Google & NV Energy Work to Sustainably Meet US Power Demand
With electricity powering almost every aspect of society and electrification, industrial growth and digitalisation is creating new electricity demand.
In a bid to tackle this hurdle head-on, Google is working with Nevada-based NV Energy to help the US meet this demand with reliable, affordable and clean power, turning a challenge into an opportunity.
Together they will help other energy users to meet growing power demand both cleanly and reliably.
Meeting growing electricity demand sustainably
At the core of Google and NV Energy’s partnership is a new clean transition rate, also known as a Clean Transition Tariff (CTT). This can be replicated in many electricity markets across the US, Google says, and also supports Google’s goal of running data centres and office campuses on 24/7 carbon-free energy (CFE) by 2030.
Google’s initiative with NV Energy, the first of its kind, will overcome some of the limitations of power purchase agreements (PPAs), which is a common way companies secure clean energy alongside project developers.
This method, one that Google itself pioneered, often sees agreements isolated from broader grid planning and utility investments, and with them often being renewable in nature, not as reliable or readily available due to the variability of weather.
Google says that to achieve fully decarbonised electricity systems, additional technologies that provide clean power on demand — known as clean firm capacity — are essential.
Technologies such as enhanced geothermal, long-duration energy storage (LDES) and advanced nuclear power are promising but in the early stages of development, making them relatively expensive and not well-supported by existing regulatory structures. As a result, there is a continued reliance on fossil fuels for reliable power when solar and wind are insufficient.
Technologies such as enhanced geothermal, long-duration energy storage, and advanced nuclear power are promising but are currently in the early stages of development. They are relatively expensive and not well-supported by existing regulatory structures, leading to continued reliance on fossil fuels for reliable power when solar and wind are insufficient.
Doug Cannon, NV Energy’s President and CEO, said: “NV Energy and Google’s partnership to develop new solutions to bring clean, firm energy technology — like enhanced geothermal — onto Nevada’s grid at this scale is remarkable.
“This innovative proposal will not be paid for by NV Energy’s other customers but will help ensure all our customers benefit from cleaner, greener energy resources.
“It provides a blueprint for other utilities and large customers in Nevada to accelerate clean energy goals. We look forward to progressing this proposal through the regulatory process to approval and look forward to sharing this with other customers to advance the additional economic opportunities it can bring to our state.”
How are CTTs helping pave the path to sustainable energy?
Google has collaborated with partners across the US in recent years to develop a scalable solution for utilities and large energy users to invest in clean firm capacity and accelerate the deployment of advanced, clean technologies.
As a form of long-term energy agreement, CTT’s facilitate investments in new projects that provide clean firm capacity to the grid. This structure allows customers to meet growing electricity demands with 24/7 CFE through existing utility relationships, sharing in the long-term benefits of increased clean and reliable power.
Taking to Twitter to share Google’s work in this space, the multinational conglomerate’s CSO Kate Brandt said: “To accelerate the clean energy transition, we need new business models and partnership structures that unlock reliable, clean capacity solutions for customers while maximising benefits to the grids where they operate.
“With this new pathway for utilities and customers to work together to expand clean energy capacity, we’re one step closer to enabling a thriving, carbon-free economy for everyone.”
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