AES Corporation, based in the US, has signed two power purchase agreements (PPAs) with Amazon to supply 450 MW of clean energy to power its data centre operations in California. AES Corporation’s portfolio of projects will deliver clean energy to the California Independent System Operator (CAISO) market with 450 MW of solar and 225 MW of four-hour duration battery energy storage. Fluence has also been contracted to supply energy storage solutions for one of the projects.
Reportedly, Amazon is the largest corporate buyer of renewable energy. In addition, the PPA will help the company in reaching its net-zero carbon target of 2040 by powering all of its global activities with 100 per cent renewable energy by 2025.
In December 2021, AES Corporation announced the acquisition of Community Energy Solar, LLC (Community Energy). AES signed PPAs to provide 4 GW of renewable energy in the US this year, and the acquisition of Community Energy would help the company’s future expansion ambitions by providing a robust pipeline and talented development personnel.
REGlobal’s Views: Corporate procurement of renewable power is gaining traction as companies move towards greener strategies to reduce energy bills and attract consumer as well as investor interest.