Google in 1.5 GW Pact With Energix For Renewable Power, Credits

Energix Renewables, a leader in the U.S. renewable energy sector and part of the Energix Group, has  announced the signing of a strategic long-term agreement with Google. The agreement will initially cover 1.5GWp of solar project development until 2030. Future expansion options will include, Energix supplying electricity and Renewable Energy Credits (RECs) generated from its solar projects to Google, a tax equity provider to Energix. This collaboration solidifies Energix’s position as a leading player in the U.S. renewable energy market, particularly within PJM, the Eastern transmission grid.

The agreement guarantees a market-adjusted price with a downside protection mechanism for energy, competitive REC pricing, and tax equity investments for Energix’s projects. The parties already signed the first two PPAs under this agreement.

Morgan Stanley & Co. LLC acted as sole financial advisor to Energix during the negotiation of this strategic agreement with Google.

Asa (Asi) Levinger, CEO of the Energix Group, commented:

“This agreement underscores our leadership in the U.S. renewable energy market, enabling us to leverage our unique expertise and resources for unparalleled growth and advancing Google towards its net zero and 24/7 carbon-free energy ambitions. This joint effort with Google not only strengthens our position in the PJM market but also opens up opportunities for future expansion into other power markets, we expect to deliver the 1.5GW in the next 2-3 years. This framework agreement is the latest addition to the company’s array of strategic agreements, and along with our global framework agreement with First Solar and collaborations with leading banks worldwide, we are well-positioned to leverage the U.S. market for growth and value-creation for all our stakeholders.”

“There is no one-size-fits-all solution when it comes to decarbonizing our electricity grids and no one company can do it on their own. We are proud of our work with Energix Renewables to unlock new clean energy in PJM. This type of collaboration is essential as we continue to progress towards our ambition to run on 24/7 carbon-free energy (CFE) on every grid where we operate every hour of every day.” (Amanda Peterson Corio, Global Head of Data Center Energy, Google)

Itamar Sarussi, Deputy CEO and CCO of Energix US, also highlighted:

“This announcement heralds a transformative era in renewable energy. The visionary structure of this agreement ensures mutually beneficial outcomes that should enhance shareholder value for both companies, driving forward the renewable energy revolution.”

Headquartered in Arlington, Virginia, Energix Renewables is a prominent independent power producer (IPP) specializing in the development, construction, and operation of renewable energy projects throughout the United States. To date, Energix has invested over $1.5 billion in the US. Focusing on solar energy production in the Mid-Atlantic region, Energix Renewables currently has 15 projects in operation, and many more in various stages of construction and development. With a total operational capacity of 636MWdc.