Tag: Renewable Energy

Sustainability-In-Tech : New AI Factory Powered By Renewable Energy in Arctic

Posted on by Paul Stradling

Norwegian investment giant Aker has revealed plans to construct a large-scale AI facility inside the Arctic Circle, capitalising on green energy and a growing Nordic tech race.

Major Investment With Strategic Ambitions

Aker ASA, the Oslo-based industrial investment firm controlled by billionaire Kjell Inge Røkke, has announced plans to establish a major artificial intelligence (AI) “factory” in Narvik, a coastal city in northern Norway. Located 220km within the Arctic Circle, the site is already prepped for construction and has access to 230 megawatts (MW) of clean energy.
Described by Aker as a “catalyst for industrial development, job creation, and export revenues,” the project positions itself at the heart of a growing international race to create energy-efficient data infrastructure for AI workloads. CEO Øyvind Eriksen said the new facility would help Norway seize a key opportunity in an evolving digital economy: “AI and data centres are becoming foundational to global business, and northern Norway is uniquely positioned to benefit.”

Start Work Later This Year

While the company has not yet disclosed a total construction cost or timeline for the facility’s completion, the site in Narvik is said to be “construction ready”, with early groundwork expected to begin later this year, pending partnership agreements. Negotiations with potential technology providers and anchor customers are currently underway.

What Is an “AI Factory” and Why the Arctic?

The term “AI factory” refers to a data centre designed to support high-performance computing (HPC), particularly the large-scale training and deployment of AI models. These facilities require huge amounts of electricity to power and cool thousands of graphics processing units (GPUs), the hardware typically used for advanced AI tasks.

In recent years, tech companies and infrastructure investors have turned to northern regions where natural cooling and cheap renewable electricity offer environmental and economic advantages. Narvik, with its access to stable, low-cost hydropower and cool year-round temperatures, provides precisely the conditions needed for sustainable AI operations.
For example, data centres in warmer climates often need complex and energy-intensive cooling systems. In Narvik, ambient air can be used for much of the cooling, significantly reducing operational emissions. Aker’s plan aligns with a broader trend across the Nordics, where countries are leveraging their green energy grids and favourable climates to attract the next generation of digital infrastructure.

Aker’s Portfolio and Strategic Focus

Founded in 1841, Aker ASA is one of Norway’s largest industrial investment firms. The company has long-standing interests in sectors including energy, marine biotechnology, oil and gas, and software. Its current portfolio includes Cognite, a software company that delivers industrial AI and data solutions, and Seetee, a digital assets firm that holds Bitcoin and invests in blockchain infrastructure. Both are majority-owned and operated through Aker’s tech division.

In its Q2 2025 earnings update, Aker reported a 7.4 per cent rise in net asset value, reaching NOK 66.5 billion (£4.9 billion). The company also confirmed it was consolidating its data centre activities under direct ownership, a signal that the Narvik development will form a core part of its long-term infrastructure play.

The move comes as part of a wider shift in Aker’s strategy, with CEO Øyvind Eriksen stating that AI represents “a new value chain,” and that Norway’s combination of political stability, clean energy and industrial expertise makes it an attractive location for such ventures.

Part of a Larger Nordic Trend

The Nordics (Norway, Sweden, Denmark, Finland, and Iceland) have emerged as one of the world’s fastest-growing regions for AI data infrastructure, drawing investment from tech giants and local firms alike. Last year, Google pledged €1 billion (£850 million) to expand its Hamina data centre campus in southern Finland, its seventh such expansion. Microsoft followed suit with a $3.2 billion (£2.5 billion) commitment to boost its AI and cloud capacity across Sweden.

Amsterdam-based Nebius, a cloud firm backed by Yandex co-founder Arkady Volozh, announced in October that it would triple GPU capacity at its Mäntsälä facility in Sweden. The site is now being scaled to run 60,000 GPUs dedicated to AI workloads, making it one of Europe’s most powerful AI installations.

Also, as a sign of increasing local innovation, Finnish startup Silo AI was acquired by chipmaker AMD for $665 million (£515 million) last year, underlining growing investor confidence in the region’s AI ecosystem.

Narvik’s Unique Position

It seems that Narvik is no stranger to strategic importance. For example, historically a transport hub for iron ore, the city now sits at the centre of what the Norwegian government calls “Green North”, a zone being positioned for energy-intensive industries powered entirely by renewable sources.

The site earmarked by Aker lies close to existing transmission infrastructure and has direct access to locally generated hydropower. According to Statnett, Norway’s national grid operator, the northern region benefits from surplus electricity and lower wholesale energy prices compared to southern parts of the country.

