Guest View: Amazon’s Gilroy Data Center: your top questions, answered
Amazon has provided answers to frequently asked questions regarding its $2 billion data center in Gilroy, California. The company addressed concerns about water and electricity usage, detailing plans for 100% reclaimed water by 2030 and funding for transmission infrastructure. Amazon also highlighted the economic benefits and community investments in Gilroy.
Roger Wehner, Vice President of Economic Development for Amazon Web Services, has addressed common questions from Gilroy residents regarding the company's $2 billion data center investment in the community. The two-building campus is designed to use water for cooling only on the hottest days, approximately 3% of the year, consuming about 4 million gallons annually, equivalent to 36 households.
Amazon is funding new infrastructure to transition the data center's cooling water to 100% reclaimed water by 2030, which the City of Gilroy can also use to provide expanded access to reclaimed water for residents, businesses, and farmers at no additional cost. Furthermore, Amazon is funding an irrigation efficiency project with Optama to reduce water use in the Llagas Subbasin.
Regarding electricity, Amazon stated it works with PG&E to fully cover the transmission infrastructure costs, benefiting all users, and is coordinating with Silicon Valley Clean Energy to purchase 100% carbon-free electricity. Amazon argues that increased demand from large customers like data centers can help lower prices for everyday consumers by spreading grid modernization costs. The company's investment is projected to generate $532 million in local GDP, create about 90 on-site jobs and 160 broader community jobs, and provide tens of millions in local tax revenue. Amazon also highlighted its $310,000 in local grants since 2023 and support for Girls Tech Day at Gilroy Unified School District, reaffirming its commitment as a long-term community partner.