting, siting, and permitting approaches are developing across jurisdictions but remain uneven.
Key Numbers
3.4 trillion gallons
water withdrawals associated with data center electricity use
“A Ceres report estimated that electricity used by data centers in Virginia, Texas, California, Illinois, Georgia, Ohio and Arizona was associated with 3.4 trillion gallons of water withdrawals in 2024. The report found that 78% of electricity in those states came from water-dependent power plants, while 66% was generated in areas facing medium-high to extremely high water stress.”
66% percent
electricity generated in areas facing medium-high to extremely high water stress
“A Ceres report estimated that electricity used by data centers in Virginia, Texas, California, Illinois, Georgia, Ohio and Arizona was associated with 3.4 trillion gallons of water withdrawals in 2024. The report found that 78% of electricity in those states came from water-dependent power plants, while 66% was generated in areas facing medium-high to extremely high water stress.”
78% percent
electricity generated by water-dependent power plants
“A Ceres report estimated that electricity used by data centers in Virginia, Texas, California, Illinois, Georgia, Ohio and Arizona was associated with 3.4 trillion gallons of water withdrawals in 2024. The report found that 78% of electricity in those states came from water-dependent power plants, while 66% was generated in areas facing medium-high to extremely high water stress.”
40–60%
share of total energy consumption used by cooling systems
“In the Middle East, where summer temperatures frequently exceed 45°C, thermal management has become a defining operational challenge. Cooling systems typically account for 40–60% of total energy consumption and drive peak electrical load during periods of extreme heat.”
45°C
summer temperature threshold
“In the Middle East, where summer temperatures frequently exceed 45°C, thermal management has become a defining operational challenge. Cooling systems typically account for 40–60% of total energy consumption and drive peak electrical load during periods of extreme heat.”
Looking Back
147 Day Timeline
May 6
May 30
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Sep 3
Sep 27
The Story So Far
No material change
No new member articles were supplied, so there is no evidence of a material change in the Topic since the prior state.
Previously
AI and cloud computing growth is making water availability a more prominent factor in data center siting, cooling design, and local infrastructure planning. Evaporative cooling can use substantial on-site water, while closed-loop and air-cooled systems may reduce direct withdrawals but can increase electricity demand and associated water use. Operators and communities are also weighing reclaimed-water systems, wastewater controls, disclosure, and increasingly varied state and local requirements.
All Articles96 articles
Important
Data center investors, lenders, and insurers are incorporating water scarcity into financing and operating decisions through 2030 across water-stressed U.S. regions.
8/10/2026 • Water & Cooling • General
Data center operators face growing water constraints as AI demand expands, with Virginia and Alberta examples showing limits on groundwater and municipal supplies.
9/23/2026 • Water & Cooling • General
RSP Engineers describes reclaimed-water cooling systems for data centers, including treatment, dedicated piping, storage, permitting, and backup supplies at project sites.
9/6/2026 • Water & Cooling • General
U.S. data center expansion is increasing direct and indirect water demand, particularly in drought-prone states using evaporative cooling and water-dependent power plants.
9/3/2026 • Water & Cooling • General
State and local regulators are expected to impose stricter wastewater controls on data centers after Meta's Cheyenne, Wyoming, facility faced discharge restrictions in 2026.
9/2/2026 • Water & Cooling • General
As AI demand accelerates, Middle Eastern data center developers are integrating cooling, power, and water systems to improve resilience in Saudi Arabia and the UAE.
9/1/2026 • Water & Cooling • General
Data centers in seven U.S. states drive substantial indirect freshwater demand through electricity generation, particularly in regions facing drought and water stress.
8/25/2026 • Water & Cooling • General
Researchers, operators, and regulators are reassessing AI data-center water demand in the United States and Europe as cooling systems, electricity sources, and local water conditions produce sharply different impacts.
8/6/2026 • Water & Cooling • General
Governments, utilities, and data center operators are being urged in the 2020s to establish mandatory facility-level water reporting across the United States and European Union.
8/3/2026 • Water & Cooling • General
The Congressional Research Service examined in the 2020s how expanding U.S. data centers increase water demand, wastewater risks, and permitting requirements.
