Big data, low carbon: How data centres innovate for sustainability
Data centers are the hidden engines of the modern world. They store, process, and move vast amounts of digital information every second, from social media and video streaming to financial systems and artificial intelligence. But as digital services grow, so does their environmental impact. In 2022, data centers were responsible for between 1 and 1.7 percent of global electricity use, a number projected to double by 2026. Artificial intelligence is expected to drive much of this increase, potentially causing a 160 percent rise in energy consumption by 2030. Faced with this challenge, the industry is undergoing a critical transformation. Companies are now working to reduce carbon emissions, limit water use, and manage electronic waste, all while maintaining the speed and reliability of the digital world.
The environmental footprint of data centers is large and growing. Their electricity needs already rival those of some nations. In 2022, their total energy use was roughly equal to 71 percent of Canada’s entire electricity production. As more AI applications, cloud storage, and digital tools come online, the demand for power-intensive servers continues to rise. Since much of the world’s electricity still comes from fossil fuels, this translates into significant greenhouse gas emissions. Beyond power use, data centers also consume large amounts of water—mainly for cooling. In some facilities, cooling can make up 30 to 40 percent of total energy use. Traditional cooling systems often rely on water evaporation, which strains freshwater resources, especially in drought-prone regions. Adding to this environmental load is the issue of electronic waste. With rapid advances in technology, hardware becomes outdated quickly, contributing to a growing stream of e-waste that includes hazardous substances and valuable, difficult-to-recover materials.
In response, the industry is making a major shift toward renewable energy. Tech giants like Google, Microsoft, Amazon, Equinix, and Scala Data Centers have committed to running their operations on 100 percent renewable energy, often through power purchase agreements with solar, wind, and hydroelectric projects. Some are also generating renewable energy onsite, using wind farms or solar panels directly linked to their facilities. Others are exploring next-generation solutions like geothermal energy or small modular nuclear reactors. These efforts help cut emissions and also support the development of cleaner power grids in surrounding regions.
Data centers are also becoming more efficient, especially when it comes to cooling. Traditional air-based systems are being replaced by advanced methods like liquid cooling, where coolant is circulated directly over hot components, or immersion cooling, where servers are placed in special fluids that absorb heat more effectively. In colder regions, facilities take advantage of “free cooling” by using outdoor air or cold water sources. Techniques like hot and cold aisle containment help to manage airflow within the data center, reducing the need for constant air conditioning. Artificial intelligence also plays a dual role. While it increases computing demand, AI is also being used to optimize operations. It can predict energy needs, adjust cooling systems in real time, and distribute workloads in ways that save power. Some centers are even capturing waste heat from their servers and using it to warm nearby homes or greenhouses, turning a byproduct into a useful resource.
Sustainability efforts go beyond power and cooling. Companies are working to reduce e-waste by designing hardware with longer lifespans, encouraging refurbishment, and creating modular systems that are easier to upgrade and recycle. Partnerships with certified recycling firms help ensure the responsible disposal of old equipment. The buildings themselves are becoming greener, with low-carbon concrete and sustainably sourced materials now common in new construction. Water use is also under scrutiny. Google, for instance, aims to replenish more water than it consumes by 2030, with targeted efforts in high-stress areas like Mesa, Arizona, where air cooling systems are used to minimize water withdrawal. Across the supply chain, companies are assessing emissions and material use—from mining and manufacturing to transportation and assembly—seeking ways to reduce their overall impact.
The transition to more sustainable data centers is urgent and achievable. Through renewable energy, smarter design, and better resource management, the industry is beginning to align with climate goals. These innovations are not just environmentally responsible—they are also practical and economically sound. As the digital world continues to grow, these sustainable practices will be essential in building a future where data and the planet can thrive together.
