AES to provide Google with 500 MW of Green Power in Northern Virginia

May 04, 2021 | Posted by admin

An agreement has been reached between AES and Google for AES to supply Google’s Northern Virginia data centers with renewable energy. The deal will see AES construct 500 MW of renewable energy and storage projects with a mix of wind, solar, hydro, and battery storage for Google’s data centers in Northern Virginia.

The agreement between the two companies starting later this year is expected to run for ten years. It would also see Google’s Virginia-based data centers be 90% carbon-free when measured on an hourly basis. AES’s 500 MW portfolio combines its renewable energy projects and those of other developers to meet Google’s energy needs. This portfolio is expected to cost approximately $600 million.

AES Press Press Release on May 4, 2021:
AES Announces First-of-Its-Kind Agreement to Supply 24/7 Carbon-Free Energy for Google Data Centers in Virginia

This transaction will result in the construction of approximately 500 MW of renewable energy and storage projects to ensure Google's Virginia-based data centers will be 90% carbon-free when measured on an hourly basis

ARLINGTON, Va., May 4, 2021 /PRNewswire/ -- The AES Corporation (NYSE: AES) announced today that it has signed an agreement to supply the electricity to power Google's (NASDAQ: GOOGL) Virginia-based data centers with 24/7 carbon-free energy under a 10-year supply contract. With this first clean energy procurement deal in the world of its kind, AES will help ensure that the energy powering those data centers will be 90% carbon-free when measured on an hourly basis. AES will become the sole supplier of the data centers' carbon-free energy needs on an annual basis, sourcing energy from a portfolio of wind, solar, hydro and battery storage resources to be developed or contracted by AES. The agreement will start supply later in 2021 and is an important step in meeting Google's previously announced goal to run its business on 100% carbon-free energy on an hourly basis by 2030.

"Last year, Google set an ambitious sustainability goal of committing to 100% 24/7 carbon-free energy by 2030. Today, we are proud that through our collaboration with Google, we are making 24/7 carbon-free energy a reality for their data centers in Virginia," said Andrés Gluski, AES President and CEO. "This first-of-its-kind solution, which we co-created with Google, will set a new sustainability standard for companies and organizations seeking to eliminate carbon from their energy supply."

"Not only is this partnership with AES an important step towards achieving Google's 24/7 carbon-free energy goal, it also lays a blueprint for other companies looking to decarbonize their own operations," says Michael Terrell, Director of Energy at Google. "Our hope is that this model can be replicated to accelerate the clean energy transition, both for companies and, eventually, for power grids."

AES assembled the 500 MW portfolio from a combination of AES' own renewable energy projects and those of third-party developers, which were selected, sized and contracted to meet Google's energy needs across a number of considerations, including cost efficiency, additionality and carbon-free energy profile. The portfolio assembled by AES is expected to require approximately $600 million of investment and generate 1,200 jobs, both permanent and construction, in the host communities. These efforts will greatly simplify Google's energy procurement and management at a competitive price while decarbonizing Google's load and the broader PJM grid.

This supply agreement follows on the strategic alliance AES and Google formed in November 2019 to leverage Google Cloud technology to accelerate innovation in energy distribution and management and advance the adoption of clean energy. AES is pioneering greener, smarter energy innovations, with the goal of expanding the services available to large-scale corporate customers.
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About AES
The AES Corporation (NYSE: AES) is a Fortune 500 global energy company accelerating the future of energy. Together with our many stakeholders, we're improving lives by delivering the greener, smarter energy solutions the world needs. Our diverse workforce is committed to continuous innovation and operational excellence, while partnering with our customers on their strategic energy transitions and continuing to meet their energy needs today. For more information, visit

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