Energex Renewable Energy said Tuesday it has signed a long-term agreement with Alphabet Inc’s Google to supply the tech giant with electricity and renewable energy credits generated from its solar projects.
To power rapidly expanding AI data centers, big tech companies like Google are increasingly negotiating electricity supply agreements with energy providers.
Energix will initially provide 1.5 GW of solar power through 2030, with an option to expand the partnership further.
The tech giant will also offer tax equity, allowing renewable energy credits under President Biden’s Inflation Reduction Act to be transferred to Energix.
Under this law, corporate entities can obtain these credits, which support the development of clean energy storage projects across the United States.
Morgan Stanley acted as sole financial advisor to Energex on the agreement.