Texas AI centers guzzle 463 million gallons of water, residents asked to cut back

Microsoft and OpenAI’s Stargate campus in Abilene, a $500 billion project spearheaded by Trump with Oracle and SoftBank, drives Texas’ AI data center boom, consuming vast water resources. In 2023-2024, the Abilene campus and other Central Texas data centers consumed 463 million gallons of water, equivalent to tens of thousands of households, per SAWS records. Amid severe drought, residents face Stage 3 restrictions, mandated to cut showers and lawn watering, or face surcharges for excess use.

In 2025, a Texas Water Development Board white paper projects data centers will use 49 billion gallons, projected to reach 399 billion by 2030, per HARC estimates, equaling 6.6% of Texas’ water use. 399 billion gallons of water would fill about 604,545 Olympic-size swimming pools.

No state laws regulate data center water consumption, despite drought affecting nearly a quarter of Texas. “Their use could be horrific relative to local use,” said Robert Mace of The Meadows Center. Stargate’s cooling systems, even if closed-loop, require millions of gallons, straining local supplies. Texas law allows data centers to operate without water usage oversight, exploiting regulatory loopholes. “These centers are showing up in very water-stressed places,” said Margaret Cook, a water policy analyst.

Residents face strict water restrictions, cutting back on showers, while data centers operate unchecked, using water equivalent to thousands of households. “Communities allowing data centers are gambling against future water allocations,” said Margaret Cook of HARC. Lack of transparency in usage reports hides the true impact.

In the Hill Country, new AI facilities draw heavily from drinking water, with much evaporating unrecovered. “Once that water evaporates, it’s just gone,” said Robert Mace of The Meadows Center. Microsoft claims it will be “water positive” by 2030, but critics note these efforts often occur far from affected communities.