Powering new data centres and shaping the future of sustainable tech by 2027, Google teams up with Intersect Power and TPG Rise Climate, plugging in $800 million for the venture.
Google has recently announced plans to purchase power from new data centres located in energy parks, developed with $20 billion in renewable energy and storage by Intersect Power across the United States.
The two companies revealed that Google would act as an anchor tenant in this deal, buying power from energy assets that Intersect Power will build in regions where new data centres are planned.
The first phase of the project is expected to be operational by 2026, with full completion set for 2027. To support this initiative, Google and TPG Rise Climate led an $800 million funding round, with additional investments from other firms.
Intersect Power, a Houston-based developer, currently operates 2.2 GW of solar power and 2.4 GWh of battery storage, with plans to expand significantly in the next year, including a large energy park in Texas.
Energy parks, which combine power generation and storage with supporting large-scale projects like data centres, can offer various benefits, such as cost savings, tax credits, and faster access to power.
However, they also face regulatory hurdles, including the need for clear policies on co-located energy and load. According to experts, energy parks can efficiently meet growing energy demands, but their integration into the grid must be handled carefully.
Google emphasised that co-located energy should not be used to defer necessary infrastructure investments. In its filing with the Federal Energy Regulatory Commission (FERC), US, Google urged faster approval processes for energy projects tied to clean energy sources while ensuring that co-location does not compromise grid reliability.
It also advocated for improved load forecasting and a standardised approach to verifying large load requests to prevent unnecessary infrastructure development.
Intersect Power noted that the current process for integrating co-located energy systems is complex and unpredictable. The company has called for more precise, standardised rules to make these projects more efficient.