This abundance of clean energy has not gone unnoticed. Eriksen described the Arctic setting as “ideal for long-term, sustainable digital infrastructure”, highlighting the region’s potential to export data processing as a service, similar to how Norway exports energy and aluminium today. For example, the Narvik facility could process AI training workloads on behalf of global clients, using only renewable energy and naturally cooled systems, giving it a unique carbon advantage compared to data centres in North America or Asia.

Economic and Industrial Impacts

Aker says the AI factory will generate new local jobs in both construction and operations, while also stimulating the broader northern economy. Although specific employment numbers have not yet been released, regional leaders have welcomed the project as a sign of renewed industrial confidence.

Local authorities in Narvik have also indicated that they are keen to develop a technology cluster around the facility, offering incentives to secondary businesses such as equipment suppliers, repair services, and housing developments.

For Aker, the facility may strengthen its position in a growing sector while complementing its existing investments in digital infrastructure. By owning both the compute (via the AI factory) and the software layer (via Cognite), the firm may be able to offer vertically integrated industrial AI services to its portfolio companies and beyond.

UK and European businesses could benefit as well. For example, with growing pressure to decarbonise digital operations, firms may soon look to outsource high-energy AI processing to low-carbon providers, particularly those in stable jurisdictions like Norway.

Challenges and Concerns

However, the project is not without its critics. For example, some environmental groups have raised concerns about the true impact of AI-related energy use, arguing that even renewable-powered data centres could crowd out other local energy needs or require future grid upgrades.

There are also broader geopolitical and regulatory questions. The AI arms race has triggered export restrictions on high-end GPUs and computing technology, particularly between the US and China. For Norway, which remains outside the European Union but closely aligned through the EEA agreement, balancing access to global supply chains with national interests could become increasingly complex.

Also, while the Narvik site boasts favourable conditions today, questions remain around long-term cooling efficiency, particularly as GPU densities increase and water-based cooling becomes more common. Some analysts have cautioned that being early to market brings both opportunity and risk.

That said, Aker insists that its approach is grounded in long-term ownership and sustainability. In a statement accompanying the announcement, Eriksen said: “Our industrial DNA means we take a patient, value-creating view. This isn’t about short-term gains—it’s about building infrastructure that serves future generations of technology.”

More detailed timelines, costs, and partnerships are expected to be disclosed later this year.

What Does This Mean For Your Organisation?

If Aker succeeds in building a commercially viable AI facility powered by Arctic hydropower, it could set a new benchmark for how digital infrastructure is developed and operated in a low-carbon economy. While the company has yet to reveal the full technical and financial details, the decision to base the facility in Narvik reflects a deliberate strategy to align technological ambition with environmental responsibility. This positions Aker as not just a backer of industrial innovation, but a potential driver of regional transformation in northern Norway.

For Norway itself, the project signals an opportunity to diversify beyond oil and gas while still playing to its strengths in energy, engineering, and export-led industrial development. The Narvik factory is being framed as part of a new value chain, one where data, like oil before it, becomes a national resource to be harnessed and exported. That framing carries economic and political weight, especially as countries seek to balance growth with climate goals.

From a business perspective, the implications stretch beyond Scandinavia. For example, UK companies under growing pressure to meet sustainability targets could find that shifting AI workloads to greener, offshore compute centres is an attractive alternative to expanding domestic infrastructure. With corporate ESG commitments under scrutiny and AI workloads expected to surge, outsourcing to renewables-based facilities may become part of the commercial risk-reduction strategy.

Even so, the success of this model depends on the reliability and scalability of the energy supply, on keeping operational costs competitive, and on navigating geopolitical and supply chain uncertainty. As governments consider how to regulate AI, data sovereignty and infrastructure ownership will remain sensitive issues. In Norway and beyond, Aker’s Arctic AI factory may, therefore, serve as both a proving ground and a pressure test for the next chapter of sustainable industrial development.

Sustainability-in-Tech : Wave Technology 5 X More Efficient

Posted on by Paul Stradling

Swedish startup, CorPower, which has secured €32 million in funding, claims to have developed technology that’s five times more efficient than previous state-of-the-art wave power technology.

CorPower Ocean 

CorPower Ocean is a Swedish-based renewable energy company with pioneering wave energy technology. Established in 2012, the company was co-founded by Patrik Möller and Dr. Stig Lundbäck, and has since positioned itself as a leading innovator in the marine energy sector. CorPower says its vision is to harness the immense, untapped power of the ocean to help meet global energy needs sustainably.

The Heart of the Technology 

CorPower’s wave energy converter (WEC) technology is unique and draws its inspiration from the human heart. For example, the company’s design is based on the principles of the Dynamic Adaptive Piston Pump, patented by Lundbäck, which mimics the heart’s dual-action pumping mechanism. Just as the heart uses energy efficiently, CorPower’s WEC is designed to maximise energy capture while minimising waste, converting the natural motion of ocean waves into electricity.

