
Water supply concerns remain top hindrance for AI data centers, says FAU expert
Palm Beach County commissioners rejected the controversial Project Tango AI data center due to significant concerns over its potential water consumption and inconsistent information from the developer. Simultaneously, the county voted to propose a temporary pause on all new large-scale data center applications. Experts warn about the substantial water demands of hyperscale AI facilities and their impact on local resources.
Palm Beach County commissioners voted 5-1 to reject the proposed $2 billion Project Tango AI data center expansion, planned for 200 acres near Loxahatchee and Wellington. This decision followed months of intense community opposition and a unanimous vote against the project by the county's Zoning commission, with water supply concerns being the primary reason for the denial.
Developer PBA Holdings, the applicant for Project Tango, provided inconsistent figures regarding the facility's daily water usage, with estimates varying from 5,000 to 100,000 gallons, in addition to a one-time 600,000-gallon fill for a closed-loop cooling system. Commissioner Maria Sachs expressed frustration over the lack of precise data and insufficient accountability measures for local water use, emphasizing the county's need for sufficient water before approving such developments. Commissioner Maria Marino was the lone dissenting vote, advocating for accommodating the tech industry with appropriate conditions.
Dr. Frederick Bloetscher, a civil, environmental, and geomatics engineering professor at Florida Atlantic University, highlighted that hyperscale AI data centers typically consume 1 million to 5 million gallons of water daily, significantly more than the estimates presented by the developer. He warned that continuous extraction of millions of gallons could deplete local aquifers and negatively impact the Everglades ecosystem, which is crucial for recharging the region's water supply. Critics also voiced fears that the project's water consumption and discharge could disrupt or contaminate local drinking supplies due to its proximity to sensitive regional water infrastructure.
A week prior to the Project Tango denial, the county commissioners also voted to temporarily pause all new large-scale data center applications, with a public hearing and an initial vote on a temporary ban scheduled for August 27. The South Florida Water Management District (SFWMD) indicated that while they remain neutral until a permit application is officially filed, Florida's Senate Bill 484 empowers regulators to require public hearings and block permits if projects threaten local water resources. Despite the denial, PBA Holdings retains the legal right to revise its cooling logistics and resubmit a new application for the project.