Water on the moon is limited and difficult to collect, it wouldn't make sense to use it for industrial purposes. It's a very challenging thermal environment (baking during the day, freezing at night). But perhaps worst of all, every month there's a 14-day period with no solar power. Overall seems worse than low-earth orbit.

> every month there's a 14-day period with no solar power

So it's dark 50% of the time on the moon... just like here on Earth.