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The hidden water liability of AI data centers

August 26, 2026 · Trellis (formerly GreenBiz) · Score: 21

A new report puts a number on something most people never think about: the water used to make the electricity that powers AI data centers. Most of that water isn't for cooling the buildings themselves, but for generating the power that runs them, especially from fossil fuel, nuclear, and hydroelectric plants. In Virginia, electricity for data centers used an estimated 21 times as much water in 2024 as the entire city of Washington, D.C.

The report, from the nonprofit Ceres, looked at seven states with more than half the country's data centers. California topped the list at nearly 1.4 trillion gallons, largely because it relies heavily on hydropower. Ohio, Georgia, and Virginia drew most of their water use from natural gas, coal, and nuclear plants. Texas used less water overall thanks to its mix of wind and solar. Arizona and Illinois stood out as the states most vulnerable to water stress and drought, raising questions about whether that risk is being weighed when companies decide where to build new data centers.

None of this changes anything about your own home directly, but it's a reminder that the electricity grid, its water needs, and its strain in different regions are getting more attention as AI computing demand grows. Researchers say water use tied to data center power is doubling every year and could make up most of the industry's water footprint by 2030, and they're pushing companies to disclose more about it since clear standards for measuring the impact don't yet exist.

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