Google has signed a multi-gigawatt hydroelectric energy deal in the US.
Brookfield Asset Management and Brookfield Renewable this week announced a first-of-its-kind Hydro Framework Agreement (HFA) with Google to deliver up to 3,000MW of carbon-free hydroelectric capacity across the United States.
Under the agreement, hydroelectric assets will be relicensed, overhauled, or upgraded to extend the assets' useful life and continue adding power to the grid. Brookfield and Google will initially focus on the mid-Atlantic (PJM) and mid-continent (MISO) electricity markets.
Amanda Peterson Corio, head of data center energy from Google, said: “At Google, we’re dedicated to responsibly growing the digital infrastructure that powers daily life for people, communities, and businesses. This collaboration with Brookfield is a significant step forward, ensuring clean energy supply in the PJM region where we operate. Hydropower is a proven, low-cost technology, offering dependable, homegrown, carbon-free electricity that creates jobs and builds a stronger grid for all."
The first contracts executed under the HFA are to offtake from Brookfield’s Holtwood and Safe Harbor hydroelectric facilities in Pennsylvania, representing more than $3 billion of power and 670MW of capacity in 20-year agreements.
Connor Teskey, president of Brookfield Asset Management, added: “Our partnership with Google demonstrates the critical role that hydropower can play in helping hyperscale customers meet their energy goals. Delivering power at scale and from a range of sources will be required to meet the growing electricity demands from digitalization and artificial intelligence.”
Brookfield noted the transaction structure allows the company to maintain existing commitments to power consumers, such as Amtrak from the Safe Harbor facility.
While a number of data centers are indirectly powered by hydroelectricity from plants on the same power grids, dedicated PPAs for them are rare. In Italy, however, Aruba has previously acquired eight hydroelectric plants totaling 10MW to power its operations in Bergamo in Lombardy. Digital Edge and Iron Mountain have also signed hydroelectric energy deals.
According to CNBC, the deal with Brookfield is part of a wider $25 billion investment Google is putting into the PJM interconnection region.
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