Water Scarcity Fears Loom Over Kenya's Ambitious Microsoft-G42 Data Centre Project in Naivasha

An aerial view of the Olkaria geothermal fields near Naivasha, Kenya, highlights the region where plans for a major Microsoft-G42 data centre stalled over power capacity concerns. The $1bn digital investment package announced in 2024 aimed to run entirely on geothermal energy and scale up to 1 gigawatt of capacity, but local communities worry about the strain on water resources.

Residents like Musa Olorkedienye report existing water shortages, noting that piped supplies from KenGen have dwindled and families now rely on water vendors. Pastoralist Isaac Leshishi and other locals fear that increased industrial demand will worsen conditions during harsh weather and dry periods.

The Olkaria location was chosen for its geothermal operations managed by KenGen. However, Grace Kimani of Lake Naivasha and Oloiden and Silas Wanjala of the Lake Naivasha Riparian Association warn that the freshwater lake is already under pressure from population growth, agriculture, and climate variability. Wanjala cautions that over-abstraction could repeat the near-drying crisis seen in 2010.

While figures from the Food and Agriculture Organization (FAO) highlight Kenya's broader water scarcity context, the specific water consumption and cooling technologies for the proposed Microsoft-G42 facility remain undisclosed. KenGen communications director Frank David Ochieng stated that the project is still in the design stage.

Supporters like Absolom Mukhuusi of the Naivasha Professional Association and geologist Kenyatta Otieno argue that the technology sector can bring jobs, infrastructure, and improved environmental monitoring to the area, provided that sustainable abstraction limits and community involvement are prioritized.