Call for integration of the water-energy nexus in data centres

In a joint declaration, the European Alliance to Save Energy and Water Europe has called on the European Parliament and the Member States to unleash the potential of the water-energy nexus in the Energy Efficiency Directive (EED). Reducing water use in data centres is needed to improve the sustainability of these centres.

“The EED must bring the digital sector to consider the value of energy and water in its operations via mandatory assessment of their water-energy consumption. This is necessary to support the digitalisation process of Europe in a sustainable fashion,” the declaration states.

Upcoming regulation sustainable data centres

The European Commission is currently seeking feedback on a draft regulation that will promote the energy efficiency and sustainability of data centres. The initiative will develop a common EU scheme for rating the sustainability of data centres in Europe based on Article 33(3) of the Energy Efficiency Directive (EED). The consultation closes on 23 April.

Improve transparency

In addition to promoting more efficient data centres in the future, the application of uniform ratings outlined in the draft regulation is intended to make consumption profiles easily visible between different operators in new or existing builds which should lead to a considerable reduction energy and water consumption.

Unprecedented growth of data centres in Europe

The initiative, which is the second step since legislation was introduced in March 2024, comes at a time of unprecedented growth for the sector. Europe currently hosts more than 3,000 data centres and, according to a report by Politico, the European Commission is set to unveil plans this May to triple the bloc’s capacity within seven years. Annual water consumption in the data centre sector is projected to increase 52% by 2030, from 62 million m³ in 2024, according to Water Europe.

Water reduction with innovative cooling technologies

Given the delicate and sensitive nature of data centre operations, the cooling processes only use a small percentage of greywater and recycled water. The majority of water used is potable, a resource that could help supply the 40% of the EU population facing water scarcity. Water Europe advocates that data centres embrace more innovative cooling techniques such as adiabiatic and immersive liquid options which would see enormous reductions in water usage. If even 5% of cooling needs currently met by water were shifted to adiabatic cooling the sector could see a reduction of water usage from 23 million m³ to 5 million m³, saving 18 million m³ annually.

Stronger integration of the water-energy nexus

“Water Europe has been actively working on the Energy Efficiency Directive in partnership with EU stakeholders to promote a stronger integration of the water-energy nexus, including in the context of data centres. Our recent socio-economic analysis highlights the value of investing in water for strategic sectors such as digital infrastructure, which is key to the green transition. We are currently assessing the outcomes of this delegated regulation and its potential impact in this regard,” said Durk Krol, Water Europe Executive Director.

Lack of comparable data

Commenting on the draft regulation Taylor Roughan, from Catalyst ESG, said: “This is a really important step and honestly feels overdue given how fast the data centre sector is growing. One of the biggest challenges with data centres in transactions has been the lack of comparable, decision-grade data.”

Protests against data centres in the Netherlands

In the Netherlands, a backlash against European data centres´ high energy and water consumption is particularly in evidence. In Holland at least seven mega data centres are to be constructed despite politicial efforts to halt them. The centres, which have an energy usage equivalent to 200,000 households, will add to three existing mega operations in the country operated by companies including Microsoft and Google according to the Dutch Datacentre Association in a report by Nieuwsuur. Although the Dutch House of Representatives recently adopted a motion to halt the construction of such large centres, the move comes after the permits were granted. There are also plans for four further mega centres.