IMPERIAL, Calif.—The new data center proposed for a quiet city about 115 miles east of San Diego came across people’s radars in different ways.

For patrons of the deli on West Aten Road, it was the white “Not In My Backyard” signs jutting out of lawns.  

For local irrigation district workers, it was something called an “electric service application.” 

For Margie Padilla, it was a rant on Facebook.

The 43-year-old mom came across a post online while she had a few minutes to scan social media last spring after a day spent tending her garden and taking care of her two boys.

“Somebody was complaining about this center,” Padilla said. “I was like, ‘Whoa, what’s going on here?’” 

What’s going on is the second-largest new data center being considered statewide, which would be less than half a mile from Padilla’s stucco home in the center of Imperial Valley. If finished by 2028, as the developer expects, the at least 950,000-square-foot, two-story data center could be the largest operating statewide, taking up 17 football fields’ worth of land. 

The roughly $10 billion, 330-megawatt data center would require 750,000 gallons of water a day to operate, said developer Sebastian Rucci, who insists electricity and water costs won’t rise due to the data center. 

“We have studies on the air. We have studies on the water. The electricity could be handled,” Rucci said. “We did our homework.” 

Imperial officials haven’t quelled local concerns, only noting that the project is facing litigation and that the center’s long-term impacts on utilities haven’t been determined. 

On top of the financial burden of maintaining her family’s health, gas and grocery expenses strain Padilla’s budget and she’s worried a new data center will only increase water and power costs. Padilla, who first heard of the data center a year ago, has only grown more concerned and she’s not alone. 

Some residents would see it from their backyards.

“I can only imagine the rates going up once that data center is up and running,” she said, shading her eyes from the beaming sun.

This is one of two dozen data centers expected to open in California in the next few years.

Growing Concern and Regulatory Gaps

A majority of respondents to a nationwide poll by the US Water Alliance share Padilla’s worries, with 54 percent extremely or very concerned about the effect data centers will have on water quality, water supply and costs in their area. 

In its first question about data centers since the poll began in 2016, two-thirds of voters said it was important for their state to have a plan for the effects of data centers on water in the coming years.

“I suspect that as data centers continue to be part of the broad conversation, then these numbers will probably continue to go up as people are more concerned about the impacts they have on the things that affect them and their communities, like supply, quality and cost,” said Scott Berry, the senior advisor on policy and external affairs at the US Water Alliance, from Water Week in Washington D.C. this month.

More than 90 percent of data centers in the U.S. get most of the water they need for cooling from municipal systems, estimated Shaolei Ren, an associate professor of electrical and computer engineering at the University of California, Riverside. 

During the hottest summer days, a large 100-megawatt facility can use about 1 million gallons of water for evaporative cooling. That amount is the same as about 10,000 people’s daily water use at home, Ren said. 

But those centers require “zero water for many days of the year when it’s cool outside,” he said.

Some data centers are exploring alternatives like treated wastewater or graywater for cooling instead of drinkable water, providing residents and officials with options that could reduce strain on local water supplies.

California doesn’t require AI data centers to report water usage, and the state’s Water Resources Control Board does not maintain a specific list of water rights held by data centers. Although residents are working to require more transparency about water use from data centers, recent efforts to require the facilities’ owners to report how much water they use to the state have faltered.

On top of the data center boom in California, the hundreds of water districts, a deepening Southwestern megadrought and the diminishing of the Colorado River increasingly complicate water issues. 

“Water is not purely an environmental issue. In many places, it is fundamentally an infrastructure challenge.”

— Shaolei Ren, University of California, Riverside

Also, while data centers can take as little as two to three years to build, developing new water sources can take as long as 20 years, said Ren.

Plans for the steep increase in water demand from California data centers inevitably focus on infrastructure, experts said.

“Water is not purely an environmental issue,” Ren noted. “In many places, it is fundamentally an infrastructure challenge.”

Across the country, water infrastructure upgrades are estimated to cost between $10 billion to $58 billion, Ren’s research team found. How many more facilities are built and where will be a big factor in future infrastructure costs.

The amount of electricity a data center uses, to some degree, determines how much heat it produces, and consequently how much cooling it requires and, in turn, how much water it needs.

The Imperial County data center is one of 24 planned for completion across California by 2030, according to the latest information gathered by analysts at Cleanview, a market intelligence platform. 

Based on the about 1.7 GW of electricity the proposed data centers would use, with at least two projects for which there aren’t energy consumption figures, water infrastructure upgrade costs just for the demands of the centers in the state could run from about $200 million to $800 million, Ren said.

“This number assumes that California data centers’ water use intensity is the same as the national average,” he explained.

There is no central permitting authority for data centers in California, and most are overseen by city and county governments, according to the California Public Utilities Commission. Data Center Map shows 286 of the facilities currently operating in California.

While California’s size and tech focus lead some to expect many more data centers here, the cost and availability of power and land, as well as the general tax and regulatory climate, have been hurdles to building them out, according to the Data Center Coalition, which represents big corporations like Amazon, Meta, Google and Microsoft.

Nonetheless, California trails only Virginia and Texas in the number of individual data center locations, but its centers have much lower total new electricity capacity, which may also indicate lower water demand.

A research team at the University of California, Riverside, recently found that data centers could collectively require 697 to 1,451 million gallons per day (MGD) of new water capacity nationally through 2030. New York City’s average daily supply is about 1,000 MGD.

