NC State University assistant professor Matthias Sprenger, a hydrologist in the Department of Forestry and Environmental Resources, warns that large-scale data centers using open-loop evaporative cooling systems extract and evaporate millions of gallons of water daily, disrupting local water balances and reducing streamflow. A report from nonprofit Ceres found that powering data centers in seven states, including Virginia, Texas, and California, consumed an estimated 3.4 trillion gallons of water withdrawals in 2024, with 66% of that electricity generated by power plants in areas already facing medium-high to extremely high water stress. Beyond on-site use, indirect water consumption through electricity generation and chip manufacturing can exceed direct operational use. Planned natural gas-fired power projects dedicated to U.S. data centers surpassed 189 gigawatts by mid-2026, nearly doubling in six months, according to Global Energy Monitor.
The scale of water consumption tied to data center operations, both direct and indirect, places measurable pressure on groundwater, surface water, and municipal systems that also serve residential and agricultural users. During drought conditions, data centers represent an inflexible demand that cannot easily reduce consumption, creating direct competition with communities for already-stressed water supplies. Blowdown discharge and thermal pollution add water quality risks that can increase treatment costs for municipal water systems and harm aquatic ecosystems.