Google has announced it will abandon its original plans for a $200mn data centre in Santiago, Chile, and start the project anew to address environmental concerns. The decision, revealed in a September 17 statement, comes after a local environmental court partially reversed the project's 2020 permit in February, citing potential impacts on the capital's water resources.

The US tech giant will now redesign the project from scratch, focusing on more sustainable technologies. Google stated it would utilise air-cooled technology at the same location in the Cerrillos neighbourhood, moving away from water-intensive cooling systems.

Chile has been grappling with a severe drought for over a decade, and the original project faced criticism from residents and local officials over its potential strain on Santiago's aquifer. Data centres typically require substantial amounts of water for cooling purposes.

Chile's Economy Minister Nicolás Grau viewed the development positively, noting that Google's commitment to redesign rather than abandon the project entirely reflects well on the country's data centre policies.

"We believe that this news is positive, because what it means is that, beyond this setback that Google has had as a result of this judicial decision, the company maintains its decision to build this centre simply with a new project design," he said.

The move aligns with growing global concerns about the environmental impact of data centres, particularly their energy and water consumption. Google emphasised that sustainability is central to its operations, including data centre design and management.

The company has not provided a new timeline for the project but confirmed it has informed Chile's environmental regulator of its decision to pause the current permit application process and reconsider its approach.

This development underscores the increasing scrutiny faced by tech companies regarding the environmental footprint of their infrastructure projects, especially in regions facing climate change-related challenges.