Alphabet’s Google has signed a solar power agreement in Malaysia as the technology group seeks to secure clean electricity for its global operations.
Under the deal, Google will purchase power from a 30-megawatt solar farm in Kedah state, developed by a consortium led by a local unit of Japan’s Shizen Energy, according to sources familiar with the matter. The project forms part of Malaysia’s efforts to expand green power supply for corporate buyers and is expected to begin operations in 2027.
The agreement underscores growing efforts by global technology companies to decarbonise energy-intensive operations such as data centres. However, much of Asia — where companies including Google, Microsoft and Amazon have a significant footprint — remains heavily dependent on fossil fuels. Earlier this year, a Google executive described the region as one of the “most challenging parts of the world” in which to decarbonise operations.
Malaysia has set a target for renewable energy to account for 70 per cent of its installed power capacity by 2050, up from around 26 per cent last year, according to BloombergNEF. To support this transition, the government has introduced initiatives such as the Corporate Green Power Programme, under which the Google-Shizen agreement was signed.
Long-term power purchase agreements have become a key instrument for technology companies pursuing emissions reduction goals, offering financial certainty in markets where regulatory frameworks can be less predictable.
The Malaysian project marks Shizen Energy’s latest clean power partnership with a technology firm. The company signed a series of renewable energy deals with Microsoft in Japan in October and has previously entered into a power purchase agreement with Google for its data centre in Chiba prefecture.
