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UN chief calls on AI firms to come clean on environmental costs

Published by Global Banking & Finance Review

Posted on June 23, 2026

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· Last updated: June 23, 2026

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UN Chief Demands AI Sector’s Full Disclosure on Environmental Impact and Renewable Targets

By Susanna Twidale

UN Pushes for AI Environmental Transparency and Renewable Commitments

LONDON, June 23 (Reuters) - The United Nations called on major artificial intelligence companies on Tuesday to publicly disclose the full environmental cost of their data centres and use renewable power, as he launched a transparency initiative for the sector.

AI Data Centres Under Scrutiny

The rapid development of data centres globally to fuel the AI revolution has drawn scrutiny from environmental groups for their high energy and water use and lack of transparency.

Projected Resource Consumption by 2030

“By 2030, they could use more power than all but five countries – and enough water to meet the basic needs of all 1.3 billion residents of sub‑Saharan Africa for an entire year,” U.N. Secretary-General António Guterres said at an address during London Climate Action Week.

UN’s AI Environmental Transparency Initiative

He called on AI firms to measure and publicly disclose their water, carbon and land use impacts and commit to powering all data centres with renewable energy by 2030 as he launched the U.N.'s AI Environmental Transparency Initiative.

“If AI is to help build a better future, it must be honest about what it costs us now,” he said.

Current Industry Practices and Challenges

AI firms are currently relying on voluntary net-zero commitments and renewable electricity targets to decarbonise their operations while many are also turning to gas or touting nuclear as a power source for new projects.

Global Climate Goals and Renewable Deployment

Guterres said the world remains off track to meet global climate goals and criticised voices calling for more fossil use. 

Accelerating Renewable Energy Adoption

He said deploying more renewable power projects and using those to electrify transport, buildings and industry is among the fastest ways to cut emissions and break reliance on imported fossil fuels.

Call to Action on Methane Emissions

CALL TO ACTION ON METHANE

UN’s Methane Emission Reduction Initiative

Guterres also launched a call to action on methane emissions, which included asking fossil fuel companies to fix leaks, stop routine flaring and adopt a science-based global standard.

“I am urging the fossil fuel industry to step up and do what is long overdue,” he said, adding that methane is a potent greenhouse gas and is responsible for around one-third of current global warming.

Upcoming Global Climate Leadership

Guterres also announced he would convene world leaders in September ahead of the U.N. Climate Conference, COP31, in Turkey, to help drive forward a "just transition" away from fossil fuels.

(Reporting By Susanna Twidale; Editing by Raju Gopalakrishnan)

Key Takeaways

  • UN warns AI data centre impact could rival that of major countries: by 2030, electricity use may hit ~945 TWh—nearly triple of Pakistan, Bangladesh and Nigeria combined—and water use could meet the basic needs of 1.3 billion people (ungeneva.org)
  • Guterres launched the AI Environmental Transparency Initiative, urging firms to measure and publicly disclose carbon, water and land impacts—and to power all data centres with renewables by 2030 (ungeneva.org)
  • He also emphasized the need for a global methane action plan—urging the fossil fuel industry to repair leaks, end routine flaring—and announced pre‑COP31 world leaders meeting to drive a just transition away from fossil fuels (jurist.org)

References

Frequently Asked Questions

What did the UN call on AI companies to do regarding environmental impact?
The UN asked AI companies to measure and publicly disclose their water, carbon, and land use impacts for data centres and commit to using renewable energy by 2030.
Why are AI data centres under scrutiny for their environmental costs?
AI data centres use large amounts of energy and water, potentially consuming more power than all but five countries by 2030, raising concerns among environmental groups.
What is the UN’s AI Environmental Transparency Initiative?
The AI Environmental Transparency Initiative is a UN effort urging AI firms to reveal environmental impacts and shift to renewable energy for data centre operations.
What action did the UN propose on methane emissions?
The UN called on fossil fuel companies to fix methane leaks, stop routine flaring, and adopt global standards, noting methane accounts for about one-third of global warming.
When will world leaders meet to discuss climate and AI issues?
World leaders are expected to meet in September ahead of COP31 in Turkey to discuss climate action and a just transition away from fossil fuels.

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