The environmental and sectoral impacts of artificial intelligence on agriculture may manifest both negatively (greater pressure on energy and water resources, higher operational costs) and positively (improved efficiency in the use of inputs).
Electricity consumption by data centres is already rising rapidly — according to the International Energy Agency, it could more than double, reaching around 945 TWh per year by 2030 (equivalent to roughly 1.5× the current annual nuclear generation of the European Union, about 620–650 TWh in 2023–2024). In Europe, growth is even faster, with electricity demand from data centres projected to triple by 2030.
Water Scarcity Concerns
At the same time, there is growing concern about water use, as many data centres are in regions facing water scarcity, creating competition for resources and risks to water availability for agricultural production.
Data centres use water mainly for server cooling — through cooling towers/evaporation and, in some cases, humidification or water–air chillers — which increases local water abstraction. In Ireland, for instance, EirGrid projections indicate that data centres could account for around 30% of national electricity demand by 2030, putting pressure on the grid and affecting other sectors, including agri-food.
Large-scale data centres can consume up to 5 million gallons per day (approximately 19 million litres/day, equivalent to the daily consumption of a town of 10,000 to 50,000 inhabitants).
Impact on Agricultural Costs
These factors may raise the costs of irrigation, cold storage, and refrigerated transport of agricultural products.
The Positive Side
On the other hand, AI applied to the agricultural sector — through precision farming, decision-support systems, and data analysis — can reduce the use of water, fertilisers, and pesticides, as well as emissions; the overall outcome will depend on energy efficiency and the responsible integration of these technologies.
References
- International Energy Agency (IEA) – AI is set to drive surging electricity demand from data centres
- European Commission – Slight increase in nuclear power production in 2023 (Eurostat News, 2025)
- Reuters – Europe's data centre power demand expected to triple by 2030, McKinsey report says
- EirGrid – Shaping Our Electricity Future Roadmap 2030
- EESI – Data Centres and Water Consumption
- CRU (Ireland) – Connection Policy Proposed Decision 2025
