www.industry-asia-pacific.com

Long-Term Solar PPA for Data Centers

TotalEnergies will supply renewable electricity to Google under a 21-year agreement supporting data center operations in Malaysia.

  totalenergies.com
Long-Term Solar PPA for Data Centers

TotalEnergies and Google have signed a long-term power purchase agreement to supply certified solar electricity from a new photovoltaic project in northern Malaysia, supporting Google’s data center power requirements.

Scope and structure of the agreement
The 21-year power purchase agreement covers a total volume of 1 terawatt-hour of renewable electricity, corresponding to an installed capacity of approximately 20 MW. Power will be supplied from the Citra Energies solar plant in Kedah province, which is scheduled to begin construction in early 2026.

The project was awarded in August 2023 under Malaysia’s Corporate Green Power Programme (CGPP) to a joint venture between TotalEnergies, holding a 49% stake, and local partner MK Land, which holds 51%. The CGPP framework enables corporate offtakers to contract renewable generation directly, contributing new capacity to the national grid.

Integration with data center operations
The solar output from the Citra Energies plant will support Google’s data center operations in Malaysia. Data centers require continuous, high-reliability power, and long-term PPAs are increasingly used to secure predictable electricity supply while adding new generation assets to the grid.

By contracting power from a dedicated solar project, the agreement links digital infrastructure growth with incremental renewable capacity rather than reallocating existing clean generation.

Grid impact and regional energy context
Malaysia’s CGPP is designed to accelerate private investment in renewable energy while supporting grid development. New utility-scale solar capacity contributes to diversifying the national generation mix and reducing reliance on fossil-based power during daylight hours.

From a system perspective, long-term PPAs such as this provide revenue certainty for project developers, supporting financing and construction of new assets that might otherwise be delayed.

Part of a broader clean energy strategy
The Malaysia agreement builds on an earlier PPA announced in November for renewable electricity supply to Google data centers in the United States. Together, these contracts reflect a strategy of sourcing power close to operational loads and across multiple regions.

For TotalEnergies, the project aligns with its expansion in flexible power and renewable integration, combining project development with long-term offtake agreements from large industrial and digital customers.

Relevance for digital infrastructure and energy markets
As data center capacity expands globally, long-duration PPAs are becoming a key mechanism for aligning digital infrastructure growth with energy transition objectives. In emerging markets, such agreements can play a structural role by enabling new generation assets while supporting the reliability requirements of large-scale digital operations.

Within this context, the TotalEnergies–Google agreement illustrates how renewable project development, corporate demand, and national energy programs can intersect to support both grid development and data center power supply over multi-decade time horizons.

www.totalenergies.com

  Ask For More Information…

LinkedIn
Pinterest

Join the 155,000+ IMP followers