Ormat Technologies has signed a significant 150-MW geothermal Power Purchase Agreement (PPA) with Nevada utility NV Energy.This agreement aims to support the operations of Google's data centers in Nevada while facilitating the development of a series of new geothermal projects across the state, expected to commence between 2028 and 2030.
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thinkgeoenergy.comThe PPA is part of NV Energy's Clean Transition Tariff (CTT), which provides a framework allowing utilities and large energy consumers, like Google, to invest in advanced clean energy technologies while ensuring that all associated costs with their electric service are fully covered.
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datacenterdynamics.com"This portfolio-based PPA provides a long-term revenue structure for Ormat's new geothermal projects throughout Nevada," stated Doron Blachar, CEO of Ormat Technologies.
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thinkgeoenergy.comThe contract is designed to begin when the first geothermal project within the portfolio reaches commercial operations, extending for 15 years beyond the final project's operational date.
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datacenterdynamics.comThe momentum surrounding the CTT reflects an innovative and scalable model for large customers to collaborate with utilities and technology providers to enhance clean energy capacity on the grid.Briana Kobor, head of Energy Market Innovation at Google, expressed optimism, stating that the agreement would help strengthen the reliability of the local power system while insulating other ratepayers.
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thinkgeoenergy.comdatacenterdynamics.comGeothermal energy is increasingly recognized for its reliability and sustainability, especially as electricity demand surges within the technology sector driven by advancements in artificial intelligence.Blachar highlighted that geothermal power is uniquely positioned to meet this growing demand with reliable, carbon-free energy solutions.
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thinkgeoenergy.comThis new PPA is not the first geothermal agreement Google has entered into through NV Energy.In June 2024, Google signed a similar agreement with Fervo Energy for the development of 100 MW of geothermal power, which will also feed into its data centers in Nevada.
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datacenterdynamics.comThe company has been proactive in exploring renewable energy sources globally, previously signing a geothermal PPA in Taiwan for 10 MW with Baseload Capital.
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datacenterdynamics.comAs Ormat Technologies continues to lead in geothermal development in the United States, this agreement marks another step towards expanding its portfolio.The company has been actively investing in exploration and drilling activities over the past several years, laying the groundwork for securing significant agreements like this one.
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datacenterdynamics.comThe establishment of a scalable geothermal energy model in Nevada not only aligns with growing demands for clean energy but also positions the state as a leader in renewable energy innovation.With projects expected to energize as early as 2028, the collaboration between Ormat, NV Energy, and Google could significantly contribute to the local economy and the broader transition to sustainable energy sources.
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thinkgeoenergy.comAs the push for clean energy continues, partnerships like this one underscore the importance of collaboration among technology giants, utilities, and energy developers in meeting the demands of the future while ensuring environmental sustainability.
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datacenterdynamics.comWith the approval of the Public Utilities Commission of Nevada (PUCN) anticipated in the second half of 2026, stakeholders are optimistic about the future of geothermal energy in the region, which could pave the way for additional projects and investments.
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datacenterdynamics.comIn summary, the 150-MW geothermal PPA between Ormat and NV Energy represents a significant advancement in renewable energy, demonstrating the potential for geothermal resources to support the growing energy needs of major tech companies like Google while promoting sustainable practices.
