The majority of planned data centers in the US are concentrated in areas that have been battling drought over the past year. According to assessments, 517 out of 809 planned data centers are located in regions experiencing dry conditions throughout the year.
Data centers require large amounts of water to cool their servers. It is noted that large facilities can consume up to 5 million gallons of water per day, which is roughly equivalent to the daily water use of about 50,000 people.
Expanding Drought Pressure
More than 60% of the US mainland is currently experiencing various stages of drought. Particularly in the Southeast and West, lack of rain and snow is drying up agricultural lands and increasing fears of a severe wildfire season.
Experts say the climate crisis is extending the duration and severity of droughts, and the water and energy demands of data centers add further pressure. The sector's annual water demand, about 17 billion gallons in 2023, is expected to rise to 73 billion gallons by 2028.
Why Do Companies Choose Drought-Prone Areas?
In a period when tech giants like Google, Meta, Microsoft, and Amazon are investing billions in new data centers, they often prefer dry and sparsely populated regions. Reasons include lower land costs, tax incentives, and the fact that dry climates cause less wear on equipment.
The approval of a data center complex twice the size of Manhattan in Utah and the association of a planned Amazon facility in Washington’s Walla Walla region with drought are notable. In Texas, large new facilities in the Pecos and Carson areas are reported to be located in recently dried zones.
Farmers and Local Communities Concerned
Increasing water use amid drought is strengthening local opposition in some areas. Especially in rural and more conservative regions, debates over water access alongside energy bills have led to the downsizing or cancellation of some projects.
Farmers feel pressured to use water carefully and worry about new data centers having nearly unlimited access to water. Experts warn that if water becomes scarce in the future, the question of whether priority will be given to homes and businesses or to data centers could spark intense debate.
Companies’ Defense and Technical Transition
Data center operators argue that the sector’s total water use is still limited compared to much larger consumers like agriculture. They also claim that golf courses and lawns consume more water than data centers.
The industry says it is accelerating the shift from standard evaporative cooling systems to more efficient closed-loop cooling. However, while this method reduces water use, it requires more energy, much of which still comes from fossil fuels.
Meta’s Louisiana Plan as an Example
Meta’s large planned data center in Louisiana stands out as a project that clearly illustrates this tension. Although the facility will use closed-loop cooling, its energy demand is expected to equal the output of 10 natural gas plants, creating pressure on both water and emissions.
The company stated it expects the facility to use about 1 billion gallons of water annually, sourced not from drinking water but from an aquifer used in agriculture. Meta emphasizes prioritizing water efficiency and aims for a lower impact compared to if the land were used for farming.
AI’s Water Footprint Could Grow Further
It is also emphasized that AI’s total water impact is not limited to data centers. According to a study published in January, by mid-century, data centers will account for only 4% of the additional global water needed for AI growth.
The study indicates that the main burden will fall on energy production and semiconductor manufacturing. Experts note that water is often not the primary criterion in site selection, but there is a growing consensus among major tech companies on the importance of water management.