The Golden Buoy 

The core of CorPower’s innovation lies in its point-absorber ‘golden buoy’ system (so-called because it looks like a large, gold-coloured buoy in the water). The buoy is tethered to the seabed and moves with the vertical motion of the waves, capturing energy both as it rises and falls. Its innovative “WaveSpring” technology, stores energy from wave motion and releases it to drive power generation. Also, CorPower’s system utilises predictive algorithms that anticipate incoming waves, allowing it to optimise energy capture while protecting the buoy from damage during storms. This not only improves the energy yield but also enhances the device’s survivability in rough sea conditions.

Efficiency and Survivability 

One of the most significant breakthroughs CorPower claims is that its WEC can deliver five times more energy per tonne of material compared to traditional wave energy technologies! The company says the secret to this efficiency lies WEC’s ability to amplify wave motion during normal conditions while de-tuning itself during extreme weather. For example, in trials off the coast of Portugal, CorPower’s C4 WEC withstood storm waves as high as 18.5 metres while still generating electricity.

This combination of efficiency and durability addresses two of the key challenges in wave energy, i.e. energy capture and survivability.

Why Wave Energy? 

The oceans are one of the largest untapped energy sources on the planet. Waves are more predictable than wind and solar, providing a consistent source of energy that could help balance the intermittent nature of other renewables. Wave energy is available around 90 per cent of the time, making it an excellent candidate for reliable, “baseload” power. CorPower’s technology, therefore, appears to be a significant step forward in making this energy source commercially viable.

Funding and Partnerships 

Although the wave energy sector has historically been plagued by high costs and technical failures, CorPower seems to be bucking this trend. For example, in 2023, the company secured €32 million in Series B1 funding, the largest single investment in wave energy technology to date. The company says this funding will support the commercialisation of its C4 system and further scaling efforts.

Investors, including EIT InnoEnergy and SEB Greentech Venture Capital, are backing CorPower, reportedly due to the transformative potential of its technology in reducing greenhouse gas emissions.

Real-World Trials Under Way Off Portugal 

This financial backing has allowed CorPower to progress through several stages of testing and development, with the C4 system now undergoing real-world trials off the coast of Portugal. The company’s plans extend beyond individual units to full-scale wave farms, with clusters of buoys working together to generate energy. CorPower aims to achieve commercial scale by 2026 with projects such as a wave farm off the coast of Ireland in partnership with Ireland’s state-owned electricity company, Electricity Supply Board (ESB).

Scalability and the Future of Wave Farms 

CorPower is setting its sights on creating utility-scale wave energy farms, capable of generating 10-30 MW of electricity using multiple C4 buoys. These clusters, known as “CorPacks,” can be deployed to meet energy needs for coastal communities and industrial consumers alike. By automating the production of buoy hulls with its “mobile factory” concept, CorPower aims to bring down costs, producing each buoy in just 48 hours.

Cost Competitive 

In terms of the levelised cost of electricity (LCOE), CorPower’s target is €71/MWh, which would make wave energy competitive with established renewables like wind and solar. If successful, this cost-efficiency could mark a turning point for wave energy’s role in the global energy mix.

The Road Ahead 

CorPower’s journey reflects a broader resurgence of interest in marine energy, buoyed by government support and private investment. For example, the European Union and the United States are making substantial investments in ocean energy, recognising its potential to contribute to a more resilient, sustainable energy grid. As CorPower’s co-founder Patrik Möller notes, wave energy has the potential to become the third largest source of global energy, trailing only wind and solar. Möller has highlighted the critical role that wave energy can play in balancing the renewable energy mix, saying: “CorPower Ocean is on a mission to power the planet with clean energy from ocean waves. Due to its consistent and complementary power profile, it helps bring stability to the clean energy mix—plugging the voids of wind and solar power—to allow a world powered entirely by renewables, 24/7 each day of the year”. 

For CorPower, the next steps involve scaling its technology, proving its bankability, and securing long-term partnerships with energy providers which would put the company in a position to lead the charge in making wave power a mainstream energy source.

Not The Ony Company Doing It 

Despite its funding, partnerships, and promising market position, it should be noted that, as expected in a relatively new market, CorPower is not the only company working to develop advanced wave energy technologies. Others making significant strides in wave energy technology include:

– Finland based AW-Energy (WaveRoller). The WaveRoller technology uses a fully submerged wave energy converter with oscillating underwater panels mounted to the seabed to capture the movement of ocean swells. As the panels move back and forth with the waves, they drive a hydraulic piston that generates electricity. Being submerged helps the WaveRoller avoid the damage that surface-based devices face during storms. Also, it can generate power consistently because ocean swells are present most of the time, even when wind and solar energy are intermittent. AW-Energy has already connected its WaveRoller to the Portuguese grid, proving the system’s grid-readiness.

