“Google’s Groundbreaking Clean Transition Tariff Agreement Paves the Way for Next-Gen Clean Energy Technologies”

Google’s recent announcement of its first-ever Clean Transition Tariff-based (CTT) supply agreement marks a significant step towards accelerating the adoption of clean energy technologies and supporting companies in meeting their climate goals. This innovative market rate structure aims to facilitate investment in clean energy while promoting the development of more stable forms of energy to reduce reliance on fossil fuels.

Traditionally, renewable energy purchases have been made through Power Purchase Agreements, where buyers commit to buying a certain amount of power from providers. However, the intermittent nature of solar and wind power often leads grids to rely on fossil fuels for backup. The CTT was designed to address this issue by investing in firm power from early-stage technologies like geothermal, advanced nuclear, and long-duration storage, which are not adequately incentivized by current regulatory frameworks. By matching clean energy generation with customer load, the CTT structure accelerates overall grid decarbonization.

Google’s partnership with Berkshire Hathaway Energy subsidiary NV Energy in Nevada exemplifies the implementation of the CTT. Through this collaboration, Google has procured 115 MW of enhanced geothermal energy from Fervo Energy to contribute to the grid and progress towards its goal of operating on 24/7 carbon-free energy by 2030. A successful commercial pilot of Fervo’s technology demonstrated its ability to deliver enhanced geothermal power at scale, leading to a significant expansion in capacity.

Doug Cannon, President and CEO of NV Energy, praised the partnership with Google for bringing clean, firm energy technology like enhanced geothermal to Nevada’s grid. The innovative proposal, which will not impact other customers of NV Energy, sets a precedent for utilities and large customers to accelerate their clean energy goals. Google and NV Energy have also developed a framework that can be customized to suit different state regulatory environments, enabling the replication of the CTT structure across the U.S.

The potential impact of the CTT extends beyond Google, with the structure offering opportunities to expand clean energy capacity, improve grid reliability, and support the deployment of new technologies for clean industrial growth. By fostering the economic benefits of clean energy, the CTT has the potential to benefit communities nationwide.

In conclusion, Google’s introduction of the Clean Transition Tariff-based supply agreement represents a significant milestone in advancing clean energy adoption and supporting climate goals. Through innovative partnerships and market structures like the CTT, the transition to a cleaner and more sustainable energy future is within reach.