Brookfield and Google have today announced a first-of-its-kind Hydro Framework Agreement (HFA) to deliver up to 3GW of carbon-free hydropower across the United States.
Brookfield said the deal is the world’s largest framework agreement for the purchase of hydroelectricity.
The first contracts executed under the HFA are for Brookfield’s Holtwood (pictured) and Safe Harbour hydro facilities in Pennsylvania, representing more than $3bn of power and 670MW of capacity.
The HFA supports Google’s ambition to power its operations with 24/7 carbon-free energy.
Under the agreement, Google has the ability to procure carbon-free electricity from up to 3GW of hydroelectric assets that will be re-licensed, overhauled, or upgraded to extend the asset’s useful life and continue adding power to the grid.
The first contracted assets consist of hydroelectric facilities in Pennsylvania that Brookfield is re-licensing. Brookfield and Google will initially focus in the mid-Atlantic (PJM) and mid-continent (MISO) electricity markets, with the flexibility to expand into other US regions.
The 20-year power purchase agreements (PPAs) for Brookfield’s Holtwood and Safe Harbour hydroelectric facilities in Pennsylvania will support Google’s operations across PJM. The transaction structure allows Brookfield to maintain existing commitments to power consumers such as Amtrak from the Safe Harbour facility.
Google’s head of data centre energy Amanda Peterson Corio said: “At Google, we’re dedicated to responsibly growing the digital infrastructure that powers daily life for people, communities and businesses.
“This collaboration with Brookfield is a significant step forward, ensuring clean energy supply in the PJM region where we operate.
“Hydropower is a proven, low-cost technology, offering dependable, homegrown, carbon-free electricity that creates jobs and builds a stronger grid for all.”
Brookfield Asset Management president Connor Teskey added: “Our partnership with Google demonstrates the critical role that hydropower can play in helping hyperscale customers meet their energy goals. Delivering power at scale and from a range of sources will be required to meet the growing electricity demands from digitalisation and artificial intelligence.”