Google (NASDAQ: GOOGL) has reached a significant clean energy milestone by signing landmark corporate power purchase agreements (PPAs) for geothermal energy in Taiwan – the first such agreements for the technology in the Asia-Pacific region.
The agreements, executed with global geothermal developer Baseload Capital, will deliver 10 megawatts (MW) of continuous, carbon-free power directly to Taiwan’s electricity grid. This clean energy will support the operational needs of Google’s data centers and facilities within Taiwan.
This initiative marks a crucial expansion of Google’s clean energy strategy in Asia, building upon its prior landmark solar power agreement in Taiwan in 2019. The geothermal PPAs underscore Google’s deepening commitment to achieving its ambitious 24/7 carbon-free energy goal, which aims to ensure every Google facility globally operates on clean electricity every hour of every day.
Geothermal energy, which harnesses the Earth’s subsurface heat, provides a consistent and reliable “always-on” baseload power source, independent of weather conditions or time of day. Taiwan’s location along the seismically active Pacific Ring of Fire positions it favorably for geothermal energy development due to its abundant underground thermal resources.
“These initial projects, developed by Baseload Capital, will add 10MW of geothermal energy to the Taiwan grid that powers our data center and local operations, and help catalyse the geothermal market across Asia Pacific,” stated Michael Terrell, Senior Director of Clean Energy and Carbon Reduction at Google, in a recent LinkedIn post.
Beyond the power procurement agreements, Google has also made a strategic equity investment in Baseload Capital, further demonstrating its commitment to the long-term scaling of geothermal energy.
This move aligns with Google’s broader global geothermal strategy, which includes its collaboration with Fervo Energy to advance enhanced geothermal systems in Nevada and a research partnership with Project Innerspace to map global subsurface energy potential.
Baseload Capital’s subsidiary, Baseload Power Taiwan, has been actively developing the groundwork for geothermal energy deployment in the region since 2019, working closely with local communities and government bodies to refine regulatory frameworks and gather crucial data on geothermal resources.
“This first phase of projects can nearly double the current installed geothermal capacity in Taiwan,” noted Terrell, highlighting the significant impact of this initial development. “It also kickstarts the local workforce, supply chain, and infrastructure needed to deploy future projects faster and at lower costs.”
The new PPAs are anticipated to contribute meaningfully to Taiwan’s national clean energy targets, which include a goal of installing 6 gigawatts (GW) of geothermal capacity by 2050. Google’s ongoing collaboration with the Taiwan government and local utilities is recognized as a key driver in fostering market development and innovation within the clean energy sector.
This landmark deal also underscores the growing influence of corporate demand in accelerating the adoption of emerging clean technologies. While solar and wind power have seen widespread adoption by private sector entities, geothermal energy has remained relatively underutilized. Google’s strategic investment and long-term agreements have the potential to shift this trend, not only in Taiwan but also in other promising Asia-Pacific markets such as Japan and Indonesia.
“Corporate demand has a critical role in bringing these technologies to market,” Terrell added. “By signing long-term agreements and investing in developers like Baseload Capital, we hope to help scale geothermal energy procurement globally.”
Google’s latest geothermal initiative represents a significant stride in its commitment to decarbonizing its global operations and supporting the widespread development of clean energy solutions. With geothermal energy poised to complement more variable renewable energy sources, the technology leader is strategically building a diverse and resilient energy portfolio to power its future.
