Inside Amazon's approach to data center sustainability: a conversation with Brandon Oyer

_{Brandon Oyer, director of energy and water for Amazon Web Services (AWS), on how Amazon invests in carbon-free energy, strengthens grids, and ensures communities benefit from data center growth.}

Oyer leads energy and water strategy for AWS, but his path to that role was unconventional. He spent years serving on nuclear submarines in the U.S. Navy, where he was responsible for generating power and life support systems underwater. After the Navy, he moved into the private energy sector, where one of his first projects saved nearly 100 million gallons of drinking water annually.

"That seems to have set the stage for what my focus has been since: finding practical ways to use energy and water more efficiently," Oyer said. "And that's the mindset I bring to work every day when it comes to Amazon's data centers."

Tessie Petion leads ESG Engagement at Amazon and sat down with Oyer to discuss how Amazon is investing in carbon-free energy and strengthening the communities where we operate.

This interview has been edited for clarity and length. You can read the full interview here.

Tessie Petion: Let’s start with the big picture. What's your North Star?

Brandon Oyer: Our goal is to deliver power and water for Amazon data centers responsibly. That means keeping costs low for our customers, being a good neighbor to the communities where we operate, and paying for the costs to power our data centers so expenses aren't added to the bills of local residents or businesses. All of these aspects can exist together, and take more than just paying the power bill—it also means working with utilities and regulators to make sure we're paying for transmission infrastructure and investing in bringing new power sources to the grid.

Tessie Petion: How does Amazon decide where to build data centers?

Brandon Oyer: We invested heavily in our own team of specialists, including an expert with more than 20 years of experience modeling transmission systems, and she helped our teams identify the optimal locations to connect renewables. A couple of years ago, as customer demand accelerated, we flipped the problem on its head. We started asking not just where we could add renewables, but where on the U.S. electric grid would additional load be the most beneficial. That analysis is one of the reasons we ended up in Jackson, Mississippi, and South Bend, Indiana.

Tessie Petion: How is Amazon approaching carbon-free energy procurement at scale?

Brandon Oyer: We want to procure the lowest cost and lowest carbon-intensive energy on behalf of our customers while making a positive impact on the communities around us. The U.S. electric grid is aging. Many assets are 40, 50, or 60 years old and will eventually need to be replaced. We believe the grid shouldn't be a blocker to addressing both energy and climate issues, so we're collaborating with grid operators, utilities, and others to ensure that new sources of carbon-free energy can connect to the grid quickly, and the grid can handle the energy demands of the future. We also continue to be one of the world's largest purchasers of carbon-free energy, with more than 700 projects globally representing 42 gigawatts of capacity—enough to power more than 12.1 million U.S. homes.

Tessie Petion: Will Amazon's data centers raise rates for other energy users?

Brandon Oyer: We pay the full cost of the electricity we use, and we pay for the additional infrastructure required to deliver that power to our data centers—including new transmission lines, substations, and other grid upgrades—without passing it on to other ratepayers. In March, Amazon signed the White House Ratepayer Protection Pledge, which reflects a commitment to fully cover the cost of electricity production required for AI data centers.

We're already seeing that our investments are generating benefits for the broader grid. In Indiana, utility Indiana Michigan Power (I&M), an American Electric Power (AEP) company, announced base rate reductions for customers due to increased revenue from large customers like Amazon. In Mississippi, Entergy announced plans to invest an additional $300 million in grid improvements at no additional cost to customers, because of new revenue from Amazon and other large customers. Those additional funds are expected to help improve grid reliability and cut power outages in half over the next five years.

Tessie Petion: What makes nuclear the right fit for Amazon’s strategy? And when can we expect some of these projects to realistically come online?

Brandon Oyer: Nuclear energy is an important addition to our portfolio because it’s carbon-free, firm, scalable, safe, and reliable. We identified small modular reactors (SMRs) as a technology where we could scale quickly, safely, and maintain high rigor throughout the process in a way that helps manage cost. The smaller scale of SMRs is also an advantage. Starting at 80 megawatts at a time, rather than 1,000, means less capital is exposed before it starts to generate revenue.

We see SMRs as a natural fit with Amazon's DNA and how we approach scaling and problem solving. Our $500 million investment in X-energy is a good example. We wanted to avoid putting risk onto ratepayers, so we stepped in to help support broader industry momentum. The partnership between X-energy and Energy Northwest will provide offtake commitments that are essential to getting early-stage projects across the finish line, which can be a model for how the industry approaches the next generation of carbon-free generation. 

Tessie Petion: How is Amazon thinking about water use in its data centers?

Brandon Oyer: Our first priority is to maximize efficiency and reclaimed water opportunities internally wherever we can. We monitor water use in real-time, using sensor data to identify leaks, fine-tune mechanical cooling operational settings, and alert operators to inefficiencies before the problem compounds. Between 2021 and 2025, we improved our water use effectiveness by 52%, and we are 75% of the way toward our goal to be water positive by 2030.

Wherever possible, we use outside air for cooling. One project I'm proud of is Project Rainier in Northern Indiana—a 2.2-gigawatt data center campus that will use water for only about 2 to 3% of the year. The other 97 to 98% of the time, it cools entirely on outside air.

Tessie Petion: Water use can vary significantly across data center designs and locations. How do the availability and type of water resources in a region factor into how you design and operate a data center?

Brandon Oyer: Every region is different. We evaluate climate patterns, local water management and availability, and opportunities to use sustainable water sources. Wherever possible, we work with municipalities to establish sustainable water sourcing strategies, and we prioritize switching from potable water to recycled water—which is treated sewage—to help cool our data centers. That way, we’re preserving higher-quality water for the communities where we operate.

On top of that, we're also investing in water replenishment and efficiency projects in the regions where we operate. In Mississippi, for example, we're helping farmers adopt precision irrigation technology, which is expected to reduce agricultural water withdrawals by 150 million gallons annually—enough water to supply over 1,600 Mississippi households for an entire year. In Mexico, our water projects are expected to collectively replenish more than 2.5 billion liters of water annually by addressing water loss through aging infrastructure—one of the region’s most pressing challenges.

In Oregon, we're investing $235 million in two surface water supply projects that will replace aging infrastructure while helping local communities responsibly conserve groundwater sources. Our investments make up 96% of the total project costs. Amazon data centers will use only about 5% of the combined system capacity, with the remaining 95% serving regional industrial and municipal needs. And by tapping into Columbia River surface water instead of groundwater aquifers, the project will provide more sustainable water sources for both the broader community and Amazon data centers.

Tessie Petion: What motivates you personally to do this work?

Brandon Oyer: I'm an avid outdoorsman. I spend a lot of time on the Columbia River and its estuaries with my son fishing and being in nature. I want to do what's right for my family, our global community, and the environment.

It's completely reasonable for communities to ask what our sustainability strategy is and how we plan to use resources responsibly. And we’re working to demonstrate leadership in water efficiency among cloud providers, connecting recycled water wherever possible, and building high-quality replenishment projects wherever we can. From the top of Amazon leadership, all the way to the people who are building and monitoring our substations, we're all aligned on the mission: build responsibly, build economically, and strive to be the most responsible partner who is deeply invested in strengthening our communities.

Learn more about Amazon's carbon-free energy progress.

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