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Utah weighs new rules to curb water use in expanding data centers

Utah officials are debating legislation that would require data centers to adopt low-water cooling technologies as the state faces a severe drought.

At a Utah interim committee meeting, Jake Garfield, deputy director of the Utah Office of Energy Development, emphasized the state's leadership in innovative, low-water data center cooling, citing the Novva Data Center's closed-loop system and Valar Atomics' planned water-free reactor with Nvidia. Despite these advances, no state law obliges new or existing facilities to use such technologies, and critics warn that wealthy operators could simply buy water rights to bypass conservation.

With 48 operational data centers consuming thousands to millions of gallons daily, the issue has become politically sensitive amid a shrinking Great Salt Lake and public pressure to limit water use. Lawmakers, including Rep. James A. Dunnigan, questioned the lack of statutory requirements, while other states such as New York and Pennsylvania have imposed moratoria or strict guidelines. The debate reflects broader national scrutiny of data center water consumption and its impact on local resources and political fortunes.

Why it matters

The story shows how growing data center demand could strain water supplies in drought-hit Utah without new regulations.

In this story

data center water useclosed-loop coolingwaterless reactorGreat Salt Lake droughtUtah legislationenergy policywater rightstech industry regulation
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