– Based in the UK, Mocean Energy has developed a wave energy converter that looks like a floating, hinged raft. This device captures energy as its two connected arms move relative to each other in response to passing waves. Mocean’s compact design is particularly suited for generating off-grid power in the oil and gas industry, where clean power is needed for remote subsea operations. Mocean Energy is partnering with several major energy companies, including Shell, to explore microgrid power solutions for offshore oil installations.

– Israel-based Eco Wave Power has taken a novel approach by installing its wave energy converters on existing marine structures like breakwaters and piers. Their system uses floaters that rise and fall with the waves, driving a hydraulic piston to generate electricity. One key advantage of Eco Wave Power’s system is that it doesn’t require the complex and expensive offshore infrastructure of other wave energy devices. This reduces installation and maintenance costs significantly. Additionally, because it’s installed onshore or nearshore, it’s easier to access for repairs.

– Danish company WavePiston, offers a modular wave energy solution that consists of multiple moving plates connected along a tether. These plates convert the kinetic energy of ocean waves into pressurised water, which drives turbines to generate electricity. WavePiston’s design is simple yet effective, lowering production and operational costs. Its system is particularly scalable, with arrays of plates installed across large areas of the ocean, making it suitable for deployment in energy-intensive projects.

– Seattle-based Oscilla Power’s ‘Triton’ is a two-part wave energy converter that consists of a surface float and a submerged ring that oscillate independently of each other. This unique motion captures more energy from waves than traditional point-absorbers. One of Triton’s key advantages is its multi-axis energy capture system, which harvests energy from both the heave (up and down) and surge (side to side) motions of waves. This increases its efficiency across different wave conditions, and its submerged components make it more resilient to extreme weather.

The fact that so many companies globally are now involved in developing these technologies illustrates how the concept of harnessing wave energy is undergoing a significant resurgence.

The Disadvantages of Wind Power 

Although wave energy technology (such as CorPower’s solutions) appear to hold great promise, it should be acknowledged that there are several key challenges that have hindered its widespread adoption. These include:

– The high initial costs. Wave energy devices are expensive to design, manufacture, and install due to the harsh marine environment they must withstand. These high upfront costs make it difficult for wave energy to compete with more established renewables like solar and wind.

– Maintenance and durability. Ocean conditions lead to wear and tear, corrosion, and mechanical failures. Repairing devices located far offshore is complex and costly, adding to operational expenses.

– Environmental concerns. Wave energy devices may disturb marine ecosystems, with potential impacts such as noise pollution, habitat disruption, and electromagnetic interference from subsea cables.

– Intermittency and variability. While wave energy is more predictable than solar or wind, wave intensity fluctuates, requiring energy storage or backup solutions to ensure grid reliability.

– Location-specific limitations. Not all coastal regions have the strong, consistent waves needed for efficient energy production, limiting the global applicability of wave energy.

– Complex grid Integration. Laying subsea cables and managing energy transmission over long distances add complexity and cost to connecting wave farms to the grid.

– Lack of proven commercial success. Despite advancements, wave energy still lags in commercial deployment, which makes investors cautious about committing to the technology.

However, although significant, these barriers represent areas of ongoing innovation, as developers work to improve durability, lower costs, and enhance the efficiency of wave energy systems.

What Does This Mean For Your Organisation? 

Wave energy now seems to be really gaining momentum as a viable and essential component of the global renewable energy mix and CorPower’s technology could position it as one of the frontrunners of this movement. The company’s unique wave energy converters, inspired by the pumping action of the human heart, demonstrate the potential for efficient and durable solutions to capture the ocean’s vast, consistent energy. By addressing two of the most persistent challenges in the wave energy sector, i.e. energy capture efficiency and survivability, CorPower looks like having the potential to finally bring wave power into the mainstream.

However, despite its clear advantages, wave energy still faces significant hurdles that could limit its near-term expansion. High installation costs, technical durability, and the complexities of grid integration remain obstacles to overcome. Also, the ocean is a harsh environment and designing systems that can operate efficiently while resisting corrosion, mechanical failure, and environmental disruption is not straightforward. It’s also a concern that, without proven large-scale commercial success, wave energy technology must still win over sceptical investors who are more likely to fund well-established renewable sectors like wind and solar.

That said, CorPower’s progress could signal a promising future for wave energy. Real-world trials, strategic funding, and collaborative partnerships with major energy players such as Ireland’s ESB reflect the increasing confidence in the potential of wave energy. As governments and private investors continue to focus on diversifying the renewable energy portfolio, wave energy is likely to find its place, complementing other renewables to provide a more stable and reliable power source.