7/31/2026 • Water & Cooling • General
Oshkosh, Wisconsin considers a one-year moratorium on data centers as Phoenix and Utah projects face water-demand and permitting disputes.
7/26/2026 • Water & Cooling • General
Harvard researchers estimate large U.S. data centers use 300 billion liters of water yearly, mostly from electricity generation rather than facility cooling.
7/13/2026 • Water & Cooling • General
Bluefield Research forecasts Europe data center water-related spending will reach EUR 6.8 billion by 2036 as AI growth increases cooling, treatment, and indirect water exposure.
6/26/2026 • Water & Cooling • General
States and some municipalities require additional water disclosures and permitting for data centers, including closed-loop cooling and reclaimed-water use in water-scarce areas.
6/24/2026 • Water & Cooling • General
Kathy Hochul cited water needs in New York during a statewide moratorium as officials in Indiana and Georgia raised concerns about data-center cooling demand and water supply constraints.
7/16/2026 • Water & Cooling • General
The Congressional Research Service estimated that US data centers consumed 17 billion gallons of water in 2023 amid accelerating AI infrastructure construction.
8/24/2026 • Water & Cooling • General
EPA WRAP 2.0 and state-by-state reuse rules are increasingly shaping data center cooling and water recycling plans in multiple U.S. states.
6/5/2026 • Water & Cooling • General
Cheyenne, Wyoming, utilities fined a data center developer in response to detected Cupriavidus gilardii tied to fill-and-flush wastewater during closed-loop cooling commissioning.
7/20/2026 • Water & Cooling • General
DC E-WISE ranks cooling configurations for a 54 MW Phoenix colocation data center, showing energy versus onsite water priorities can change preferred designs.
6/12/2026 • Water & Cooling • General
Ceres estimated that data centers across seven U.S. states indirectly consumed 3.4 trillion gallons of freshwater through power generation in 2024, with water-stressed regions facing potentially higher demand by 2030.
8/25/2026 • Water & Cooling • General
Indian data centre operators are being urged to reduce water demand and use treated non-potable sources, as water-stressed facilities across India face growing resource constraints.
9/29/2026 • Water & Cooling • General
Riveer offers containerized reverse osmosis systems for data center liquid-cooling installations at utility-served and remote sites.
9/16/2026 • Water & Cooling • General
Researchers published a September 3, 2026 review in ESS Open Archive finding that AI and cloud data centers are intensifying freshwater risks in developing countries.
9/3/2026 • Water & Cooling • General
Data center developers must evaluate cooling systems, water supplies, wastewater controls, and utility capacity early in project planning to support reliable facilities at proposed sites.
9/3/2026 • Water & Cooling • General
Data center operators continue using evaporative cooling in facilities worldwide, while closed-loop systems and treatment technologies provide costlier options for reducing water consumption and discharge.
9/2/2026 • Water & Cooling • General
A new analysis finds that United States data centers can trigger substantial additional water consumption through power generation, particularly across the Southeast.
8/20/2026 • Water & Cooling • General
US and international data-center operators are redesigning facilities and cooling systems in the 2020s as local water stress affects AI infrastructure siting and development.
8/19/2026 • Water & Cooling • General
UC Riverside and Caltech estimate U.S. community water systems may need $10 billion to $58 billion in new infrastructure by 2030 as peak-day demand from AI-linked data centers rises.
7/21/2026 • Water & Cooling • General
Val Frenkel and co-authors receive a 2026 American Water Works Association best article award for a data center water-energy framework and mitigation recommendations in the 2020s.
6/27/2026 • Water & Cooling • General
Idaho and Washington bills and local opposition cite data-center water use concerns while Meta's Kuna project highlights water-right transfers and regional context.
6/20/2026 • Water & Cooling • General
University of Georgia Cooperative Extension TP 121 links data center cooling expansion to groundwater and surface-water withdrawal and discharge impacts, including Clean Water Act and NPDES permitting and reporting changes from Georgia Senate Bill 421.
6/10/2026 • Water & Cooling • General
Katherine Graham at Georgia Tech is studying microbial risks from treated wastewater reuse for data center cooling towers in Georgia to support community health as AI-driven hyperscale growth accelerates.
