The institute estimates that a medium-sized data centre currently uses as much water annually as around 1,000 households. Large data centres in the United States can consume water volumes comparable to those of a city with 50,000 inhabitants.

Citing UN Water data, PIE notes that global water demand could rise by up to 30% by 2050. At the same time, household water consumption has increased sharply over the past two decades, in some cases by as much as 200%, according to the analysis.

While measures such as water-saving advice included with utility bills can reduce individual consumption, the institute warns that rapidly growing data centre demand may worsen water shortages in already stressed regions.

Arizona is cited as a key example, where large data centres have been built despite the state’s arid climate and recurring water supply challenges. The Middle East is another region highlighted in the report, as governments seek to attract Western investment despite being among the most water-scarce areas globally.

In response, governments and non-governmental organisations are promoting water conservation in the sector. One approach is the measurement and disclosure of water use efficiency (WUE).

The report also points to industry-led progress, noting a shift towards more efficient and cost-effective cooling technologies that reduce both electricity and water consumption. (PAP)

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