Google has signed the largest corporate deal in the history of hydropower. The deal involves 20-year contracts worth $3 billion with Canada’s Brookfield Asset Management. Under the agreement, Google will receive up to 3 gigawatts of hydropower to power its data centers in the US, Reuters reports.
The deal covers electricity supplies from two hydroelectric power plants in Pennsylvania, which will be modernized and re-licensed. The partnership with Brookfield will ensure a stable supply of clean energy in the PJM region, one of the most important energy hubs in the US, where Google is actively developing its infrastructure.
Additionally, Google plans to invest an additional $25 billion in the construction of data centers in Pennsylvania and neighboring states over the next two years. This was reported by Semafor, citing sources familiar with the details of the deal.
“The collaboration with Brookfield is a significant step forward in securing a clean energy supply in the PJM region where we operate,” said Amanda Peterson Cori, head of energy for Google’s data centers.
Over the past year, Google has signed several similar agreements to purchase electricity, including carbon-free geothermal energy and advanced nuclear energy.
The company is also collaborating with the nation’s largest power grid operator, PJM Interconnection, to utilize artificial intelligence to expedite the process of integrating new power sources into the grid. In the latest deal, Google announced that it had signed an initial framework agreement with Brookfield, the owner of Brookfield Renewable Partners, which develops and operates renewable energy power plants.
Google said it plans to eventually expand the agreement beyond these sites to other parts of the Mid-Atlantic and Midwest regions.