Google Buys Solar Farm's Output to Offset Data Center Emissions

Google purchased all electrical output from the Steel River Energy Center in Arkansas to offset emissions from its data centers. The project, expected to begin operation in 2029, will generate 1.6 gigawatts of solar power and 2 gigawatts of battery storage, enough to power 315,000 homes.

Google will pay a fixed cost for the electricity but will not directly use it. Instead, the solar energy will feed into the broader grid, supplementing power sources like coal, natural gas, and renewables.

The deal comes as Google’s electricity consumption rose 37 percent last year, increasing its grid-based emissions by the same amount. Other tech companies are also pursuing similar arrangements to offset growing energy demands from data centers powering artificial intelligence, though the effectiveness of these offsets is debated by some experts.