Brookfield and Google Sign Historic 3,000 MW Hydro Framework Agreement for Carbon-Free Energy in the US

Brookfield Asset Management and Google have signed a Hydro Framework Agreement for up to 3,000 MW of carbon-free hydroelectric energy in the US. The first contracts, valued at over $3 billion, cover hydroelectric facilities in Pennsylvania. The 20-year Power Purchase Agreements will support Google's operations in targeted regions. Brookfield's strategy of relicensing and upgrading existing infrastructure aims to address the growing energy demands from digitalization and artificial intelligence in the tech sector.

Brookfield Asset Management (BAM) and Google have signed a groundbreaking Hydro Framework Agreement (HFA) to deliver up to 3,000 megawatts (MW) of carbon-free hydroelectric energy in the United States. The first contracts, valued at over $3 billion, cover the Holtwood and Safe Harbor hydroelectric facilities in Pennsylvania. The 20-year Power Purchase Agreements (PPAs) will support Google's operations in the mid-Atlantic (PJM) and mid-continent (MISO) electricity markets, with flexibility to expand into other regions [1].

The HFA represents a significant step forward in Brookfield's strategy to deliver flexible, dispatchable clean energy solutions to the technology sector. Brookfield's approach involves relicensing and upgrading existing hydroelectric infrastructure to extend its useful life and continue adding power to the grid. This strategy aligns with Google's ambition to power its operations with 24/7 carbon-free energy [2].

Under the HFA, Google has the ability to procure carbon-free electricity from up to 3,000 MWs of hydroelectric assets. The first contracted assets consist of hydroelectric facilities in Pennsylvania that Brookfield is relicensing. The 20-year PPAs for the Holtwood and Safe Harbor facilities will support Google's operations across PJM, while also allowing Brookfield to maintain existing commitments to power consumers such as Amtrak from the Safe Harbor facility [3].

This agreement underscores the growing demand for clean energy in the technology sector, driven by the expansion of data centers for artificial intelligence and cloud computing. The deal highlights the importance of renewable energy sources in meeting the increasing electricity demands of the digital economy.

References:
[1] https://bam.brookfield.com/press-releases/brookfield-and-google-sign-hydro-framework-agreement-deliver-3000-mw-homegrown
[2] https://www.marketscreener.com/quote/stock/BROOKFIELD-ASSET-MANAGEME-147562477/news/Brookfield-Asset-Management-and-Google-Sign-Hydro-Framework-Agreement-to-Deliver-Up-to-3-000-MW-of-H-50514745/
[3] https://www.reuters.com/sustainability/boards-policy-regulation/google-inks-3-billion-us-hydropower-deal-largest-clean-energy-agreement-its-kind-2025-07-15/