Water Resource Challenges in India

India, despite having 18% of the world's population, has access to only 4% of global freshwater reserves. A significant portion of this is groundwater, which is heavily extracted, leading to over-exploitation and critical thresholds.

• Over 60% of irrigation, 85% of rural drinking water, and 45% of urban water supply rely on groundwater.
• 14% of this groundwater is over-exploited, and 70% is nearing critical levels.

Impact of AI Data Centres

The growth of AI data centres in India is exacerbating water resource challenges due to their high water usage for cooling and electricity production.

• India’s capacity for Global Capability Centres (GCCs) is expected to grow from 1.5 GW to 6.5 GW by 2030.
• US data centres in 2023 used approximately 1.8 billion litres of water directly for cooling and 10 billion litres indirectly for electricity needs.
• Google's AI data centre in Iowa used 3.8 billion litres in 2024, affecting local water resources.
• 67% of all data centres face water stress today.

Environmental and Health Concerns

Data centre operations contribute to environmental degradation through toxic effluents and emissions.

• Contaminants include biocides like chlorine and bromine, metals like copper, zinc, and lead.
• Evaporative cooling systems cause pollutant concentration; diesel generators contribute to air pollution.

Global and Local Implications

Challenges in data centre expansion have led to local opposition in places like Saline, Michigan, due to concerns over increased power consumption, groundwater contamination, and higher electricity bills.

• Trump, Ellison, and Altman supporters faced legal opposition to their data centre project.
• US policy changes have removed GHG emission standards and shifted energy purchases to coal-fired plants.
• India is targeted for AI tool adoption through the Pax Silica Declaration and Peace Corps technology arm.

Call for Sustainable Development

There is a pressing need for India to adopt a holistic approach to economic development that prioritizes ecological sustainability.

• The focus should be on managing water resources to prevent irreversible urban water scarcity and agricultural deficits.
• Corporate transparency around water consumption is important but insufficient to prevent disaster.

In conclusion, neglecting ecological needs in economic development is ultimately counterproductive and meaningless.