Sustainability-in-Tech : Amazon’s Energy Success

Posted on by Paul Stradling

Amazon recently boasted reaching its 100 per cent renewable energy goal seven years earlier than the 2030 goal. However, with Microsoft and Google disclosing an increase in greenhouse gasses due to infrastructure expansion, we look at whether the prospects of hyperscalers actually hitting their renewable energy targets (and carbon reduction targets) are realistic.

Amazon Hits Target Seven Years Early 

Amazon announced that it had achieved its goal of matching all the electricity consumed by its global operations with 100 per cent renewable energy, seven years ahead of the original 2030 target. Given that Amazon’s AWS is the largest cloud provider globally, holding 31 per cent share of the global cloud infrastructure market, and is one of the key “hyperscalers”, along with Microsoft (Azure) and Google (Cloud Platform – GCP), it sounds like an amazing feat.

Amazon’s milestone towards sustainability includes all its data centres (more than 100 in 24 regions globally) corporate buildings, fulfillment centers, and physical stores.

How? 

The company attributes this hugely accelerated achievement to its significant investments in over 500 solar and wind projects across 27 countries, which have been capable of generating enough energy to power the equivalent of 21.9 million EU homes. Amazon has become the largest corporate purchaser of renewable energy for four consecutive years, investing billions of dollars in renewable energy projects globally. Such projects not only help reduce carbon emissions but also contribute to economic growth in the communities where they are developed.

What Was The Target? 

The target that Amazon claims to have hit (surprisingly) was its goal to match all electricity consumed across its operations by 2030. Amazon has also committed to The Climate Pledge, which aims to reach net-zero carbon emissions by 2040.

Nuclear War 

However, Amazon’s $650 million deal made back in March whereby AWS acquired Talen Energy’s data centre campus, right next to the 2.5-gigawatt Susquehanna nuclear power station in Pennsylvania (intended to meet the growing AI power requirements) has hit a (temporary) wall. Protests from American Electric Power (AEP) and Exelon have been lodged with the Federal Energy Regulatory Commission (FERC). These companies are essentially arguing that the interconnection service agreement (ISA) between Talen and AWS could allow the data-centre to benefit from the transmission system without paying the appropriate fees – a potential cost shift of up to $140 million per year. They argue that this would unfairly impact other ratepayers. They have also highlighted issues with grid availability.

Talen, however, argues that the consortium’s claims are false and has urged ERC to ignore the consortium’s request for a hearing.

Microsoft And Google’s GHG Emissions Up 

Although Amazon is busy claiming success in terms of renewable energy sustainability goals, reports showing an increase in GHG emissions from two other hyperscalers, Microsoft and Google are casting doubts on whether their carbon reduction commitments can be reached. For example, Microsoft’s 2024 Environmental sustainability report (May 2024) showed that its GHG emissions for 2023 were 29.1 higher than its 2020 baseline, calling into question whether it will hit its pledge to become carbon-negative by 2030. The company blamed the rise on the construction of more data-centres and the associated carbon in the building materials.

Similarly, Google’s 2024 Environmental report showed that an increase in data-centre energy consumption in 2023 led to its 2023 GHG emissions being up by 13 per cent on the previous year. Google has blamed the increased consumption on the rapid advancements on AI.

How Do Renewable Energy Project Investments Help The Hyperscalers Reduce Their Carbon Emissions And Hit Targets? 

Investments in solar and wind projects by hyperscalers like those from AWS, not only help them to become more sustainable with their energy requirements but can help also help them to achieve carbon emission reduction targets in a number of ways. These include:

– Direct emission reductions. Replacing fossil fuels with renewable energy directly cuts carbon emissions, powering operations with carbon-free sources.

– Energy efficiency. Projects include energy storage and advanced management systems, optimising use and ensuring reliable power for data centres.

– Economic and environmental benefits. Renewable energy investments can create jobs, foster technological advancements, and reduce environmental impacts from traditional energy production.

– Industry influence. The commitment of the hyperscalers to renewables can also help drive broader adoption and influences other companies to follow suit.

– Complementary technologies. Investments in battery storage, AI for energy management, and grid optimisation also enhance renewable energy integration.

Investments in renewable energy projects, such as those by AWS are, therefore, a way to focus on direct emission reductions rather than compensating for emissions through external projects (not just carbon offsetting), lowering operational carbon intensity and hopefully contributing to a sustainable future.

What About Putting Nuclear Power Stations Next To Data Centres? 

