Dive Brief:
- Google announced a partnership with Cypress Creek Energy to invest in and obtain energy from what is projected to be the largest solar facility in the U.S.
- Acting as an “anchor investor” and an offtaker, Google will support the Steel River Energy Center, a solar and storage project initiated in Mississippi County, Arkansas, as detailed in a press release from Cypress Creek and the Google company blog.
- In addition to its investment role, Google has signed a power purchase agreement for energy from the project’s initial phases, marking it as the largest solar and storage project in its portfolio to date.
Dive Insight:
Upon completion, the Steel River project is set to boast a capacity of 2.5 gigawatts of solar power alongside 2.9 gigawatt-hours of battery storage. The project will unfold over three phases, with the first two phases expected to deliver 1.6 GWdc and 1.9 GWH of battery storage. Google refers to Steel River as a “game changer” due to its integration of solar arrays with advanced battery systems.
According to a report from the Solar Energy Industries Association, solar and battery storage accounted for 91% of all new electricity generation capacity in the U.S. during the first quarter of this year.
The project is anticipated to generate 700 construction jobs per phase and contribute an estimated $300 million in local tax revenue to Mississippi County over its lifespan. Google has pledged $5 million toward local energy affordability initiatives benefiting residents and K-12 schools. Cypress Creek will also invest $3 million in community enhancements, starting with a $400,000 commitment for a new playground in a nearby school district.
Cypress Creek CEO Kevin Smith highlighted the use of U.S.-made solar panels and indicated that “nearly all” of the steel for the project’s infrastructure will come from Mississippi County facilities. Smith stated, “Some people still question whether a domestic solar supply chain is possible. This project is proof.”
The facility is projected to be fully operational by 2029, although Google has not disclosed specific investment or offtake terms.
For Google, this deal comes amid rising emissions attributed to an AI expansion, as indicated in a report that shows its 2025 carbon footprint is expected to be 18% higher than in 2024, and 81% above its 2019 baseline. For more details, check Google’s latest sustainability report.
