Google Inks Massive Solar Power Deal to Electrify Data Centers

Google is bolstering its commitment to renewable energy by purchasing another 600 megawatts of solar power. This significant investment will supply electricity to its ever-expanding network of data centers, crucial for powering its AI and other services.

The deal, inked with EnergyRe, focuses on solar and storage projects currently under development in South Carolina. EnergyRe boasts a substantial portfolio of 16 gigawatts of projects, primarily ranging from 60 MW to 75 MW of solar capacity, with some exceeding this range. This collaboration underscores Google’s dedication to sustainable energy solutions.

Google’s recent investments in renewable energy have been substantial. In the past year, the tech giant pledged a massive $20 billion investment with Intersect Power and TPG Rise Climate. The goal is to construct enough zero-carbon power plants to power gigawatts’ worth of data centers. Before that, in January, Google signed an agreement to purchase over 700 megawatts of solar projects in Oklahoma from Leeward Renewable Energy. [1]

Like many leading technology companies, Google has publicly committed to eliminating its carbon footprint from energy consumption by 2030. For years, consistent investments in renewable energy seemed to put Google on a path to achieving this ambitious goal.

However, the rapid growth of AI and the immense computational power required to operate these systems have complicated the equation. This surge in demand has pushed Google, along with its competitors, to significantly increase their renewable energy purchases. In 2023 alone, Google contracted 4 gigawatts of clean power. [2]

Google is not alone in this pursuit. Microsoft has also added hundreds of megawatts of solar capacity this year, including a notable 475-megawatt purchase in March. Meta has also actively pursued solar energy, securing deals for 595 megawatts and 505 megawatts of solar power in January and February, respectively.