Mainstream use of artificial intelligence (AI) has largely driven the demand of data centers. According to a report by CBRE, supply in primary data center markets increased by 34 percent year-over-year to 6,922.6 megawatts. Meanwhile, the vacancy rate in primary markets dropped 1.9 percent. Asking rates for a 250-to-500-kilowatt requirement increased 2.6 percent year-over-year to $184.06/kW.
Now, California lawmakers have introduced a bill that would require data centers to release how much water is being used. According to CBS News, water runs through the machines to keep them cool, but it is unclear how much is being used. Assembly Bill 93 – which has passed the Legislature – would require builders to project how much water their data facility will use before opening and how much is being used annually while in operation.
In just Santa Clara, California alone, there are over 50 data centers. While the data centers there do use recycled water for their cooling applications, that resource could be used for other sustainable purposes.
Cities and states that aren’t traditionally associated with emerging technology are now becoming targeted areas for data centers. Wisconsin, Louisiana and Indiana are becoming hubs for data centers due to tax incentives, available land and greater power accessibility. However, data centers located in California and Arizona can be concerning because of scarce water resources.
According to a study by Ceres, projected growth of data center water use in the Phoenix area will increase 870 percent from 385 million gallons to more than 3.7 billion gallons per year. The bill is hoping to provide more insight to how California’s data centers impact its residents.
Local leaders are encouraging communities to weigh immediate economic benefits to the area’s water resources. In addition, holding companies accountable on their water consumption allows local governments to keep up with technology needs. Recently, Microsoft dropped its plans of a large data center being built in Caledonia, Wisconsin due to community backlash.
Mackenna Moralez is the associate editor of the facilities market and the host of the Facilities in Focus podcast.
