As Europe accelerates investment in artificial intelligence and digital infrastructure, concerns are growing over the environmental footprint of data centres. While energy demand often dominates the debate, water consumption is emerging as a critical challenge. According to Grundfos, technologies already exist that can dramatically reduce, and in some cases nearly eliminate, the water required to cool modern data centres.
Why data center water consumption is becoming a major challenge
Italy is experiencing a significant boom in data centre development. The country is positioning itself as one of Europe’s leading digital hubs, with investments expected to reach around €25 billion by 2030.
Data centres are essential for the operation of artificial intelligence technologies, cloud computing and advanced digital services. Without domestic infrastructure, countries risk becoming dependent on foreign providers. However, as computing workloads become more complex and demanding, data centres generate increasing amounts of heat, requiring larger quantities of both energy and water to operate efficiently.
The growing energy footprint of data centres
Behind the promise of accelerated digitalisation and ultra-fast connectivity lies an environmental impact that can no longer be overlooked.
Data centres are highly energy-intensive facilities. Their electricity demand is continuous, powering thousands of servers, storage units and networking devices. To ensure uninterrupted operations, facilities rely on backup systems and industrial generators that consume electricity even while remaining on standby.
The hidden cost of data center water consumption
Water use is the other major challenge associated with data centres.
Large clusters of servers generate substantial heat. If processors overheat, they can malfunction or suffer permanent damage. To maintain optimal operating temperatures, typically between 18°C and 27°C, many facilities rely on evaporative cooling systems. These systems use water evaporation to remove heat from the air, a process that can consume millions of litres of drinking water every day.
To better understand how this vital resource can be protected, Rinnovabili spoke with Inge Delobelle, Group Executive Vice President and CEO of the Industry Division at Grundfos, the Danish company recognised as the world’s largest manufacturer of pumps and water management solutions.
How hydronic optimisation can reduce data center water consumption. What does Grundfos do?
“At Grundfos, we develop solutions to move, treat and reuse water. Our purpose is to help solve global water and climate challenges while improving quality of life.
We are a global leader in pumps and water solutions, which places us at the centre of water resource management across utilities, industry and buildings. Every day, we work to make water systems more efficient, reliable and resource-conscious.
Because moving water requires significant amounts of energy, we design our solutions to reduce energy consumption and minimise water losses. Our goal is to help industries and communities use both water and energy more responsibly.”
What is hydronic optimisation and how can it improve cooling efficiency?
“Hydronic optimisation means making cooling systems operate smarter rather than harder.
Instead of running pumps continuously at high speed, intelligent variable-speed pumps and digital controls automatically adjust water flow in real time according to actual demand.
As highlighted in our latest report, Scalability and Security: Powering Europe’s Digital Sovereignty, optimising these networks addresses both energy consumption and water scarcity simultaneously.
Water movement typically requires large amounts of electricity, but an optimised system can reduce cooling-related energy consumption by up to 60%. More precise control also enables facilities to move away from traditional cooling methods that evaporate millions of litres of water and instead adopt closed-loop systems that help preserve local water resources.”
Why is cooling becoming a bigger challenge with artificial intelligence?
“The AI boom requires servers to process enormous volumes of data at extremely high speeds. Because these components are concentrated within limited spaces, they generate significant heat that traditional air-cooling systems can no longer manage efficiently.
Our latest analyses show that cooling is shifting from being a technical detail to becoming a strategic challenge. Today, cooling already accounts for around 38% of a data centre’s electricity consumption.
If the industry continues relying on less efficient cooling methods to support AI growth, it risks placing additional strain on power grids while consuming millions of litres of valuable local water resources.
We believe technological progress and responsible resource management can advance together. By transitioning towards intelligent liquid-cooling infrastructure, it is possible to support future AI development while protecting both water and energy resources.”
Could AI-driven growth create a water emergency?
“Yes, absolutely.
Although much of the discussion around artificial intelligence focuses on energy consumption, water is often a less visible but equally important challenge. As data centre capacity expands rapidly, increasing pressure is being placed on local water resources.
We are already seeing this growth intersect with rising water stress across many European regions. Without a transition towards less water-intensive cooling solutions, competition for water among industry, communities and agriculture will inevitably increase.
At Grundfos, we believe this challenge can be solved. Intelligent closed-loop cooling systems allow data centres to recycle water instead of losing it through evaporation, drastically reducing consumption and, in some cases, bringing it close to zero.
This demonstrates that it is possible to support AI growth while safeguarding one of our most critical resources.”
Could agriculture and AI end up competing for water?
“In some regions, that risk is already becoming a reality. Agriculture remains the largest water consumer in Europe and, as droughts become more frequent, farmers face increasing pressure to protect crops and maintain productivity. At the same time, new data centre developments are placing additional demand on the same local water resources. If AI infrastructure continues relying on traditional cooling systems that consume and evaporate large volumes of water, competition among industry, agriculture and local communities will intensify. We do not believe this trade-off is necessary. Modern closed-loop cooling systems recirculate water rather than dispersing it through evaporation, significantly reducing consumption and helping ensure that digital growth does not come at the expense of food production or local water security.”
Which technologies can improve water efficiency for next-generation digital infrastructure?
“We focus on making water systems more precise, flexible and resource-efficient. Our solutions combine variable-speed pumps, sensors and digital controls to ensure water flow always matches actual demand. This reduces both energy consumption and unnecessary water movement. In cooling applications, our technologies support closed-loop systems where water is reused rather than discharged. This improves overall system efficiency and helps preserve local water resources.”
