More than 78% of international organisations reported that they used artificial intelligence (AI) in 2024, an increase of 55% over 2023. AI has become one of the most recognised, trusted, and transformative technologies of the 21st century. With the rapid increase in AI use across sectors such as social media, healthcare, and financial services, experts note that the public interacts with AI more frequently than they know. While many use AI to enhance productivity and offer rapid, straightforward support, this rise in AI causes more harm to the environment than many realise.
How does AI Impact the Environment?
For many of these AI programs to operate, more companies are turning to opening data centres specifically just for running AI. AI data centres are facilities that house the IT infrastructure required to develop and enhance applications and services. These facilities are equipped with advanced network and storage systems designed to manage various types of AI workloads. However, for these AI data centres to run smoothly, they require a constant energy supply. The two biggest energy needs for these systems are electricity and water.
Approximately 6% of all electricity production powers servers that process and store information, and centres require a continuous, dependable, and robust energy supply to maintain operations. Water, a significant component of energy consumption, is primarily utilised in cooling systems to prevent server overheating. This water use is concerning, given the frequent reliance on freshwater. One country particularly susceptible to adverse environmental consequences from artificial intelligence is the United States.
AI Data Centres in the United States
The United States has the largest number of data centres globally, exceeding those of any other nation by more than tenfold. Private American artificial intelligence investment is projected to surpass $285.9 billion in 2025, with over 1,953 newly funded AI companies that year, with a third of American data centres in just three states, Virginia, Texas, and California. While many states offer financial incentives to attract new data centres to increase construction jobs, local tax revenue, and future business opportunities, the adverse environmental and health effects associated with data centres in the United States are significant.
AI Data Centres’ Impact on the American Environment and Health
As of 2024, natural gas supplies over 40% of U.S. data centre electricity and is expected to remain the main energy source through 2030. This growth has led to plans to revive two retired nuclear plants. In Pennsylvania “Three Mile Island”, the power plant near Middletown that was the scene of the worst commercial nuclear accident in U.S. history, will reopen to power Microsoft’s data centers. The other will be in Iowa. Meanwhile the ongoing reliance on gas and to a lesser degree diesel for reliable power for AI raises climate and health concerns, with continuous emissions affecting communities. Residents of Memphis together with the NAACP, the oldest and largest civil rights organisation in the United States, which focuses on eliminating racial discrimination and securing equal rights for people of colour, plan to sue under the Clean Air Act, citing worsening air quality in a city with high asthma rates and health disparities. While diesel generators are seldom used, they still emit harmful pollutants such as PM2.5 and NOx, which are linked to respiratory and heart issues.
AI is projected to use 16 to 33 billion gallons of water annually in the U.S. by 2028. With only 3% of Earth’s water being freshwater and 0.5% drinkable, AI water use threatens human health. Data centres require energy-intensive liquid cooling, with one large centre using up to 1.8 billion gallons yearly, similar to a town of 10,000-50,000 people, potentially depriving families of clean water. A small 100-word AI prompt uses about one bottle (519 ml). Millions using AI daily amplify immediate impacts. This water use harms the environment and overwhelms wastewater facilities not designed for such volumes.
Is this just an American Issue?
While the U.S. has the most data centres, this is not just an American issue. As of 2021, 77% of data centres are in OECD countries, a multilateral organisation with 38 members promoting economic growth, prosperity, and sustainable development, and 64% are in NATO. By 2027, the UK government expects AI to need up to 6.6 billion cubic metres of water annually, double household use. As a consequence The UK is planning to build nine major new reservoirs by 2050. The projects are part of the largest overhaul of water infrastructure in a generation and are ostensibly to tackle climate change and prevent shortages, though the unspoken reality is that they are all required to deal with the British premier´s obsession with encouraging AI. By 2030, data centres are expected to use 3% of the world’s electricity, ranking sixth globally if it were a country.
Climate change is a major challenge driven by human activity, notably fossil fuel use, deforestation, and pollution, which exacerbate issues such as soil erosion and species extinction. AI data centres exacerbate these issues by significantly degrading the quality of water for human consumption and in most instances heavily relying on fossil fuels.
These factors impact not just the environment but also influence human behaviour, causing migration and conflicts over water. Climate issues are global; no nation is immune, though the poorest suffer most. While the U.S. aims to lead in new technology, its environmental damage is devastating for Americans and the world.
More discussion on the relationship between the environment and the USA will be held at our upcoming NCF conference.
