Google, Nevada Utility Partner for Geothermal Power

Google said Wednesday it has partnered with Berkshire Hathaway electric utility NV Energy to power its Nevada data centers with sophisticated geothermal electricity

Google stated that the agreement, submitted to state utility regulators for approval, would increase the quantity of carbon-free geothermal electricity injected into the local power infrastructure for Google’s operations from 3.5 to 115 megawatts over approximately six years.

The agreement is being signed when the world’s largest technology companies secure substantial quantities of electricity to power their data centers, which are swiftly expanding and serving as computer warehouses.

These centers are essential for developing cloud computing and generative artificial intelligence technologies.

The partnership furthers Google’s objective of operating solely on clean energy by 2030.

Google has announced intentions to invest a minimum of $4 billion in the construction or expansion of data centers in Indiana, Missouri, and Virginia thus far this year.

According to Google’s most recent environmental report, carbon-free energy sources like solar and wind power comprise 64% of its global operations.

The partnership with NV Energy is a novel approach to obtaining power in regulated power markets for corporations with significant emerging electricity loads and climate objectives.

Regulated power markets necessitate that power be acquired from the local utility rather than directly from a power generator. This can present a challenge for companies interested in utilizing all-clean energy.

The agreement necessitated Google’s direct involvement in planning NV Energy’s power generation resources and developing a rate structure termed the Clean Transition Tariff. Google intends to replicate this structure in other regions of the country.

Duke Energy, which operates in regulated states, announced a comparable agreement with Google, Microsoft, and Amazon late last month.

The execution of a power purchase agreement between NV Energy and Fervo Energy, an advanced geothermal developer, facilitated the deal.

Fervo Energy supplies Google with 3.5 megawatts of power after establishing a pilot program with the technology company in 2021.

Solar and wind energy sources are contingent upon the availability of sunlight and wind, which has prompted companies to seek stable, sustainable capacity.

They are now considering existing nuclear or less commonly used technologies, such as geothermal.

Nevada generates approximately 10% of its electricity through geothermal energy, which utilizes naturally occurring subsurface heat to generate renewable electricity.

According to the Energy Information Administration, this is the highest percentage of any U.S. state.