Category: Business News
Google buys 12 years’ of renewable energy in deal with BlackRock, Zephyr and Norsk Vind Energi to power its European data centers with renewable energy.
Google, BlackRock, Zephyr and Norsk Vind Energi, today announced that Google will buy the entire electricity output of a new wind farm, to be built south of Stavanger, Norway, for a period of 12 years. The new power purchase agreement (PPA) is Google’s first in Norway, and the 17th agreement globally to procure renewable energy for its data centers.
The deal will provide Google’s European data centers with additional renewable energy. This cross-border arrangement is possible thanks to Europe’s increasingly integrated energy market – and in particular, Scandinavia’s Nord Pool market – which allows Google to buy renewable energy with Guarantee of Origin certification in Norway, and consume an equivalent amount of power elsewhere in Europe.
Zephyr and Norsk Vind Energi, two leading Norwegian wind farm developers and operators, will now commence construction of the new wind farm. The 50-turbine project, with a total combined capacity of 160 MW, has already received all of the relevant planning approvals and permits. Once completed it will be the largest wind farm ever built in Norway. The wind farm is expected to be fully operational in late 2017.
Funds managed by BlackRock, the world’s largest investment management firm and a leading investor in renewable energy with over $2.5 billion of renewable equity assets under management, is providing equity financing for the project. SunEdison was an integral part of the development and structure of the financing of the project.
“Google has been carbon-neutral since 2007 and we are committed to powering 100% of our operations with renewable energy sources. Today’s announcement, Google’s first wind power deal in Norway and the largest to date in Europe, is an important step towards that commitment,” says Marc Oman, EU Energy Lead, Google Global Infrastructure.
“We are delighted to partner with Google, Zephyr and Norsk Vind Energi in completing this landmark transaction in Norway. This project is testament to BlackRock’s continued focus on renewable power investments, where the firm has invested equity capital in more than 75 renewable power projects across the USA, Canada, Ireland, Sweden, France and the UK in recent years,” says Rory O’Connor, Managing Director and Head of Renewable Power for Europe at BlackRock.
“This transaction shows that global companies like Google and BlackRock find Norwegian wind farms attractive and that Norwegian wind power is part of an international effort to reduce the carbon footprint. Zephyr and Norsk Vind Energi are proud to successfully have developed what will become Norway’s largest wind farm when in operation in 2017,” says Olav Rommetveit from Zephyr.