Story perspectives
Arizona's Data Center Boom Sparks Water and Power Concerns
9/17/2025
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Story summary
- Arizona's data center sector is expanding quickly, prompting concerns about water and power resources, exemplified by Tucson's rejection of a $3.6 billion project due to public opposition.
- Data centers represented 4.4% of U.S. electricity consumption in 2023, expected to increase to 12% by 2028, with high water usage for cooling.
- Local governments face challenges weighing economic benefits against environmental impacts, as seen in Delaware's Project Washington proposal.
- Nuclear energy is being explored as a sustainable power source for data centers amid rising energy demands.
- States are introducing regulations to manage data centers' effects on local resources and ratepayers.
