
Texas Data Center Developers Play Offense on Water, Claiming Huge Cuts in Usage
April 10, 2026 | Source: Inside Climate News | by Arcelia Martin
As Texas confronts decades of water mismanagement and growing demands for electricity from data centers, the state’s top utility regulator, Public Utility Commission Chairman Thomas Gleeson, told a state House committee on Thursday that it’s critical to have a clear picture of how much water data centers use.
His testimony came as data center developers assured the House Committee on State Affairs that newly developed closed-loop cooling systems allow cooling fluid, sealed in a circuit, to absorb the heat from electric equipment and turn the fluid into vapor before it is condensed back into liquid.
For Dallas-based Skybox Datacenters, using a closed-loop system means its average data center uses less water than five typical households, said Haynes Strader, Skybox’s chief development officer.
