US data centers tripled annual water consumption to 17B gallons

In 2023, data centers in the United States consumed an estimated 17 billion gallons of water, a figure that is roughly three times their consumption in 2014, according to a Congressional Research Service report. This troubling increase is largely attributed to the rapid growth of artificial intelligence (AI) infrastructure, which has driven a surge in demand for data centers.

The report distinguishes between direct water use, such as cooling equipment within a data center, and indirect water use associated with generating the electricity that powers it. Indirect consumption represents over 80% of a data center's total water footprint, making it a significant environmental concern.

The report also highlights that data centers employ various cooling approaches, each with its own environmental implications. Liquid cooling, for instance, is more efficient than air cooling, particularly for high-density equipment, but may not be cost-effective for smaller facilities. Evaporation-based systems, while energy-efficient, require substantial water consumption and must be continually replenished.

Municipal water sources supply 97% of the water used by US data centers, highlighting the competition for water resources in areas with limited supplies.

Data center water provision is primarily a state-level responsibility, with reporting requirements varying by jurisdiction. The United States Water Withdrawals Database, a federally supported effort, compiles reported and estimated withdrawals across 42 states, including industrial and commercial usage. However, its coverage is limited by each state's reporting obligations, resulting in a fragmented national registry.

This lack of consistent data makes it challenging to evaluate water usage for individual projects and assess the broader implications for water resources.

The report emphasizes that water usage is a complex issue, with operators often shifting additional consumption to their electricity suppliers, complicating the ability of communities to assess a proposed campus's water needs relative to its promised economic or infrastructure benefits. Despite the absence of a single mandated efficiency threshold, members of Congress have introduced bills aimed at improving water-use reporting, encouraging water reuse, and addressing other environmental effects of data center construction.

However, the majority of these bills remain at the introduction stage, indicating the need for further legislative action to address this pressing issue.