Amazon's Water Use Under Scrutiny Amid Leaked Strategy Docs

Amazon's Water Consumption Secrecy Revealed

A recent leak has unveiled Amazon's internal strategies regarding the management and disclosure of its datacentres’ water consumption. As the world's leading owner of datacentres, Amazon significantly overshadows rivals like Microsoft and Google, and is on a trajectory to expand its capacity, partly fueled by its ambitions in artificial intelligence.

Concerns Over Water Usage

With hundreds of operational facilities and many more in the pipeline, Amazon faces growing scrutiny over the substantial water utilized to cool its extensive server systems. Although the company asserts it is committed to improving water efficiency and has implemented measures to manage its consumption, it has been criticized for lacking transparency in this area.

Comparative Transparency in the Tech Industry

Unlike Amazon, both Microsoft and Google routinely publish detailed reports concerning their water usage. In stark contrast, Amazon has never made public the total water consumption figures for its server farms. A leaked memo, which was accessed by SourceMaterial and The Guardian, indicates that when planning a water efficiency initiative, Amazon’s cloud computing division deliberately opted to report only a limited water usage figure. This figure excluded various aspects of its datacentres’ water consumption to mitigate potential damage to its reputation.

Staggering Water Use Statistics

The leaked document estimates that Amazon consumed a staggering 105 billion gallons of water in 2021, equivalent to the annual water usage of about 958,000 US households, which is comparable to a city larger than San Francisco.

Company Response to Leaked Information

When approached for comment regarding the leaked document, Amazon spokesperson Margaret Callahan described it as “obsolete” and stated that it “completely misrepresents Amazon’s current water usage strategy.” She emphasized that the existence of a document does not guarantee its validity or relevance, noting that internal discussions often lead to revisions that can correct inaccuracies or flawed claims. However, Callahan refrained from specifying which parts of the document were outdated.

Upcoming Sustainability Initiatives

The memo in question was dated just one month prior to the launch of Amazon Web Services (AWS)’ new sustainability campaign named “Water Positive,” which debuted in November 2022. This initiative commits to the ambitious goal of returning more water than the company consumes by the year 2030.

Deliberations on Disclosure

In preparing for the campaign, executives engaged in discussions about whether to publicly disclose metrics related to “secondary” water use—the water involved in generating electricity for its datacentres. They expressed concern that full transparency could be detrimental, warning that it represented “a one-way door” and advising discretion in keeping AWS’s projections private. The memo even noted anticipated negative media coverage, with concerns that headlines like “Amazon hides its water consumption” could surface.

Strategic Choices and Reputational Risks

To mitigate reputational risks, executives chose to report only the smaller figure for primary water use, which is approximately 7.7 billion gallons annually—roughly the volume of 11,600 Olympic-sized swimming pools. This decision was made in light of concerns about the potential backlash if the true scale of Amazon’s water consumption was revealed.

Progress Toward Water Efficiency

Callahan pointed out that the company has already made strides in enhancing its water efficiency. She also mentioned that other tech firms similarly do not factor in secondary water use when reporting their consumption. As part of its water efficiency campaign, Amazon aims to significantly reduce its estimated annual consumption of 7.7 billion gallons.

Conclusion

The leaked document sheds light on Amazon's internal deliberations regarding water consumption and transparency. As the company continues to expand its datacentre operations, it faces increasing pressure to provide clearer information about its environmental impact. The tech giant’s commitment to sustainability will be closely monitored as it navigates the complexities of water usage in its quest for growth in the competitive landscape of e-commerce and cloud computing.