(Bloomberg) -- Microsoft Corp. has agreed to buy solar power generated by panels on hundreds of public housing and government-owned buildings in Singapore in a bid to inch closer to its climate goals.
The tech giant will buy 100% of the energy exported to the grid from the SolarNova 8 project owned by EDP Renewables, the Madrid-based company said Tuesday. SolarNova is the largest solar project in Singapore and EDPR was awarded phase 8 of the government-initiated program in February.
Microsoft has faced setbacks in meeting its ambitious goal to become carbon-negative by the end of the decade, reporting a 30% rise in emissions last year from 2020 levels in one of the first concrete examples of how rising investment in artificial intelligence can hinder efforts to cut pollution. The company has since ramped up efforts to reach its climate targets.
Microsoft will buy all the renewable energy exported to the grid from the SolarNova 8 project, which can produce as much as 200 megawatts but will use some of that to power the buildings, in a 20-year offtake agreement. It’s the second deal between the two companies in Singapore.
The SolarNova program will altogether generate about 420 gigawatt-hours of power a year, or about 5% of Singapore’s total energy consumption. SolarNova 8 is the largest phase.
(Updates with details on solar program in last paragraph)
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