Google Signs $3 Billion Hydropower Deal with Brookfield in Landmark Clean Energy Push

In a groundbreaking move for clean energy adoption, Google has entered a $3 billion agreement with Brookfield Asset Management to secure up to 3 gigawatts of hydropower in the United States. The deal, described as the largest corporate clean power pact for hydroelectricity, involves 20-year power purchase agreements sourced from two hydropower plants in Pennsylvania. This major step aligns with Big Tech’s rising need for sustainable energy to power increasingly demanding data centers.

The partnership comes amid Google’s aggressive $25 billion investment plan to expand its data center operations across Pennsylvania and nearby states over the next two years. This expansion is driven by the exponential rise in demand for energy-intensive technologies such as artificial intelligence and cloud computing. These sectors are contributing significantly to the country’s surge in electricity consumption, reversing a nearly 20-year period of stagnant power use.

Alphabet’s president and chief investment officer, Ruth Porat, is expected to elaborate on the deal during an AI summit in Pittsburgh. Notably, U.S. President Donald Trump will also attend the summit, where a broader announcement of $70 billion in AI and energy infrastructure investments is anticipated. The event highlights growing collaboration between the tech industry and federal authorities in addressing the energy demands of AI innovation.

Google continues to lead in clean energy procurement, having recently made pioneering deals in geothermal and nuclear energy. According to Amanda Peterson Corio, Google’s head of data center energy, the latest collaboration ensures long-term clean energy security in the PJM region, a crucial power market in the eastern U.S. Google is also partnering with PJM Interconnection, the country’s largest grid operator, to integrate AI for faster energy project deployments.

The two Pennsylvania hydropower sites involved in the deal will undergo upgrades and relicensing, further boosting the region’s renewable capacity. The agreement also lays the foundation for potential future expansions into other areas of the Mid-Atlantic and Midwest. As the need for carbon-free energy accelerates, this strategic partnership signals a new era of large-scale corporate investment in sustainable infrastructure.

Source: Reuters