Google and NV Energy Partner on Geothermal Power

  • Google and NV Energy launched the Clean Transition Tariff (CTT) to secure 115 MW of geothermal power for data centres, aiming for 24/7 carbon-free energy by 2030.
  • Startup Fervo Energy, already supplying 3.5 MW through a pilot program, will deliver the geothermal power needed for the CTT project.
  • The CTT proposal, pending approval from the Nevada Public Utilities Commission, targets broader grid integration beyond traditional power purchase agreements (PPAs).

Google LLC, part of Alphabet Inc., is partnering with Berkshire Hathaway’s NV Energy to secure geothermal power for its data centres. This initiative supports Google’s goal to run its data centres and office campuses on 24/7 carbon-free energy (CFE) by 2030.

The collaboration, announced on Tuesday, introduces the Clean Transition Tariff (CTT), a new rate structure to promote clean energy use. Google and NV Energy plan to model the CTT for electricity markets across the US.

NV Energy has enlisted geothermal startup Fervo Energy to provide 115 MW of geothermal power for the project. Since 2021, Fervo Energy has supplied 3.5 MW of power to Google through a pilot program.

Google’s CTT proposal awaits approval from the Nevada Public Utilities Commission. The company explains that the new framework addresses the limitations of traditional power purchase agreements (PPAs). Unlike PPAs, which often isolate themselves from broader grid planning and rely on variable wind and solar energy, the CTT aims to integrate geothermal energy more effectively into the grid.

Doug Cannon, CEO of NV Energy, states, “This innovative proposal won’t impact NV Energy’s other customers financially but ensures that everyone benefits from cleaner energy resources.”

The partnership reflects a strategic shift towards integrating geothermal energy into comprehensive clean energy strategies. Google aims to support the decarbonisation of electricity systems by incorporating a stable, renewable energy source.

If approved, the CTT could set a precedent for other utilities to diversify their clean energy sources. Google’s pursuit of 24/7 CFE through this partnership demonstrates a proactive approach to overcoming traditional PPA limitations and securing a reliable green energy supply for its operations.

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