Google reveals ‘first-of-its-kind’ $20B renewable energy data center projects

Google has unveiled a $20 billion plan to develop a series of industrial parks across the United States powered by on-site wind and solar energy plants. These facilities will house the tech giant’s data center operations under what the company describes as a “first-of-its-kind” approach.

“Google is focused on evolving digital infrastructure development by co-locating grid-connected carbon-free energy and data center investments into closely-linked infrastructure projects,” Ruth Porat, president and chief investment officer of Google, said in a statement. “This approach is an important complement to efforts to unlock development of new transmission infrastructure and to optimize utilization of the existing grid.”

Google tapped clean energy provider Intersect Power to help build the renewable energy infrastructure for these projects. The first industrial park is on track to be partially operational by 2026 and fully completed by 2027.

“This partnership is an evolution of the way hyperscalers and power providers have previously worked together,” Sheldon Kimber, CEO and founder of Intersect Power, said. “We can and are developing innovative solutions to rapidly expand clean power capacity at scale while reducing the strain on the grid.”

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Google aims to reduce pollution by directly powering its data centers with renewables. That associated pollution comes from the large energy demands of such facilities when connected to the traditional power grid.

This strategy also relieves local utilities from the burden of upgrading their infrastructure. They can meet the electrical needs of those data centers. If local utilities had had to upgrade their infrastructure, it could have resulted in higher utility bills for nearby customers.

“This ‘power first’ approach to data center development is an evolved model that can significantly reduce delivery timelines of new power generation and the projects that will use it — and is designed to ease grid burden and improve overall reliability and affordability for all energy customers,” Porat explains.

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However, some challenges associated with this plan remain. Intersect Power must still raise millions in funds to construct the necessary renewable energy plants.

These industrial parks are not reliant on energy from the grid. However, they will have to connect to it regardless for use as a backup supply of power. That process can require years of regulatory approval before finalization.