By Abbas Nazil
Datacentres and artificial intelligence infrastructure are increasingly becoming targets of climate-related lawsuits around the world as courts and communities challenge their energy consumption, water use and contribution to air pollution, according to a new analysis by the London School of Economics.
The report, which reviewed approximately 3,600 climate-related cases filed since 2015, found a growing trend of legal action focused on the environmental footprint of datacentres, particularly their reliance on fossil fuels and heavy demand for electricity and water resources.
Researchers noted that what was once a niche area of environmental concern has now evolved into a significant front in global climate litigation, spanning multiple jurisdictions including Latin America, Europe and the United States.
One of the earliest major cases was filed in 2020 in Santiago, Chile, where plans for a large Google datacentre in the Cerrillos district were challenged by residents and local authorities.
The plaintiffs argued that the project had failed to adequately consider its impact on an already climate-stressed water supply.
The court ruled in favour of the challenge, effectively halting the project on the basis that climate impacts had not been properly assessed, although broader datacentre expansion in Chile has continued and remains a concern due to its strain on water resources.
In Ireland, the report identified the country as a key hotspot for legal disputes involving datacentres, as the sector continues to expand despite already consuming more than 20 per cent of national electricity supply.
Environmental organisations including Friends of the Irish Environment, Friends of the Earth Ireland and ClientEarth have launched legal challenges against government decisions allowing large energy users, including datacentres, to continue operating on fossil fuels for several more years before transitioning to renewable energy sources.
These groups argue that such policies risk locking the country into long-term dependence on fossil gas and undermining climate commitments.
In the United States, similar legal pressure is emerging across several states.
In California, authorities have required datacentres in some areas to rely on renewable energy and recycled water systems in response to environmental concerns.
Ongoing cases in states such as Georgia and Pennsylvania challenge approvals for fossil fuel infrastructure linked to expanding digital and artificial intelligence operations.
Another case in Mississippi involves allegations that technology company xAI has breached clean air regulations by operating methane-powered generators without proper permits, raising concerns about air pollution and public health impacts on nearby communities.
The US Department of Justice has attempted to block the case, arguing that the company’s operations are economically important.
In the United Kingdom, campaigners successfully challenged government approval for a hyperscale datacentre in Buckinghamshire, arguing that its energy and water requirements were not fully considered in environmental assessments.
Although the legal challenge was eventually dropped, officials acknowledged flaws in the approval process and developers later agreed that environmental mitigation measures would need to be made legally binding through contractual agreements.
The LSE report concluded that even when lawsuits do not result in direct legal victories, they often influence policy and decision-making by increasing transparency and forcing authorities and companies to more thoroughly assess environmental impacts.
Researchers also noted that litigation has helped reveal previously undisclosed information about the scale of energy and water use associated with large datacentre projects.
Experts involved in the study said that many of these legal actions are not aimed at stopping technological development entirely but at ensuring that rapid expansion of energy-intensive digital infrastructure does not lock economies into continued fossil fuel dependence.
They argued that the current moment presents an opportunity to shift datacentre growth toward renewable energy sources and more sustainable operational models.
The report suggests that climate litigation is likely to intensify as artificial intelligence and digital infrastructure continue to expand globally, placing increased pressure on governments and corporations to align technological growth with climate targets and environmental protections.