Nuclear power may be a low-carbon energy source, with significant benefits for reducing greenhouse gas emissions but it is not technically classified as ‘renewable energy’. This is because of its reliance on finite fuel resources and the environmental challenges associated with radioactive waste management. In this sense, it can’t be seen as contributing to the sustainability targets of AWS, and whether nuclear power is ‘sustainable’ is a more nuanced subject.

However, in terms of how/whether having a nuclear power station next to a data-centre can help meet the huge demand that technology such as AI is creating while also minimising carbon emissions, the facts are that nuclear power generates electricity without emitting carbon dioxide during operation. Therefore, as is the idea (currently being contested) of the Talen Energy data-centre campus project, by powering a data-centre with nuclear energy, a hyperscaler can dramatically reduce its carbon footprint compared to relying on fossil fuels as well as meeting the high and constant power demands of the data-centre.

The Challenge 

However, as identified by Amazon’s chief sustainability officer, Kara Hurst, when announcing hitting its 100 per cent renewable energy target seven years early, “We also know that this is just a moment in time, and our work to decarbonise our operations will not always be the same each year – we’ll continue to make progress, while also constantly evolving on our path to 2040”. The challenge identified here is how, with rising demand for data-centres (fuelled by a rapidly growing AI), Amazon can stay sustainable and have enough renewable energy to do so, not to mention keeping a close eye on all carbon emission targets.

Hurst has acknowledged that in order for AWS to do so, it will need to keep investing in more solar and wind projects, “while also supporting other forms of carbon-free energy, like nuclear, battery storage, and emerging technologies” to help power its operations in the right ways in the coming decades.

In the case of Google’s GHG emissions rising last year, it has also acknowledged the challenge of trying to reduce emissions while compute intensity increases, and technical infrastructure investment needs to grow to support the AI transition.

How Realistic Is The 100 Per Cent Renewable Energy Target? 

In terms of how realistic achieving 100 per cent renewable energy all the time is, the answer is that this is a challenging goal for the hyperscalers due to the inherent intermittency and variability of renewable sources like solar and wind. While Amazon has apparently successfully matched its electricity consumption with renewable energy through its significant solar and wind project investments, this achievement doesn’t necessarily mean that renewable energy is continuously supplying their power needs at every moment. Instead, they’re likely to be matching their overall energy use over time with renewable energy generation, relying on energy storage and grid integration to balance supply and demand.

The challenges become more pronounced with the rapid growth of data-centres and emerging technologies like AI, which demand constant and reliable power. Hyperscalers may need to complement renewable energy with other low-carbon sources, such as nuclear power, to ensure a stable energy supply. Nuclear power, for example, provides a steady base load of electricity (without carbon emissions), but it is not really renewable energy. Therefore, while 100 per cent renewable energy all the time is an aspirational goal, achieving it realistically will require a diversified energy mix, incorporating renewables, nuclear, and other advanced technologies to ensure both sustainability and reliability.

What Does This Mean For Your Organisation? 

Amazon’s achievement of reaching 100 per cent renewable energy seven years ahead of its target sets a high benchmark for other hyperscalers and demonstrates the potential impact of significant investments in renewable energy. Amazon’s accomplishment also shows that ambitious renewable energy goals can be attainable with substantial investment and strategic planning. However, the rapid expansion of infrastructure to meet the growing demand for AI and data services poses significant challenges. Microsoft and Google’s recent increases in greenhouse gas emissions highlight the difficulties in balancing expansion with sustainability.

Amazon’s achievement of reaching 100 per cent renewable energy seven years ahead of its target sets a high benchmark for hyperscalers and demonstrates the potential impact of significant investments in renewable energy. For hyperscalers, this accomplishment shows that ambitious renewable energy goals can be attainable with substantial investment and strategic planning. However, the rapid expansion of infrastructure to meet the growing demand for AI and data services poses significant challenges. Microsoft and Google’s recent increases in greenhouse gas emissions highlight the difficulties in balancing expansion with sustainability.

Achieving continuous 100 per cent renewable energy remains a complex challenge due to the intermittent nature of solar and wind power. For your organisation, this evolving energy landscape means it may be crucial to align with partners who are committed to sustainability and are proactively investing in innovative energy solutions.

Featured Article : Microsoft’s $10 Billion Renewable Energy Deal Fuels AI & Cloud

Posted on by Paul Stradling

Microsoft has agreed to back $10bn in renewable electricity projects by Brookfield Asset Management to help it meet clean-energy commitments and provide its data-centres with the extra energy requirements of cloud and AI.

Global Framework Agreement 

The deal, which is a five-year agreement called the “global framework agreement” (“the agreement”) is a commitment by Microsoft, working in partnership with Brookfield, to bring 10.5 gigawatts of generating capacity online. This is reported to be more than three times larger than the 3GW of power used by the world’s largest hub of data centres in Virginia and is the equivalent of enough to power 1.8 million homes!

