On Tuesday, Google announced a $3 billion deal with Brookfield to buy three gigawatts of US hydropower capacity in 20 years, falling within US investing in hydropower infrastructure plan, aligning with Google’s goal of fueling data centers with clean energy.
Google’s latest deal is a huge step in the direction of seeking cleaner sources of power. It reflects the sense of urgency to power new technologies with clean electricity and shows how seriously industry is taking sustainability.
By basing itself on hydropower, one of the most developed clean energy technologies, Google is choosing a tested and proven solution with lower carbon emissions.
Big Step for Hydropower
The Google Brookfield hydropower deal is made up of power purchase agreements over 20 years to buy power from two hydroelectric plants in Pennsylvania. Brookfield Renewable Partners owns the plants, which will be relicensed and modernized.
Modernization is part of a wide trend of large-scale investments in hydropower to power digital growth with cleaner fuels.
“This collaboration with Brookfield is a significant step forward, ensuring clean energy supply in the PJM region where we operate,” Amanda Peterson Corio, Google’s head of data center energy, said.
The deal is also consistent with the US hydropower clean energy future act, that will improve and modernize clean water-powered electricity across the U.S. power grid.
Future of Hydropower for AI Data Centers
Google’s power needs are increasing drastically, especially as it spends $25 billion on new data centers in Pennsylvania. These data centers, focused on AI and cloud computing, require steady and high-power electricity which has led the company to seek out all data center renewable energy sources, including geothermal and nuclear power.
Hydropower, under-appreciated compared to solar and wind, offers a reliable source of power and is at the heart of modern hydropower planning. And Google’s is nothing but proof of how precious this energy is becoming for the technology sector.
Simultaneously, Google is working with PJM Interconnection – the regional grid operator – on benefiting from AI to speed more the way new sources of energy connect to the grid, a key step towards the future of hydropower for AI data centers.
US hydropower plant upgrades under the pact will bring similar efficiency to newer plants for older ones. This is important not only for power generation but also to reduce the ecological footprint of hydropower, like alteration of river ecosystems.
Analysts highlight that the deal shows how Google data center renewable energy policies are leading the way for corporate sustainability practices. And for those who are curious, hydropower for a technologically advanced future can supply backup power during blackouts and has a lengthy lifespan, compared to other renewable sources.
With other US-based hydropower companies making the clean energy transition, technology’s greedy appetite for electricity can be met by rivers alongside technology. And with US investing in hydropower infrastructure increasingly at the center of energy policy, this type of deal is just the first of many.
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