CNRWA Approves New Data Center Water Disclosure Policy

On April 17, the Central Nevada Regional Water Authority (CNRWA) unanimously approved a new policy mandating that data centers operating within Nevada disclose their water usage and sources. This move, driven by concerns over the expanding data center industry's water demands, aims to increase transparency regarding how much water these facilities consume for cooling, energy generation, and manufacturing. CNRWA Executive Director Jeff Fontaine noted the current lack of clarity on data center water use, while Laurel Saito of the Nature Conservancy and Norman Frey emphasized the importance of identifying specific water sources to prevent companies from acquiring extensive water rights and impacting downstream users. The approved policy, which includes a specific requirement to identify water sources, will be distributed to counties across Nevada as a template for local implementation. Nevada State Engineer Joe Cacioppo provided updates on the Division of Water Resources, highlighting staffing shortages and a significant backlog of over 2,000 water rights applications. Cacioppo's priorities include fostering responsible communication, transparency, and efficiency within the division. Discussions also touched upon future legislative issues, including potential funding for water rights retirement programs and the possibility of reintroducing legislation for non-consumptive water use permits for systems like geothermal projects. The board also reviewed monitoring, management, and mitigation (3M) plans, which track and respond to water impacts. Fontaine stressed that these plans should not be used to approve projects if conflicts with existing water rights are already known, as Nevada law prohibits such approvals. Concerns were raised about the burden 3M plans place on existing water users and their lack of clear standards. Additionally, the board approved its fiscal year 2026–2027 budget and received updates on an appeal related to a proposed pipeline project in Utah, which could impact groundwater levels in Nevada's White Pine County basins. The next CNRWA meeting is scheduled for July 24.