5/27/2026 • Water & Cooling • General
Amazon reported 2.5 billion gallons of global water withdrawal in 2025, while regional estimates show increasing data-center water pressure in drought-prone areas like Texas and Georgia.
6/12/2026 • Water & Cooling • General
Indian data-center developers are expanding facilities in Ghaziabad and Noida, Uttar Pradesh, while experts warn that cooling demand and weak disclosure could intensify groundwater stress.
8/12/2026 • Water & Cooling • General
Water submetering guidance recommends cooling tower makeup and blowdown meters to improve WUE calculations and sewer-credit verification for evaporative-cooled data centers.
7/3/2026 • Water & Cooling • General
A Guardian analysis links planned U.S. data-center siting in drought areas to larger AI water impacts from chipmaking and power generation.
6/8/2026 • Water & Cooling • General
The Northeast-Midwest Institute briefed policymakers on Great Lakes data center buildout impacts for water use, citing utility planning needs and Great Lakes Compact reporting rules.
6/3/2026 • Water & Cooling • General
Water UK told a parliamentary committee that England water forecasts under AI Growth Zones exclude data centers, despite drought-driven supply constraints.
7/23/2026 • Water & Cooling • General
Officials in Texas and Wyoming assess AI data center projects sited above the Ogallala Aquifer amid concerns about long-term water availability and cooling technology choices.
6/28/2026 • Water & Cooling • General
Ceres reported that data-center electricity generation in seven major US states creates substantial freshwater withdrawal and water-stress exposure.
8/25/2026 • Water & Cooling • General
Tressie Kamp at UW-Milwaukee Center for Water Policy recommends Wisconsin legislative conditions for hyperscale data-center cooling water transparency and efficiency.
5/21/2026 • Water & Cooling • General
State Sen. Charles Perry said AI data center developers are funding wells, pipelines, storage, and desalination infrastructure in Childress and Turkey, Texas.
9/8/2026 • Water & Cooling • General
In 2026, the Water Foundation urged U.S. communities and policymakers to manage data center growth through water efficiency, transparency, and developer-funded infrastructure.
8/24/2026 • Water & Cooling • General
Schneider Electric technology leader Mark Deguara says Australian data center operators are adopting water-efficient cooling strategies as GPU growth increases pressure in Western Sydney and Melbourne.
8/7/2026 • Water & Cooling • General
Data center operators faced increasing water-management scrutiny in 2025 and 2026 after cooling-related contamination allegations in Wyoming and Oregon and renewed cooling-tower concerns in New York City.
8/6/2026 • Water & Cooling • General
State lawmakers in Virginia, California, Iowa, South Carolina, Illinois, and Georgia are proposing or implementing data center water rules in the United States in response to rising AI demand.
8/5/2026 • Water & Cooling • General
Luke Hill urged Mountain West policymakers to evaluate data center water use against local scarcity and agricultural withdrawals, citing Meta's Kuna, Idaho, facility.
7/30/2026 • Water & Cooling • General
University of Illinois researchers proposed aquifer thermal energy storage for reducing data-center cooling energy and water consumption in the United States.
7/29/2026 • Water & Cooling • General
Walsh argues that closed-loop cooling and privately funded power generation and grid upgrades reduce water and grid stress tied to AI data-center expansion.
7/26/2026 • Water & Cooling • General
Microsoft, Amazon, and Google water approaches highlight how data-center cooling withdrawals and NPDES-relevant blowdown chemistry affect local water planning in multiple U.S. regions.
7/22/2026 • Water & Cooling • General
An AI data-center reporting initiative details water and electricity impacts, cooling-system tradeoffs, and community permitting considerations in US corridors including Ashburn and Loudoun County.
7/21/2026 • Water & Cooling • General
Getches-Wilkinson Center report analyzes how states address data center water use under AI-driven growth, focusing on reporting, conservation, incentives, and prior appropriation.
7/9/2026 • Water & Cooling • General
Alliance for Water Efficiency and partners released a data center water service provider primer in response to growing concerns about local data center water use and missed coordination opportunities.