Microsoft’s partner in the deal, Brookfield, says the signing of the global renewable energy framework agreement will “contribute to Microsoft’s goal of having 100 per cent of its electricity consumption, 100 per cent of the time, matched by zero carbon energy purchases by 2030”. 

Renewable 

The renewable energy projects to create this significant extra generating capacity will come from wind and solar farms, which are yet to be built, between 2026 and 2030, beginning in the US and Europe. There will also be the potential to increase the scope to deliver additional renewable energy capacity to the Asia-Pacific region, India, and Latin America.

Feeding Demand From Cloud and AI 

The agreement is expected to provide Microsoft with access to a pipeline of new renewable energy capacity to support the global trend of digitalisation and, crucially, the growing demand for cloud and AI services.

More Data Centres Needed 

The growth of the cloud and now, significantly, the growth of generative AI has meant there is huge demand for (and investment) in data-centres. These are both the larger self-owned data-centres in the host countries (mostly in the US) of their ‘hyperscaler’ providers, leased data-centres, and smaller data-centres being built to ensure infrastructure is nearer to customers. The main ‘hyperscalers’ (i.e. the companies that provide cloud computing, storage, and networking services at a massive scale) are Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP). Alibaba Cloud is the leading cloud provider in China and Asia.

Hyperscale Data-Centres To Double Every Four Years 

The effects of the growth in generative AI in terms of demand for more data-centres, processing power and storage capacity are illustrated in recent findings by the Synergy Research Group. Their research shows that the number of data-centre facilities run by hyperscale cloud providers has doubled in the past four years and will double again by 2028, with 120-130 hyperscale data-centres coming online each year.

Microsoft, for example, is building a new 750K SF, $9.2M hyperscale data-centre campus near Quincy, WA, to house three 250K SF server farms.

The Implications 

The implications of this surge in demand for (and building of) data-centres are many. For example, as infrastructure for cloud computing and data storage expands, it puts increasing pressure on existing power grids.

Also, as the growth in data-centres intensifies along with power-hungry technologies, and AI expands and algorithms become more complex, the energy requirements for these technologies are set to increase even further.

This will mean (and has already meant) a search by the hyperscalers for cleaner, greener alternative energy sources, hence Microsoft’s announcement of its renewable electricity projects with Brookfield. Transitioning from traditional fossil fuels to renewable sources like solar, wind, and hydroelectric power is essential, not only for reducing carbon footprints but also for aligning with global sustainability goals.

Microsoft’s main competitors are also investing in renewable energy projects to mitigate their environmental impacts. For example, back in January, Google announced it is building a $1 billion data centre north of London that will be powered by renewable energy from offshore wind. Also, after signing a PPA with ENGIE in January to increase its share in the Moray wind farm to 473 megawatts, Amazon will be making itself the largest purchaser of renewable energy worldwide this year.

Balancing data-centre expansion with Environmental, Social, and Governance (ESG) commitments is also now becoming a priority for organisations and data-centre operators need to ensure that their capacity growth does not come at the expense of the environment or step out of line with ESG commitments and upcoming regulations. Compliance with these regulations not only helps in avoiding penalties but also promotes innovation in green technology and sustainable practices in the data-centre industry.

Alternatives Will Take Time and Planning

However, although Microsoft’s renewable energy project plans (and zero carbon energy purchases) sound promising, some commentators have noted that it will take many years to develop the scale and type of alternative energy sources that are able to provide long-term power to AI. In the meantime, grids will be stretched. Also, the new energy landscape needed to deliver AI’s power requirements will take strategic planning.

What Does This Mean For Your Business? 

Microsoft’s $10 billion renewable energy deal with Brookfield Asset Management could be seen as a significant stride towards sustainable growth in digital infrastructure that aligns with the company’s goal to match its electricity consumption with zero-carbon energy purchases by 2030. This large-scale initiative not only aims to power Microsoft’s burgeoning data-centres but sees it join the other main hyperscale cloud providers in securing renewable energy sources to meet the escalating energy demands of cloud and AI technologies.

For example, hyperscalers like Microsoft, Amazon Web Services and Google Cloud are all now investing in renewable energy projects as a strategic response to the dual challenges of surging energy requirements and environmental responsibility. These investments are crucial not only for reducing the carbon footprint associated with massive data-centres but also for ensuring compliance with global ESG commitments and forthcoming environmental regulations. These initiatives also reflect a growing recognition among the hyperscalers of their role in shaping a sustainable future for technology infrastructure.