Currently, data centers are estimated to use about 39 billion gallons of water nationally each year, Khara Boender, the senior manager for state policy at the Data Center Coalition, said, citing market research from Bluefield. 

“I know when we start to talk about billions of gallons of water in a year, that sounds absolutely crazy,” Boender said. “Looking at how that falls into context with some of these other large water users, I think that that kind of contextualization could be surprising to folks.”

Alfalfa irrigation in California’s Imperial Valley alone uses more than 800 billion gallons a year, an April essay in Outside highlighted. The beverage industry uses 533 billion gallons of water a year and the semiconductor industry uses 59 billion gallons, Boender noted.

But spikes in water needs for data centers can lead to bottlenecks in small community water systems, Ren, at the University of California, Riverside, noted. “Only comparing the annual totals can obscure the real water challenge,” he said.

There is no single fix for the pressure data centers are placing on water supplies across the state, which will be different depending on the location and water systems where each facility is built, said Shivaji Deshmukh, the general manager of the Metropolitan Water District of Southern California—the largest supplier of treated water in the U.S. The district serves 19 million people in six California counties.

“Every community—even within our service area—is different in terms of costs, what type of supply they have. Some regions have access to groundwater. Some have access to treated wastewater or recycled water somewhere along the coast,” Deshmukh said.

So industries, most of which require water for cooling, will look to satisfy that thirst from different sources, depending on their location. 

“Imperial Irrigation District is one where I know they’re discussing … installation of data centers in their area,” Deshmukh said.

The Imperial Dilemma

The plot of dirt on West Aton Road betrays nothing of the colossal data center that could one day sit on the land. Owner Sebastian Rucci hopes to have the facility up and running by the summer of 2028, he said.

Rucci, who is also a lawyer, has purchased 235 acres for his data center so far. He says the data center will allow Google to train its Gemini artificial intelligence, although Google denies any involvement “in a data center project in Imperial County.”

Before he can begin building on the site, a judge will weigh in on the city of Imperial’s lawsuit against the project, which demands that it clear higher environmental hurdles, including the California Environmental Quality Act—which often draws ire from developers who claim it can needlessly stall proposals. The local water district also has to complete its review of the project.

Rucci is determined, though, citing a series of studies conducted by survey and consulting groups, and by the district itself, which manages water and provides power. He posted those reports online to show the data center made sense—in part because water and power could be effectively provided to the data center and the land was permitted for industrial use. 

The debate between supporters and opponents of the facility has escalated, with the next court date set for the end of April.

With that date in mind, Padilla, the Imperial mother, set out to work in her garden on a balmy Thursday morning. 

Donning a green, short-sleeved shirt and flip-flops, she checked on her squash, poked at her cherry tomatoes and dug in her spade to move periwinkle to a better spot for watering. And through it all, she wondered what the thirst of the proposed data center would do to her garden. And her monthly water bill.

Her payment for water, sewer and trash services currently ranges from $90 to $130 a month—more than double what she paid six years ago. 

“I’m also afraid they’re going to put [water] restrictions for us, for the residents,” said Padilla, who estimates her family of four uses about 300 gallons of water a day. “That’s going to be harsh on me, particularly, because of my garden. I grow my own food, my own vegetables.” 

Worries over power and water price surges are misguided, Rucci said. He has been considering power and water needs for the 18 months he has worked on the project, he said, and outlined how it would bring various economic benefits to the region, including about 100 permanent jobs post-construction. 

Still, Padilla is thinking about other things. She says her two sons were anemic when they were younger, requiring them to eat fresh produce to supplement the iron their bodies needed. Even after treating the condition, the Imperial mom keeps her sons’ diet filled with veggies and fruits. She needs her garden for that.

The Imperial Irrigation District declined to be interviewed for this story but, in a written statement, noted that it has yet to receive a formal request for water for the project.

The District, which provides water and power to all of Imperial County as well as parts of Riverside and San Diego counties, did not have specific estimates of how demand from the data center could impact its costs.

“Water was very concerning to us from the beginning,” Rucci said.

He’s spoken with city officials in Imperial and El Centro to arrange a water deal for the facility, he said, and proposed getting 6 million gallons per day of reclaimed water from both cities.

“Our plan was we would do all the municipal upgrades at our cost, and then we would take the excess water and run it clean to the Salton Sea,” he said. 

Those conversations have not paid off, although Rucci said he remains hopeful municipal officials will help him get water for his facility. 

“We first tried to do reclaimed water. I still prefer that but that seems to be taking months and I don’t know if that … will happen,” Rucci said. “Probably we’ll just get it from the (Imperial Irrigation District)” by purchasing it for industrial use.

How the center obtains its water may change as its plans are updated, he added. 

Through it all, he remains confident the data center will be built in Imperial County and be good for the area.

Carolina Paez disagrees.

The 46-year-old mother’s backyard abuts the data center site. She says she’d be able to hit it with a rock from her property. 

Both she and her son have asthma, and she’s worried about the construction dust, potential pollution and noise from the data center. And higher bills.

“I’m not just thinking about the expenses that are going to increase, but also about the things that are going to lose value—for instance, my house,” Paez said in Spanish.

“What am I going to do with this property? Who would even want to live here?”