Environmental Group Calls for Nationwide Moratorium on New Data Centers Amid Growing Water and Energy Crisis

Strategic Insights -

Food & Water Watch, a national environmental organization, has adopted a policy position calling for a full national moratorium on the approval and construction of new large-scale data centers. This move comes as alarming facts emerge about the immense and unsustainable consumption of water and energy resources required to operate these facilities. The organization cites the growing resistance from communities across the country to proposals for new data centers due to concerns about water security, consumer utility costs, and the hazards of expanded fossil fuel development. Food & Water Watch is likely the first national organization to publicly call for a national moratorium on new data center approval and construction.

Key Takeaways:

  • Food & Water Watch is calling for a nationwide moratorium on new large-scale data centers due to concerns about water security, consumer utility costs, and the hazards of expanded fossil fuel development.
  • Energy demand from data centers in the U.S. is expected to increase up to threefold between 2023 and 2028, according to recent analysis from Food & Water Watch.
  • By 2028, AI-supporting data centers could consume 720 billion gallons of water annually, equal to more than 1 million Olympic-size swimming pools, or enough water to meet the indoor needs of 18.5 million American households.
  • By 2028, AI-supporting data centers could consume 300 terawatt-hours (TWh) of energy annually, enough electricity to power over 28 million American households.
  • The Trump administration's "AI Action Plan" seeks to dismantle existing environmental and land use rules to facilitate the growth of energy- and water-intensive data centers.
  • Food & Water Watch's executive director, Wenonah Hauter, stated that the sudden emergence of the Big Data industry represents an existential threat for scores of communities ill-equipped to handle the massive burden these huge data centers levy on precious water and power resources.
  • Wenonah Hauter urged halting the expansion of the data center industry to properly examine potential harm before it's too late.

Statistics:

  • Energy demand from data centers in the U.S. is expected to increase up to threefold between 2023 and 2028.
  • 720 billion gallons of water annually will be consumed by AI-supporting data centers by 2028, equivalent to more than 1 million Olympic-size swimming pools.
  • 300 terawatt-hours (TWh) of energy annually will be consumed by AI-supporting data centers by 2028, enough electricity to power over 28 million American households.

Sources:

  • Food & Water Watch. "Environmental Group Calls for Nationwide Moratorium on All New Data Centers." Oct. 23, 2025.
  • Food & Water Watch. "AI-Supporting Data Centers Could Consume 720 Billion Gallons of Water Annually by 2028."
  • Trump Administration. "AI Action Plan." Summer 2025.