- Google has announced the largest hydropower deal in world history — a first-of-its-kind framework with Brookfield Asset Management.
- The 252 MW, 14-turbine Holtwood Hydroelectric Dam is the oldest of three major dams built across the lower Susquehanna River.
Google has announced the largest hydropower deal in world history — a first-of-its-kind framework with Brookfield Asset Management and its pure-play clean energy platform, Brookfield Renewable.
Under the Hydro Framework Agreement (HFA), Google can procure up to 3,000 MW of hydroelectric capacity across the United States that will be relicensed, overhauled, or otherwise upgraded to extend useful life. The first contracts executed under the HFA will be for the relicensing of Brookfield’s Holtwood and Safe Harbour hydroelectric facilities in Pennsylvania, representing more than $3 billion of power and 670 MW of capacity.
Brookfield and Google will initially focus on projects in the Mid-Atlantic (PJM) and Mid-Continent (MISO) electricity markets, with the flexibility to expand into other U.S. regions.
20-year Power Purchase Agreements (PPAs) for Brookfield’s Holtwood and Safe Harbour hydroelectric facilities in Pennsylvania will support Google’s operations across the PJM Interconnection. PJM Interconnection operates the largest U.S. grid and has been frequently criticised for limited renewable energy integration, long queues, and skyrocketing power prices. PJM is conducting a future power resource auction, with results announced next week.
The last auction‘s results drew an unwanted national spotlight to some of PJM’s widespread problems, which the transmission operator has worked to remedy. The transaction structure of Google’s new HFA allows Brookfield to maintain existing commitments to power consumers such as Amtrak from the Safe Harbour facility.
“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 that offers dependable, homegrown, carbon-free electricity that creates jobs and builds a stronger grid for all,” said Amanda Peterson Corio, head of data centre energy at Google.
“Our partnership with Google demonstrates the critical role that hydropower can play in helping hyperscale customers meet their energy goals,” added Connor Teskey, president of Brookfield Asset Management. “Delivering power at scale and from a range of sources will be required to meet the growing electricity demands from digitalisation and artificial intelligence.”
The 252 MW, 14-turbine Holtwood Hydroelectric Dam is the oldest of three major dams built across the lower Susquehanna River. It was first built as the McCalls Ferry Dam from 1905 through 1910 by the Pennsylvania Water & Power Company, which later merged with Pennsylvania Power & Light (PPL). The project consists of a 2,392-foot-long, 55-foot-high concrete gravity dam, two powerhouses, an impoundment, a tailrace, and a fish lift. The impoundment, Lake Aldred, extends approximately eight miles upstream.
Initially boasting only about half of its current nameplate, Holtwood added a second powerhouse, courtesy of a three-year PPL endeavour, contributing an additional 125 MW of capacity once construction was completed in late 2013. In 2015, Talen Energy took over generation on the site and sold the plant to Brookfield Renewable Energy to comply with federal antitrust requirements.