6/27/2026 • Water & Cooling • General
U.S. water utilities face capacity and planning challenges as hyperscale data centers depend on public water and cooling-related design choices.
6/26/2026 • Water & Cooling • General
Meta's Kuna, Idaho data center water-rights transfer plan is presented as a contextual answer to Idaho HB 895 and Washington HB 2515 water-use claims.
6/18/2026 • Water & Cooling • General
Microsoft, Equinix, Google, Nebius, AWS, and Fortum expand data center waste-heat recovery in Finland, Sweden, and Ireland under EU monitoring rules.
5/23/2026 • Water & Cooling • General
UIC hosted a Chicago conference where speakers evaluated treated wastewater effluent reuse for data center cooling amid ecosystem, permitting, and brine-disposal tradeoffs.
5/13/2026 • Water & Cooling • General
EPA published guidance for data center water planning in the United States, focusing on cooling-driven water demand, permitting pathways, and reclaimed-water reuse.
5/11/2026 • Water & Cooling • General
The Metropolitan Water Reclamation District of Greater Chicago is considering treated wastewater for data center cooling near the Calumet plant in Chicago.
8/4/2026 • Water & Cooling • General
Google and other hyperscalers faced water-scarcity scrutiny as evaporative-cooling designs and water-use disclosures adapted to local hydrology, regulations, and permitting outcomes.
6/3/2026 • Water & Cooling • General
Rystad Energy projects global data center cooling-water consumption will increase from 222 billion liters in 2025 to nearly 644 billion liters by 2030 as AI capacity expands worldwide.
8/28/2026 • Water & Cooling • General
The Metropolitan Water Reclamation District of Greater Chicago is exploring reclaimed wastewater sales for data center cooling after approving industrial reuse opportunities last year in the Chicago area.
9/18/2026 • Water & Cooling • General
Denver residents criticized a new AI data center near Denver after an undated video appeared to show lawn watering during 2026 drought restrictions.
9/4/2026 • Water & Cooling • General
Gradiant signed a deal in the 2020s to deliver its HyperSolved water and wastewater system for an unnamed hyperscaler developing a data center in West Texas.
9/2/2026 • Water & Cooling • General
The Reservoir Center convened water utilities, developers, environmental groups, and public agencies in June 2026 in Washington to discuss managing data center water demand.
8/12/2026 • Water & Cooling • General
H5 Data Centers and sustainability researcher Ashlesa Mohapatra highlighted competing water and electricity costs from data-center cooling systems in Cleveland, Ohio.
8/6/2026 • Water & Cooling • General
The Metropolitan Water Reclamation District of Greater Chicago is considering redirecting treated Calumet wastewater for data center cooling in the Chicago area.
8/4/2026 • Water & Cooling • General
Data-center operators can cut potable water use for cooling tower makeup by capturing rainwater and stormwater, recovering condensate and blowdown, and reusing gray water while meeting plumbing codes.
7/6/2026 • Water & Cooling • General
University of Illinois researchers propose aquifer thermal energy storage for data center cooling in Illinois to cut electricity use and enable underground heat reuse.
6/30/2026 • Water & Cooling • General
UMN Morris and Institute on the Environment funded AI's Hidden Thirst in 2024 to build a facility-level dashboard for predicting AI data center water quantity and quality impacts in Minnesota.
6/30/2026 • Water & Cooling • General
NGWA released a position statement in the United States urging site-specific groundwater assessment and low-consumption cooling strategies for data center planning.
6/26/2026 • Water & Cooling • General
Freshwater Lab and Great Lakes advocates warn Illinois data-center cooling water demand will strain Lake Michigan supplies and call for wastewater reuse planning.
5/22/2026 • Water & Cooling • General
Rachel Havrelock and Andrea Densham say Chicago-area data centers using millions of gallons daily for cooling require wastewater reuse planning in Illinois.
5/22/2026 • Water & Cooling • General
Joliet approved the Joliet Technology Center in Illinois, using capped water limits and closed-loop cooling assumptions amid evolving gray-water regulations.
