Google Partners with Clean Energy Company to Co-Locate Generation, Storage with Data Centers

In a partnership that we may see more of, Google has teamed up with Intersect Power and TPG Rise Climate to fast-track the development of new data centers across the U.S., powered by clean energy, with a goal of driving $20 billion in renewable energy investments by the end of this decade. They’ve already started financing the first project, set to be up and running by 2026 and fully completed in 2027.

Here’s what is unique and what we knew might be coming: instead of building data centers and energy infrastructure separately, this partnership is co-locating them. By situating data centers right next to high-capacity, clean energy sources such as solar PV (plus battery storage), they’re cutting down on the need for long-distance transmission while making the grid more efficient and reliable. It might be a faster way to scale up data center capacity while considering sustainability.

“This is a whole new way for tech and energy providers to work together,” said Sheldon Kimber, Intersect Power’s CEO and founder. “We’re solving some of the biggest challenges in meeting the skyrocketing demand for electricity and AI growth by thinking creatively and working collaboratively.”

Google’s Amanda Peterson Corio agrees. “The growth of AI is creating an incredible opportunity to rethink how we develop data centers,” she said. “By co-locating them with clean energy, we’re not just meeting electricity needs—we’re doing it sustainably and at scale. This partnership is just the beginning, and we’re excited to expand this model across the U.S. and beyond.”

Intersect Power will build the clean energy infrastructure, and Google will anchor these projects as the primary user, ensuring new data centers come online with their own dedicated clean power. TPG Rise Climate, along with other investors, is backing it with over $800 million in funding.

This partnership isn’t just about technology—it’s about making a difference in local communities too. By working closely with grid planners, operators, and local stakeholders, the projects aim to create jobs, boost tax revenue, and support community initiatives, all while advancing rural economic development.