The hidden cost of South Africa’s AI boom

South Africa’s rapid data centre expansion is coming under scrutiny from the South African Human Rights Commission (SAHRC), with environmental groups warning that the infrastructure needed to power the country’s artificial intelligence (AI) ambitions could place growing pressure on scarce water, electricity and land resources.

The warning is contained in submissions to the SAHRC’s inquiry into the human rights implications of the country’s data centre boom, which has exposed a sharp divide between technology industry groups and civil society over the impact of facilities being built to meet rising demand for cloud computing, AI and digital services.

The Climate Justice Coalition (CJC), representing more than 80 civil society, labour and community organisations, has told the commission that “profit accumulation must not be prioritised over the human rights and dignity of people”.

It said that, given the rapid global expansion of data centres, especially in response to pressure for AI companies to demonstrate AI’s usefulness and profitability, facilities are being rapidly built around the world.

“Profit accumulation is channelled to an elite few, while the regions, towns, cities and host communities of data centres and the mining for critical minerals and waste sites for electronic waste are those that are most impacted,” the CJC’s submission said.

Data centres put increased pressure on the electricity grid and available water supply, increase exposure to air, light and sound pollution, and drive up land prices in the cities and towns where they are established, it said.

According to the CJC, electricity consumption for data centres is set to double — or triple, for AI-focused centres — by 2030. Furthermore, data centres often do not pay the full cost of electricity, causing local residents to carry the burden of increased electricity prices.

Data centres are critical in the storage and processing of vast amounts of data. The facilities operate around the clock and require constant cooling to prevent servers from overheating.

The African Centre for Biodiversity (ACB) argues that data centres should be treated as large industrial facilities whose environmental footprint extends well beyond the buildings housing their servers.

South Africa hosts about 55 data centres — with about 10 more planned in multiple cities.

The Internet Service Providers’ Association (ISPA) — which represents internet and telecommunications companies — has rejected what it describes as misinformation about the impact of data centres.