5/18/2026 • Water & Cooling • General
Illinois residents and advocates question water impacts of data centers as Joliet transitions to Lake Michigan supplies and plans closed-loop cooling.
5/18/2026 • Water & Cooling • General
Governor Jared Polis and Colorado drought planning authorities respond to rising AI data center water demand amid worsening Colorado water stress.
5/14/2026 • Water & Cooling • General
Marquette University and WEC Energy Group discussed closed-loop cooling, indirect power-sector water use, and Wisconsin public opposition at the Wisconsin Tech Summit in Oshkosh.
5/6/2026 • Water & Cooling • General
Commerce Secretary Howard Lutnick defended data-center expansion Wednesday in the United States as water-use estimates and proposed congressional legislation intensified public scrutiny.
9/2/2026 • Water & Cooling • General
Utah and neighboring Western states weigh AI data-center expansion against shrinking reservoir supplies amid calls for stronger water reporting and enforcement.
7/19/2026 • Water & Cooling • General
University of Colorado Boulder water-law researchers report state actions on data center water use, amid drought pressure and AI-driven growth.
7/16/2026 • Water & Cooling • General
Google selected air cooling for an Arizona data center near Phoenix to address water scarcity while Arizona regulators weigh power interconnection timelines and cost allocation amid AI-driven demand.
6/18/2026 • Water & Cooling • General
Data center operators and regulators are evaluating cooling water consumption and alternatives across Ireland and multiple United States states as AI infrastructure expands.
8/17/2026 • Water & Cooling • General
Fluix and TenHats are testing software in Knoxville, Tennessee, to coordinate server workloads and cooling, with projected HVAC energy savings of 10% to 25%.
7/30/2026 • Water & Cooling • General
Florida researchers and water officials are urging deeper review of data center projects in 2026 because drought and groundwater withdrawals threaten connected springsheds.
7/29/2026 • Water & Cooling • General
Data4 highlights lifecycle findings that show data center water footprints vary by country, mainly due to electricity generation and local water stress.
7/28/2026 • Water & Cooling • General
Global forecasts through 2031 project faster expansion of data center water and wastewater treatment equipment, driven by hyperscale growth, liquid cooling, and stricter water discharge rules.
7/27/2026 • Water & Cooling • General
MarketsandMarkets projects data center water and wastewater treatment equipment market growth from 2026 to 2031, led by hyperscale demand and Europe water constraints.
7/27/2026 • Water & Cooling • General
Data center cooling remains dominated by evaporative systems, while liquid cooling adoption grows as water and power constraints shape design choices.
6/19/2026 • Water & Cooling • General
Meta and TSMC are adding major wastewater treatment and water reclamation facilities in Idaho and Phoenix as AI and industrial development increases campus water demands.
6/15/2026 • Water & Cooling • General
District energy heat recovery is highlighted for data centers as interconnection queues remain long and liquid cooling enables waste heat reuse in the U.S.
6/9/2026 • Water & Cooling • General
Interesting
Sam Altman addressed AI data center water concerns on the Sources podcast, citing generally modest facility use while acknowledging opposition tied to cooling and regional water stress.
9/2/2026 • Water & Cooling • General
The American Public Works Association developed a Data Center Development Toolbox for public works professionals across North America to help communities assess proposed facilities before local decisions.
9/29/2026 • Community & Local Opposition • General
Sam Altman said AI data center water concerns are overstated during an Alex Heath podcast, while reports and public surveys highlighted varying facility impacts and regional water stress.
9/2/2026 • Water & Cooling • General
Costa Rica weighs electricity reliability and water governance as AI data center demand grows and drought reduces renewable power coverage.
5/18/2026 • Policy & Utility Planning • General
Alliance for Water Efficiency released a Data Center Primer for Water Service Providers with Los Alamos National Laboratory and the Metropolitan North Georgia Water Planning District to guide early utility involvement in data center planning.
6/23/2026 • Policy & Utility Planning • General
Additional
Open Compute Project heat reuse guidance focuses on local policy and end-user connections needed to scale data center waste heat in Paris, Stockholm, Colorado, and Stavanger.
5/20/2026 • Policy & Utility Planning • General