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ESG news regarding the environmental impact of expanding AI infrastructure, proposals linking inequality reduction with climate action, growing demand for energy storage technologies, and ongoing debate over nationwide E15 gasoline sales in the United States.

Data centres used 4.5 trillion litres of water in 2024, enough to meet the needs of more than 600 million people in Sub-Saharan Africa.

AI Boom Expected to Double Data Centre Resource Use by 2030

A UN report warned that the rapid expansion of AI infrastructure could significantly increase global demand for electricity, water, and land

byAnanya Sengupta
June 4, 2026
in ESG News

Today’s ESG Updates

  • AI Expansion Raises Resource Concerns: A UN report said growing demand for artificial intelligence could double data centre electricity and water use by 2030.
  • Equality Report Links Climate and Prosperity: Researchers said countries could reduce inequality, improve living standards, and keep global warming below 2°C through economic and social reforms.
  • CATL Sees Storage Demand Surge: Chinese battery maker CATL expects energy storage to make up half of its global sales by 2030 as renewable energy capacity continues to grow.
  • US Senate Debates E15 Expansion: Lawmakers remain divided over a proposal to allow year-round nationwide sales of E15 gasoline, leaving its future uncertain in the Senate.

UN warns of rising environmental costs of AI expansion

The rapid growth of artificial intelligence is driving a sharp increase in demand for data centers, with a UN report predicting that electricity and water use could double by 2030. By the end of the decade, data centers could consume 945 terawatt-hours of electricity each year and use 9.3 trillion liters of water.

Researchers say the environmental impact of AI extends well beyond the technology itself. New data centers require large amounts of land, energy, cooling systems, and computer chips to operate. Although AI may help improve efficiency in some industries, the expansion of supporting infrastructure could place additional pressure on local resources as governments and companies continue to invest heavily in the sector.

***

Further reading: AI to double data centre power and water consumption by 2030, UN researchers say


Featured ESG Tool of the Week:
Klimado – Navigating climate complexity just got easier. Klimado offers a user-friendly platform for tracking local and global environmental shifts, making it an essential tool for climate-aware individuals and organizations.

Equality could help limit global warming

ESG news regarding the environmental impact of expanding AI infrastructure, proposals linking inequality reduction with climate action, growing demand for energy storage technologies, and ongoing debate over nationwide E15 gasoline sales in the United States.
The report proposes reducing average annual working hours from 2,100 to 1,000, equivalent to roughly a two-and-a-half-day working week. Photo Credit: Elyse Chia

A more equal world does not have to come at the expense of economic growth or climate action, according to a new report from the World Inequality Lab. Researchers outlined a scenario in which most of the world’s population sees incomes rise significantly by 2100 while global warming remains below 2°C above pre-industrial levels.

The authors say these measures could improve living standards while keeping global warming below 2°C. It argues that countries can improve the quality of life while staying within environmental limits by prioritizing sectors such as education and healthcare over more resource-heavy forms of economic growth. The authors present the proposal as an alternative to predictions that worsening inequality and climate disruption are unavoidable.

***
Further reading: ‘An equal and habitable world is possible’: academics set out sweeping vision for planetary survival


Related Articles

Here is a list of articles selected by our Editorial Board that have gained significant interest from the public:

  • World Bank Shareholders Seek to Extend Climate Action Plan
  • Flight Costs Increase as Iran War Disrupts Global Oil Supplies
  • Nearly Half the World’s Power Capacity Is Now Renewable — What That Really Means

CATL sees strong growth in energy storage

ESG news regarding the environmental impact of expanding AI infrastructure, proposals linking inequality reduction with climate action, growing demand for energy storage technologies, and ongoing debate over nationwide E15 gasoline sales in the United States.
CATL plans to invest $440 million in a new testing centre to study battery safety and investigate the causes of energy storage fires. Photo Credit: Sungrow EMEA

Chinese battery giant CATL expects energy storage to generate half of its global sales by 2030, reflecting growing demand for technologies that support renewable energy systems. Energy storage currently accounts for around a quarter of the company’s sales, compared with just 2% five years ago.

The company said countries are investing more heavily in battery storage as they expand wind and solar power and look for ways to balance fluctuations in electricity supply. Europe has become CATL’s third-largest energy storage market after China and the United States, with investment flowing into both renewable projects and grid-scale storage. While higher raw material prices continue to pose challenges, CATL expects costs to ease as battery supply chains become more established.

***

Further reading: Chinese battery maker CATL expects energy storage to make up half of global sales by 2030


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E15 fuel proposal faces Senate challenge

ESG news regarding the environmental impact of expanding AI infrastructure, proposals linking inequality reduction with climate action, growing demand for energy storage technologies, and ongoing debate over nationwide E15 gasoline sales in the United States.
Senators must secure 60 votes to overcome a filibuster and advance the E15 proposal. Photo Credit: Jamie Antoine

Efforts to expand year-round sales of E15 gasoline across the United States now face a difficult test in the Senate after narrowly clearing the House of Representatives. Supporters say the fuel, which contains 15% ethanol, would strengthen demand for biofuels and provide a boost to farmers in major corn-producing states.

Because the proposal is unlikely to pass on its own, supporters are trying to attach it to larger pieces of legislation, such as the Farm Bill or federal spending measures. However, opposition remains strong among refinery-state lawmakers, fiscal conservatives, and some environmental groups, creating a complex set of negotiations over fuel standards, industry costs, and the broader role of ethanol in the U.S. energy mix.

***

Further reading: US Senate faces tough vote on nationwide E15 gasoline sales expansion


Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com —  In the Cover Photo: An AI Server Room. Cover Photo Credit: Kier in Sight Archives

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