The clustering of data centres in already water-stressed urban areas intensifies competition for limited water resources among households, agriculture, and industries. Cooling systems in data centres consume significant amounts of water, with some facilities using up to 2 million litres daily. This exacerbates water scarcity, particularly during peak summer months when demand is highest. The lack of mandatory water usage reporting and efficiency standards further complicates efforts to mitigate these impacts. Additionally, the reliance on thermal power plants for electricity indirectly increases water consumption, as these plants require water for cooling.