Iowa Grapples with Balancing Data Centre Growth and Environmental Concerns
The Technology Association of Iowa recently hosted the Iowa Data Center Summit, focusing on how the state can balance the increasing demand for data centers with environmental obligation.
During a panel discussion, Tyler Wyngarden, TAI’s vice president of strategic partnerships, posed a personal question to the panelists: “My mom says, ‘I’m worried we’re going to run out of water.’ What would you say?”
Dan Harbeke, public policy and government affairs manager for Google, responded by outlining Google’s commitment to replenish 120% of the water it uses, stating they are currently at 66% towards that goal. He highlighted that in 2024, Google replenished 4.5 billion gallons of water through 112 data center projects globally.
Water and energy use are becoming critical issues in Iowa as the state experiences significant data center growth.According to Data Center Map, there are currently 104 data centers in Iowa, with 76 located in the Des Moines area.
Nationally, data centers currently account for less than 0.1% of total water use, but McKinsey & Co.projects this consumption will triple by 2030. An Accenture report estimates that data centers could consume 16% to 23% of U.S. electricity by 2033.
Lu Liu, Iowa State University assistant professor in water resources engineering, noted that data centers are already straining water resources in states like Texas, California, and virginia, and are “driving up the energy cost.”
“When we are thinking about adding new locations or expansions [in Iowa] we have to think about the long-term impact of those data centers on the energy and water systems, because … the negative impact has been observed in other places,” she said.
Khara Boender, senior manager of state policy of the Data Center Coalition, explained that the coalition represents two main types of data centers: hyperscalers – large facilities built for a company’s entire operations (like Google, Microsoft, Meta, Amazon, and Visa) – and multitenant facilities.
Microsoft’s Water Use in West Des Moines Amid Drought Concerns
Microsoft’s five data center sites in West Des Moines utilize a significant amount of water, but officials say the tech company is a responsible partner and is actively working to reduce it’s consumption. The issue has come to the forefront as the region grapples with drought conditions and water conservation efforts.
according to West Des Moines Water Works, Microsoft’s data centers use between 2% to 7% of the monthly water pumped. This is less than the 40% used for lawn watering and irrigation during peak summer months, which can extend from may to September.
In 2025 (through September), Microsoft used 48,751,325 gallons of water to power its West Des moines data centers. The water is used for evaporative cooling, a process necessary for maintaining optimal operating temperatures.
Despite the substantial usage, West Des Moines water works officials stated that the recent lawn watering ban would have been implemented “nonetheless of data centers’ water usage.” Christina Murphy, general manager of West Des Moines Water Works, has publicly described Microsoft as a “great corporate partner.” The company has invested $25 million in local water infrastructure, including the Adams Street water tower and a new Aquifer Storage and Recovery Well in Valley View Park.
Microsoft declined an interview request but outlined its commitment to water conservation in its 2025 Environmental Sustainability Report,stating a goal of “becoming water positive by 2030.” The report highlights efforts to increase water use efficiency, including the implementation of advanced direct-to-chip liquid cooling systems in its newest data centers. These systems recycle water in a closed loop, eliminating the need for evaporation.
“Microsoft’s newest data centers feature advanced direct-to-chip liquid cooling systems that recycle water in a closed loop design, eliminating the need for evaporation,” the report said.
The company is also “continually investing in improving the design and operation of our data centers to minimize water use, including implementing water recycling projects and rainwater harvesting.”
Regarding the location of the data centers, one expert noted the advantageous geological conditions. “That’s a great location,” he said. “That’s a pretty good place to use a lot of water.” He explained the area benefits from 100 to 150 feet of coarse sand and gravel supplied by the Missouri River.