For businesses, the main implications of these investments are profound. For example, as more data-centres are built to support more advanced and energy-intensive technologies like generative AI, the reliance on traditional energy sources could lead to increased operational costs and potential regulatory penalties. The shift towards renewable energy offers a more sustainable and potentially cost-effective alternative, reducing long-term dependency on fossil fuels and mitigating the risk of energy price volatility.

Also, the adoption of green energy by leading technology providers like Microsoft could influence the entire energy landscape. As these companies set new standards for energy use, they drive advancements in renewable energy technologies and contribute to the creation of more robust and sustainable power grids. This not only benefits the hyperscalers themselves but also the businesses that rely on their services, from small startups to large enterprises.

Ultimately, Microsoft’s renewable energy commitment is a signal of a broader and necessary shift in the technology sector towards sustainability. This trend may be an opportunity for businesses of all sizes to reconsider their own energy strategies and align more closely with sustainable practices. As the infrastructure for digital services expands, the integration of renewable energy is becoming increasingly important, not just for operational efficiency and compliance, but for ensuring the long-term viability of our global digital ecosystem.

Sustainability-in-Tech : Tidal Energy ‘Kite’ That Can Power A Town

Posted on by Paul Stradling

Swedish startup Minesto has developed a subsea ‘kite’ style mini power plant that generates renewable energy from tidal streams and ocean currents.

How It Works 

The ‘wing’ technology, described by Minesto as a kind of “subsea kite” and a “powerful, lightweight, and modular power plant” which can be made with a wingspan ranging from 4.9 – 12m and weighing from 2.7 – 28 tonnes. Anchored to the seabed by a long cable tether, it sits in the sea and ‘flies’ across the main flow direction of the tidal streams and currents just like a kite flies in the air.

The wing technology uses the hydrodynamic lift force created by the underwater currents to move the kite around and its onboard control system autonomously steers the kite (using rudders and elevators) in a predetermined figure-of-eight trajectory. This has the effect of pulling kite and its turbine through the water at a flow that’s several times higher than the actual stream speed. This maximises the power it can generate and reduces the size of the kite and rotor required to collect the energy compared with a fixed turbine.

The turbine shaft inside the kite turns the generator which outputs the electricity to the grid via a power cable in the tether and a seabed umbilical to the shore.

Harnessing A Reliable And Inexhaustible Resource 

As highlighted by Minesto on its website, a balanced renewable energy mix is needed for the world to move towards a sustainable future energy system. Tidal streams and ocean currents are reliable and inexhaustible, available all over the globe, and are a rich source of energy that can be converted to a reliable and local source of renewable energy. This is why an easy to deploy and effective technology that can harness and use this endless resource (such as a simple kite system technology) could be a low cost and effective way to produce renewable (green) energy anywhere around the world (the ocean covers 71 per cent of the earth’s surface).

Predictable 

Also, unlike wind and solar, tidal streams and ocean currents are predictable, i.e. they’re caused by the gravitational forces exerted on the earth by the moon and are continuous and directional. This reduces risk and makes it easier in terms of control for the deployment of tidal power technology, such as Minesto’s wing/kite design.

Scalable 

The fact that the kites are a modular design which can be easily latched and unlatched (via the tether) to the seabed anywhere means that the system is easily scalable, simply by using hundreds of them across an area.

Real World Applications 

So far, Minesto reports that its wing subsea power generators have been delivering electricity to the Faroe Islands’ power grid since 2020 and, in 2022, Minesto commissioned the first power plant in Vetmannasund, Faroe Islands.

What Does This Mean For Your Organisation?

As Minesto rightly says, the world’s very necessary shift away from fossil fuels for power will involve developing and scaling a mix of innovative renewable energy solutions that make the most of existing natural resources such as wind, water, and sun. Also, with the UK being an island nation subject to tidal activity, in world where more roughly 71 per cent of the surface of the planet is covered by ocean, with its strong, constant, predictable tides, it does seem to be an area with the ability to supply vast amount of naturally generated energy if the right technology is deployed.

The advantages of the wing idea are that it can be easily and relatively cheaply deployed around the world, is scalable simply by multiplying the number used, can be placed far enough below the surface so as not to become a hazard or eyesore, and the technology is ready to go now. That said, these are relatively small turbines and even with many of them, there’ll still be a need for a mix of other ideas and solutions to harness the power of the waves.

These ideas will need to be part of wider mix of sustainable and renewable energy generating schemes that between them can offer enough power to seriously cut carbon emissions. Furthermore, they’ll need to supply the considerable energy needs of homes and businesses, provide power that’s affordable, have a low environmental impact, and thereby help the world to meet its climate targets as quickly as possible while still supporting the growth of the world’s economies.

As Minesto says, its wing solution ads a “step of energy conversion” that “expands the global tidal and ocean currents’ extractable potential.”