How Google’s Clean Energy Deals are Powering AI Sustainably

The AI boom is forcing technology giants to face a complex reality: the very systems designed to combat climate challenges are accelerating global energy demand.

Across the world, data centres are drawing unprecedented amounts of electricity to support the training and operation of ever‑larger AI models – putting sustainability pledges to the test as innovation races ahead.

Google, however, has managed to cut emissions from its data centres by 12% in 2024, even as electricity usage surged by 27%, according to its 10th annual environmental report.

The company attributes this progress to a blend of clean‑energy sourcing, advanced hardware design and continual improvements in infrastructure efficiency.

“We’re proud to release our 10th annual Environmental Report, which details how we’re working to address the increased energy demands of AI to enable this positive impact, while also showcasing how AI can be used to build a more energy-efficient and resilient world,” it says.

Google’s record year for clean energy contracts

Google secured agreements for more than 8GW of new clean‑energy capacity in 2024 – its largest annual total to date and twice the volume of contracts signed the previous year.

The tech giant has now signed more than 170 contracts since 2010 to procure in excess of 22GW of clean‑energy generation – roughly matching Portugal’s total renewable capacity in 2024.

During the year, Google brought 2.5GW of new clean power online from projects brokered over recent years, some dating back to 2019, and maintained its global 100% renewable energy match for the eighth straight year.

More notably, the company’s carbon‑free energy share across data centres and offices rose from 64% to 66% on an hourly basis, meaning facilities increasingly matched their electricity use with clean power generated on the same grid and at the same time.

Nine of the 20 grid regions hosting Google-owned data centres surpassed 80% carbon‑free energy, highlighting regional progress toward 24/7 clean operations.

Google estimates that once fully online, the clean‑energy deals signed in 2024 could deliver almost four times the electricity required to cover its power demand growth from 2023 to 2024.

Its clean‑energy investments avoided more than 8.2 million metric tons of CO₂e in 2024 alone and cumulatively prevented more than 44 million metric tons since 2011 — roughly equal to the annual electricity emissions of every home in New York State.

The giant has now signed more than 170 agreements since 2010 to purchase over 22 gigawatts of clean energy generation, roughly equivalent to Portugal’s total renewable energy capacity in 2024.

Google brought 2.5 gigawatts of new clean energy online during 2024 from projects contracted over recent years, some dating back to 2019. 

It also maintained what it calls a 100% renewable energy match on a global basis for the eighth consecutive year. 

More significantly, its carbon-free energy percentage across data centres and offices increased from 64% to 66% on an hourly matching basis, meaning facilities matched their electricity use with clean power generation on the same grid during the same hour.

Nine out of 20 grid regions with Google-owned and operated data centres achieved at least 80% carbon-free energy. 

The company estimates that once operational, the new clean energy agreements signed in 2024 could generate nearly four times more electricity than its incremental load growth from 2023 to 2024.

Google’s clean energy purchases additionally avoided more than 8.2 million metric tons of carbon dioxide equivalent emissions in 2024 alone. 

From 2011 to 2024, the company estimates its clean energy purchasing cumulatively avoided more than 44 million metric tons, roughly equivalent to the emissions from the combined annual electricity use of every home in New York State.

“Transparency, accuracy and rigor are the foundation of sustainability reporting,” says Luke Elder, Lead Sustainability Reporter at Google.

“As the volume and complexity of data and strategies grow, we’re innovating our processes to meet rising expectations without compromising on these core commitments.

“This year, we integrated generative AI into our workflow to support the development of Google’s 2025 Environmental Report. 

“We’ve learned a tremendous amount from this first implementation and are already building more ways to leverage AI for future reports.”

Google’s nuclear and geothermal breakthroughs to power AI

The company has expanded its clean‑energy portfolio beyond traditional renewables, becoming the first corporation to sign an agreement to purchase nuclear power from small modular reactors through a partnership with Kairos Power.

The deal aims to deliver up to 500 MW of clean energy to US grids by 2035, with the first reactor scheduled to come online in 2030 and additional units following over the next five years.

Small modular reactors (SMRs) mark a shift from conventional nuclear plants, offering compact, factory‑built systems that can be assembled on‑site to provide scalable, low‑carbon power.

Kairos’ reactor design uses molten‑salt cooling and ceramic pebble fuel, enabling operation at low pressure and streamlining overall system complexity.

Google has also deepened its collaboration with Fervo Energy to advance enhanced geothermal projects in Nevada, contracting for a 115 MW development under a new utility rate structure.

The expansion will scale Google’s enabled enhanced‑geothermal capacity by nearly 25 times compared with its original pilot, which commenced operations in 2023.

Combining data centres, energy and AI innovation for sustainability 

Google’s data centres now deliver more than six times the computing power per unit of electricity compared with five years ago.

The company’s global fleet achieved an average annual power usage effectiveness of 1.09 in 2024 – dropping below 1.10 for the first time in six years.

This measure compares total facility energy with the amount directly powering IT equipment, with values approaching 1.0 indicating that nearly all electricity is devoted to computing.

Google’s seventh‑generation Tensor Processing Unit, known as Ironwood, is almost 30 times more efficient than the original Cloud TPU launched in 2018.

These custom‑engineered processors are purpose‑built to accelerate AI and ML workloads.

Google’s sixth‑generation Tensor Processing Unit, Trillium, achieves a 67% gain in energy efficiency over its predecessor and delivers 14 times more compute per watt than the first‑generation Cloud TPU.

How Google’s AI products enable emission reductions

Five of Google’s technologies helped users cut an estimated 26 million metric tons of greenhouse gas emissions in 2024, the company reported.

While representing only part of Google’s broader sustainability work, the total surpassed the company’s own emissions of 11.5 million metric tons for the year.

Nest thermostats accounted for more than 25 billion kilowatt-hours in energy savings, preventing roughly 8.4 million metric tons of emissions in 2024.

Google Maps’ fuel-efficient routing feature contributed an additional 2.7 million metric tons in avoided emissions – the equivalent of removing about 630,000 petrol cars from the road for a full year.

“AI isn’t just a tool, it’s a catalyst,” the company stated.

“It’s helping people make better decisions, faster – and its ability to manage emissions in sectors like transport and energy is proving transformational.”