Vizag’s 6 GW Data Centre Ambition Faces Water Challenge as Infrastructure Questions Grow

Visakhapatnam's proposed 6 GW data centre ecosystem faces growing scrutiny over water availability, with experts calling for faster infrastructure upgrades, desalination projects and completion of the Polavaram canal network.

By Samarjit Kaur

on July 6, 2026

The Andhra Pradesh government’s plan to develop a 6-gigawatt (GW) data centre ecosystem in Visakhapatnam has brought fresh attention to the city’s water infrastructure. Data Centre experts have cited that networks will need significant upgrades before large-scale facilities become operational.

While the state maintains that planned infrastructure projects will meet future demand, environmental experts have urged authorities to ensure adequate water availability alongside the rapid expansion of digital infrastructure.

The discussion comes as Vizag continues to position itself as a major destination for hyperscale data centre investments.

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Water Supply Remains the Biggest Hurdle

Industry estimates suggest that a 6 GW data centre cluster could require less than 30 million litres per day (MLD) if advanced closed-loop cooling systems are used. Demand could range from 30 to 60 MLD with hybrid cooling and from nearly 150 to 180 MLD with conventional cooling methods.

Reliable water supply is important because servers must be continuously cooled to prevent overheating.

Officials acknowledge that the existing infrastructure across Visakhapatnam, Anakapalli and Vizianagaram is not yet equipped to support such large-scale demand.

Planned upgrades include new treatment plants, pumping stations, storage reservoirs, transmission pipelines and stronger distribution networks.

Experts have also urged the government to accelerate desalination projects to reduce pressure on freshwater sources.

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Government Remains Confident of its Long-Term Capacity

Visakhapatnam MP M. Sribharat said the city’s current water demand is around 480 MLD, while the existing supply infrastructure can deliver 1,243 MLD. Once the Polavaram Left Main Canal and related distribution network are completed, the total available supply is expected to increase to 2,110 MLD.

According to the government’s projections, total demand by 2040, including population growth, industrial expansion and proposed data centres, is estimated at around 1,530 MLD, leaving a surplus of roughly 580 MLD. The MP also said most planned data centres are expected to become operational in about two years, giving authorities time to complete key infrastructure projects.

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Experts Caution Governments Before Expansion

Environmental groups argue that these projections rely on projects still under construction. They point out that Visakhapatnam already experiences seasonal water shortages and believe water infrastructure should be fully operational before large-scale allocations are made to future data centres.

Vizag is one of India’s fastest-growing digital infrastructure markets.

With investment commitments rising, the pace of water infrastructure development is likely to become a central factor in determining how quickly the region’s data centre ambitions translate into operational capacity.

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