The IT behemoth Google (GOOGL.O) announced on Thursday that, as part of its efforts to meet climate targets and green its power supply, it has inked the largest power purchase agreement (PPA) ever with offshore wind projects off the coast of the Netherlands.
In an effort to secure revenue, developers of renewable power projects are increasingly tying their electricity output to long-term PPAs, while corporate purchasers are eager to lock in supplies and make sure they satisfy clean power procurement requirements.
Google has committed to sourcing 478 megawatts (MW) of power from two new wind farms created by Crosswind & Ecowende Consortia, joint ventures between energy firms Shell (SHEL.L), opens new tab, and Dutch utility Eneco, as part of its largest offshore wind PPA to date.
Smaller renewable PPAs in Italy, Poland, and Belgium were also announced, but no financial information about the agreements was provided.
According to Matt Brittin, President of Google in EMEA, “our ambition to operate on carbon-free energy around the clock by 2030 requires clean energy solutions in every grid where we operate.”
Many businesses that have similar objectives now operate on an annual basis, aligning their annual electricity use with PPAs or renewable energy certificate purchases.
In contrast, Google is aiming to produce one hour of clean power for every hour of electricity used, a move that supporters of the approach claim more accurately represents how much energy businesses actually use.
