Proposed large-scale AI data centres in Visakhapatnam have emerged as a central issue in the Andhra Pradesh local body elections, as residents and environmentalists raise alarms over potential impacts on the city's water supply. The state government, in partnership with firms including Google and Adani, plans to establish a 6.5-gigawatt data centre ecosystem, but critics argue the infrastructure could exacerbate existing water shortages.
Former IAS officer EAS Sarma has been a vocal critic of the projects, noting that Visakhapatnam currently faces a daily water deficit, receiving 410 million litres against a requirement of 480 million litres. Government data presented to the Assembly indicates the proposed facilities would require approximately 3,000 million cubic feet (TMC) of water annually. Sarma has warned that such consumption threatens the city's drinking water security and has called for an independent water audit, particularly citing concerns over a facility planned near the Mudassarlova reservoir.
Opposition parties, including the CPI(M), CPI, and CPI(ML), have challenged the government on land acquisition processes in Tarluvada and Adavivaram, as well as the speed at which environmental clearances were granted. Local protest groups, such as Green Visakha, are urging voters to demand transparency regarding the environmental and utility burdens of these developments.
State IT Minister Nara Lokesh has dismissed these concerns as misinformation, asserting that the water required for the data centres will be sourced from the Polavaram project via dedicated industrial pipelines, ensuring that municipal drinking water supplies remain unaffected. Furthermore, companies including Google and AdaniConneX have stated they intend to utilize air-cooling technology to minimize water usage.
Despite these assurances, skepticism persists among residents, fueled by the lack of detailed water-use estimates and delays in the Polavaram project. The debate in Andhra Pradesh mirrors growing concerns in other Indian states, such as Maharashtra, Karnataka, and Telangana, where data centre expansion has triggered similar anxieties regarding groundwater depletion and resource competition. Globally, communities in the United States have also voiced opposition to large-scale data centres over fears of aquifer depletion and increased utility costs.
As the government moves into the implementation phase for its 6.5-gigawatt target, the economic promises remain a point of contention. While Minister Lokesh has claimed the Google project could generate up to 200,000 direct and indirect jobs, industry experts estimate the figure to be significantly lower, ranging between 20,000 and 30,000 total positions. Major investments currently underway include a 1-gigawatt hub by Google and AdaniConneX, a gigascale facility by Reliance Industries in Bhogapuram, and additional projects by firms such as Sify, Anant Raj Cloud, and ReNew.
