Google has signed two long-term power purchase agreements (PPAs) with TotalEnergies, aiming to secure a combined 1 gigawatt (GW) of solar energy for its data centers located in Texas.These agreements, spanning 15 years, are projected to deliver approximately 28 terawatt-hours (TWh) of renewable electricity throughout their duration, highlighting the increasing connection between large-scale data centers and renewable energy initiatives.
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finance.yahoo.comThe electricity generated will come from two solar projects currently under development by TotalEnergies: the 805-megawatt (MWp) Wichita solar farm and the 195-MWp Mustang Creek project.Construction for both sites is set to commence in the second quarter of 2026.
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finance.yahoo.comThis partnership is notable as it represents the largest volume of renewable PPAs that TotalEnergies has signed in the United States, underscoring Texas's pivotal role in meeting the soaring power demand from data centers and artificial intelligence infrastructure.The agreements also come at a time when US power markets, particularly the Electric Reliability Council of Texas (ERCOT), are experiencing mounting pressures due to rapid load growth driven by sectors such as AI and cloud computing.
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finance.yahoo.comHyperscale data centers like those operated by Google are increasingly opting for long-term PPAs as a strategy to decarbonize their operations while ensuring a reliable and stable source of electricity in a landscape marked by fluctuating wholesale energy prices.The new Texas PPAs complement Google's existing agreements, which include a total of 1.2 GW with Clearway Energy, a California-based renewable power producer that is partly owned by TotalEnergies.This multi-region approach reflects Google's commitment to sourcing clean energy across various markets in the United States.
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finance.yahoo.comTotalEnergies views this collaboration as a way to enhance its position as a key supplier to digital and industrial customers seeking tailored renewable energy solutions.The company has been steadily expanding its US electricity portfolio, which now boasts 10 GW of operational onshore solar, wind, and battery storage capacity, with approximately half of that located in ERCOT, indicating the attractiveness of Texas's deregulated power market.
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finance.yahoo.comIn addition to its environmental benefits, the project is expected to yield significant economic advantages for local communities.TotalEnergies anticipates that several hundred jobs will be created during the construction phase, and the long-term tax revenues generated from these solar projects will contribute to funding essential public services in the surrounding areas.
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finance.yahoo.comThis move aligns with TotalEnergies’ broader strategy of pairing renewable energy sources with flexible assets, such as gas-fired power generation and energy storage systems.The company aims to provide "clean firm power" solutions to large-scale clients, reinforcing its commitment to sustainability and economic development.As of late 2025, TotalEnergies reported over 32 GW of installed gross renewable electricity capacity worldwide and aims for more than 100 TWh of net electricity production by 2030.
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finance.yahoo.comThe growing partnership between tech giants like Google and energy providers like TotalEnergies illustrates a broader trend in the industry, reflecting the increasing necessity for reliable, clean energy sources as digital infrastructure expands.With the rapid growth of AI and cloud computing intensifying the demand for data processing capabilities, this partnership could serve as a model for future collaborations aimed at addressing the energy needs of an evolving technological landscape.
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blackstone.comAs data centers continue to proliferate, the intersection of energy demands and technological advancements will remain a focal point for investors and policymakers alike.Google's strategic investments in renewable energy, combined with TotalEnergies’ expertise, represent a significant step toward achieving a sustainable future for both the energy and tech sectors.