Amid a data center boom, California lawmakers pass a bill to track water use

The AI-driven boom in data centers is putting growing demands on water in California and the Southwest.

New legislation in California would require data centers to report how much water they use.

Currently, some companies report how much water their data centers are consuming, but others do not.

Companies that run data centers are facing increasing scrutiny for guzzling water in the dry western U.S. as artificial intelligence fuels a boom in the industry.

California legislators passed a bill this month that would require the facilities to report their projected water use before they begin operating and thereafter certify how much they use annually. The bill is now awaiting Gov. Gavin Newsom’s signature.

“Data centers are popping up all over the place,” said Assemblymember Diane Papan