Urs Hölzle, Senior Vice President Technical Infrastructure:
Every year people search on Google trillions of times; every minute people upload more than 400 hours of YouTube videos. All of that takes an incredible amount of processing power — which means energy. Our engineers have spent years perfecting Google’s data centers, making them 50% more energy efficient than the industry average. But we still need a lot of energy to power the products and services that our users depend on. We began purchasing renewable energy to reduce our carbon footprint and address climate change — but it also makes business sense.
I’m thrilled to announce that in 2017 Google will reach 100% renewable energy for our global operations — including both our data centers and offices. We were one of the first corporations to create large-scale, long-term contracts to buy renewable energy directly; we signed our first agreement to purchase all the electricity from a 114 MW wind farm in Iowa, in 2010. Today, we are the world’s largest corporate buyer of renewable power, with commitments reaching 2.6 GW of wind and solar energy.
Over the last six years, the cost of wind and solar came down 60 % and 80 %, respectively, proving that renewables are increasingly becoming the lowest cost option. Electricity costs are one of the largest components of our operating expenses at our data centers, and having a long-term stable cost of renewable power provides protection against price swings in energy.
Our 20 renewable energy projects also help support communities, from Grady County, OK, to Rutherford County, NC, to the Atacama Region of Chile to municipalities in Sweden. To date, our purchasing commitments will result in infrastructure investments of more than $3.5 billion globally, about two-thirds of that in the United States. These projects also generate tens of millions of dollars per year in revenue to local property owners, and tens of millions more to local and national governments in tax revenue.
Since the wind doesn’t blow 24 hours a day, we’ll also broaden our purchases to a variety of energy sources that can enable renewable power, every hour of every day. Our ultimate goal is to create a world where everyone — not just Google — has access to clean energy.
The science tells us that tackling climate change is an urgent global priority. We believe the private sector, in partnership with policy leaders, must take bold steps and that we can do so in a way that leads to growth.