Water is the lifeblood of data center cooling systems. Modern data centers, the digital factories of our economy, depend on water to remove heat from thousands of servers, ensuring efficient performance and avoiding overheating. A typical mid-sized data center consumes around 300,000 gallons of water per day, equivalent to the daily use of about 1,000 U.S. households, primarily through chillers, cooling towers, and humidification systems (Source).
Using water for cooling isn’t just about keeping servers safe; it also improves energy efficiency. Google reports that deploying water-based cooling cuts one facility’s annual carbon emissions by roughly 10%, like removing 64,000 cars from the road (Source). In short, water enables data centers to run cooler and leaner, making it essential for operational resilience and sustainability.
How Much Water Do Data Centers Use?
Data centers have an enormous water footprint. U.S. data centers collectively rank among the top ten industrial water users. One Google facility in Oregon used over 355 million gallons in 2021, accounting for over a quarter of the local town’s annual water supply (Source).
At extreme scales, clusters of large facilities can consume up to 5 million gallons per day, enough to supply thousands of homes or irrigate vast farmland. Globally, Google disclosed that its facilities used approximately 4.3 billion gallons of water in one year, which is comparable to a small city’s needs (Source). Every gallon used for cooling is unavailable elsewhere, highlighting why water stewardship is becoming non-negotiable.
Impacts on Local Communities and Resources
Heavy data center water use can significantly affect local communities, especially in arid regions. Approximately 20% of U.S. data centers withdraw water in moderate to high water stress areas (Source). In places like Chandler, Arizona, residents successfully resisted new water-intensive developments due to fears over dwindling groundwater (Source)
Similarly, Google’s operations in South Carolina faced public disputes over groundwater usage affecting local farms (Source). In parts of the Southwest, authorities have paused housing developments due to water scarcity, a situation worsened when industry demands strain limited supplies.
For enterprises, this creates a tangible risk management issue: unchecked water consumption can trigger community opposition, regulatory hurdles, and operational restrictions, particularly during droughts.
Innovations for Sustainable Cooling
To mitigate these risks, the data center industry is advancing sustainable cooling practices:
- Recycling and Reusing Water: Companies like AWS and Google are turning to reclaimed water, using treated wastewater or rainwater instead of potable supplies. AWS now uses recycled water at over 20 facilities, preserving clean water for communities (Source).
- Closed-Loop and Waterless Cooling: Microsoft’s next-generation designs use sealed liquid cooling loops that eliminate evaporation, saving over 125 million liters (around 33 million gallons) per year per site (Source).
- AI and Smart Controls: Google applied DeepMind AI to optimize cooling, reducing cooling energy use by 40% and indirectly saving water. AWS uses IoT-driven analytics to monitor and adjust real-time water consumption, preventing waste.
Leading Tech Companies’ Water Stewardship
Recognizing the stakes, industry leaders have pledged ambitious water goals. Google, Microsoft, and AWS have each committed to becoming water positive by 2030, meaning they will replenish more water than they consume (1, 2, 3).
Google invests in watershed restoration and developing cooling methods using 50% less water (1). Microsoft introduced a zero-water cooling system and improved its fleet-wide water efficiency by 39% since 2021 (2). AWS achieved a global Water Usage Effectiveness (WUE) of 0.25 liters per kWh, one of the best in the industry, and is actively funding water replenishment projects worldwide (3).
Smarter Water and Environmental Management with RS Metrics ESGSignals®
RS Metrics’ ESGSignals® for Data Centers solution here empowers enterprises to precisely monitor, benchmark, and optimize their environmental performance at the asset level. Using satellite imagery, geospatial analytics, and AI-driven insights, ESGSignals® tracks key indicators like water consumption, land use changes, vegetation stress, and local environmental risks.
The platform provides continuous, independent monitoring, helping operators detect anomalies such as excessive water usage, potential leaks, or emerging climate risks before they escalate. It also supports regulatory compliance and stakeholder reporting by delivering standardized, verifiable environmental data aligned with evolving disclosure frameworks.
Through dashboard actionable insights, RS Metrics enables data centers to reduce water and energy waste, control operational costs, enhance resiliency, and strengthen their sustainability positioning. Balancing operational excellence with environmental stewardship is essential in today’s climate-conscious economy. With tools like ESGSignals®, enterprises can lead the way, ensuring their data centers remain calm, compliant, and competitive without compromising critical natural resources.
This piece was written by Rishav Raj. Rishav is a growth-focused marketing strategist with over seven years of cross-industry experience in AI-driven SaaS, healthcare, and manufacturing. As a product marketing associate at RS Metrics, he specializes in transforming complex data into compelling narratives, driving GTM strategy, and accelerating the adoption of ESG and data center analytics platforms.
