Tech giant strikes mammoth package of wind and solar offtake deals including from 129MW South Lanarkshire wind project under development in Scotland
Amazon has today claimed the title of world's largest corporate buyer of renewable electricity, having more than doubled its existing contracted clean power capacity with the addition of 26 new wind and solar projects in Australia, Europe, and the US to its roster.
The 3.4GW clean power purchase agreement (PPA) spree, announced today, brings the tech giant's total contracted renewables capacity to 6.5GW, putting it ahead of previous record holder Google - which reported having 5.5GW earlier this year. The record means Amazon also boasts access to more renewables capacity than the overwhelming majority of nation states.
The monster procurement drive, which has been hailed as the largest ever clean energy purchase announcement by a single offtaker, will support Amazon's decarbonisation efforts by allowing its corporate offices, fulfilment plants, and data centres to transition away from fossil fuel-generated power, the company said.
Amazon has set a goal of securing 100 per cent clean electricity across its global operations by the end of the decade, but in a statement today founder Jeff Bezos said the company was now on track to reach the target five years ahead of schedule.
"With a total of 127 solar and wind projects, Amazon is now the biggest corporate buyer of renewable energy ever," he said. "We are on a path to running 100 per cent of our business on renewable energy by 2025 - five years ahead of our original target of 2030."
Among the 26 renewables projects with which Amazon has struck deals to directly source electricity is a 129MW wind project currently under construction in South Lanarkshire, which is set for completion in 2024. Amazon described the Scottish wind farm deal as the "largest single-site" power purchase agreement ever inked by a corporate buyer in the UK.
The tech giant's clean energy splurge also includes deals to source power from wind and solar projects in the US, Sweden, South Africa, Australia, France, Italy, and Germany.
Amazon's move received plaudits from senior figures in the renewables industry, who said it would help accelerate the clean energy transition by directly supporting the development of new wind and solar projects.
Corporate PPAs have become increasingly common over the past decade as companies seek to decarbonise their operations by directly buying electricity from renewables developers via long-term offtake deals, rather than through traditional utility companies.
Miranda Ballentine, chief executive of the Renewable Energy Buyers Alliance, said Amazon's 3.4GW package of deals represented the largest ever procurement announcement made by a single entity.
"Private sector investment is essential to scaling renewable energy at the pace necessary to drive global climate action," she said. "The US-based projects alone make Amazon's announcement 270 per cent larger than the largest corporate procurement announcement from a single off-taker to date, and showcase the company's leadership and commitment to a clean and prosperous energy future."
Gregory Wetstone, president of the American Council on Renewable Energy, also applauded Amazon for an "unprecedented contribution" to the clean energy transition. "We are immensely grateful to Amazon for their efforts to help us stay within shouting distance of the greenhouse gas emission reductions scientists say are needed to avoid the worst impacts of climate change," he said.