The subject disclosure provides systems for electric power generation and water desalination. In certain aspects, the systems include a power generation unit such as a reciprocating generator or fuel cell having a water cooling subsystem configured to receive cool water and output warm water and a water desalination plant co-located with the power generation unit and configured to receive and desalinate the warm water. Aspects of the invention also include methods for cooling a power generation unit using a water cooling subsystem and desalinating water with a desalination plant that is co-located with the power generation unit.