The utility argument holds no water for me. I don't think it should be acceptable to assume the future worth(or lack of) of anything when there are a range of opinions on the issue.
This holds equally for AI and Cryptocurrency which both get criticized for having a lack of utility. Nobody knows the future utility, in both issues there are people who sincerely believe that they will be world changing.
They might be wrong, but it should not be up to individuals, or even the majority, to bluntly declare a different worth and then categorize the process a waste.
By all means make arguments on the long term environmental impact of proposed mechanisms used to achieve those goals, but if your goal is to convince someone else then you have to consider those impacts relative to what they believe are the benefits.
Electricity use, and indeed water use, frequently gets asserted as a big number with the implication of environmental damage. If the electricity is generated cleanly or the water is not rendered otherwise unusable, then the may be negligible environmental impact.