Think Utility Services to Attend MRI Ascend 2026 in Las Vegas
August 13, 2026
How Data Centers Affect Water Consumption and Why Submetering Matters
Data centers are becoming one of the most important pieces of modern infrastructure. They support cloud computing, artificial intelligence, online banking, streaming, business applications, and countless other digital services. As demand for these technologies continues to grow, so does the number and size of data centers being built across the country.
While data centers provide significant benefits, they also create challenges, particularly when it comes to energy and water consumption. One of the biggest questions surrounding data center growth is simple: How much water do data centers use, and what can be done to manage that consumption?
The answer depends heavily on the facility's cooling technology, climate, workload, and overall design. According to Lawrence Berkeley National Laboratory, direct water consumption at data centers is generally associated with cooling, while additional indirect water consumption can occur through the electricity used to power the facility.
Why Do Data Centers Use So Much Water?
Data centers contain thousands of servers and other pieces of computing equipment. These machines generate substantial amounts of heat and must operate within controlled temperature ranges.
One common method of removing that heat is through cooling towers. In an evaporative cooling system, warm water carries heat away from the facility and cooling towers release that heat by evaporating water into the atmosphere.
The U.S. Department of Energy describes cooling towers as inherently water intensive because evaporation is the primary mechanism used to reject heat. Water can also be lost through blowdown, drift, and system leaks.
The scale can be significant. The Department of Energy provides examples showing that a 400 ton cooling tower operating at full load can use roughly 16,700 to 21,920 gallons of water per day, depending on the system's cycles of concentration.
That does not mean every data center uses that amount of water. Newer facilities may use closed-loop, air-cooled, direct liquid cooling, or other technologies designed to reduce water consumption. However, facilities that rely heavily on evaporative cooling can have substantial water requirements.
The Positive Side of Data Center Growth
It is important to recognize that data centers are not simply a negative for communities.
Data centers provide the infrastructure needed for technologies that businesses and consumers increasingly depend on. They support artificial intelligence, scientific research, healthcare technology, financial services, communication, cloud computing, and other digital services.
They can also bring economic activity and investment to the communities where they are located.
From an environmental perspective, some water-based cooling systems can provide efficiency advantages. Water is highly effective at transferring heat, and using water for cooling can sometimes reduce the energy required to keep servers operating at appropriate temperatures.
The Department of Energy notes that direct liquid cooling systems can potentially improve both energy and water efficiency when properly designed and operated.
Modern facilities are also developing new approaches to reduce their environmental footprint. Closed-loop systems, for example, can recirculate water rather than continually consuming fresh water. The Department of Energy reported in 2026 that many modern facilities are adopting closed-loop cooling systems that can dramatically reduce water consumption.
The Negative Side: Water Consumption
The biggest concern is that some data centers can require large quantities of water, particularly when evaporative cooling is used.
This can become more important in areas where water supplies are already under pressure. A data center's water impact is not simply determined by the size of the building. Climate, cooling technology, server efficiency, workload, utilization, and the local electricity supply can all influence water consumption.
Research from Lawrence Berkeley National Laboratory found that water use can vary by more than 10,000 times at the workload level because of differences in server efficiency, cooling systems, climate, infrastructure efficiency, and other factors.
This means there is no single water consumption number that applies to every data center.
Why Submetering Matters
This is where submetering becomes particularly valuable.
A single master water meter can tell a facility how much water it receives, but it may not explain where that water is being used.
For a data center, submeters can potentially be installed to separately monitor water consumption associated with cooling towers, mechanical systems, irrigation, domestic uses, and other water intensive applications.
The U.S. Department of Energy specifically recommends submetering water intensive applications such as cooling towers and irrigation systems. It also recommends monitoring submetered data to identify trends and investigate unexpected increases in consumption.
For data center operators, this information can be extremely useful.
If water consumption suddenly increases, submetering data can help determine whether the increase is coming from a cooling system, a leak, equipment problem, seasonal conditions, or another source.
Submetering Can Help Turn Water Use Into Actionable Data
Knowing that a facility uses thousands or millions of gallons of water is only the first step.
The more important question is why the water is being used and whether that consumption can be reduced.
Submetering provides more detailed consumption data that can help facility managers establish benchmarks, identify unusual usage patterns, compare consumption over time, and evaluate the effectiveness of conservation measures.
For example, if a cooling tower's water consumption increases significantly while the facility's computing workload remains relatively consistent, that could warrant further investigation.
Better data can also help operators evaluate improvements to cooling equipment and operational practices.
The Department of Energy reports that increasing cooling tower cycles of concentration from three to six can reduce cooling tower makeup water requirements by approximately 20% and blowdown by 50%.
Balancing Technology With Water Conservation
The growth of data centers is unlikely to slow as artificial intelligence and cloud computing continue to expand. That makes responsible water management increasingly important.
The goal should not necessarily be to eliminate water from every cooling system. Instead, operators can look for the right balance between energy efficiency, water efficiency, reliability, cost, and local water availability.
In some cases, evaporative cooling may provide energy advantages. In other situations, air cooling, closed-loop systems, direct liquid cooling, or hybrid technologies may provide a better solution.
The most effective approach depends on the individual facility.
The Future of Data Center Water Management
As data centers become larger and more sophisticated, water management will need to become more sophisticated as well.
New cooling technologies can reduce water consumption, but accurate measurement remains essential. Without reliable data, facility operators may have difficulty determining where water is being consumed and whether conservation efforts are actually working.
That is why submetering can be an important part of a comprehensive data center water management strategy.
Data centers may require significant amounts of water, but better technology and better data can help reduce their impact.
By measuring water consumption at specific points throughout a facility, operators can gain greater visibility into their cooling systems, identify potential problems, monitor trends, and make more informed decisions about water conservation.
As the demand for data centers continues to grow, the conversation should not only focus on how much water they use. It should also focus on how accurately that water is measured, how efficiently it is used, and what can be done to reduce unnecessary consumption.
For data centers, better water data can lead to smarter water management.
