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Amazon Signs Solar-Plus-Storage PPAs in Australia, Expands $14B Data Center Investment

Amazon commits AU$20 billion to renewable energy projects in Australia, becoming the largest corporate buyer of carbon-free energy by 2025.

Amazon has announced a significant investment in renewable energy across Australia, comprising a portfolio that includes one wind farm, three utility-scale solar-plus-storage sites, four distributed solar-plus-storage projects, and an additional battery energy storage installation for the Mokoan solar PV power plant. This initiative spans the regions of New South Wales and Victoria, involving developers such as OX2, X-ELIO, Anza, TagEnergy, and European Energy.

In conjunction with these projects, Amazon revealed that it was the largest corporate purchaser of carbon-free energy in Australia for the year 2025, according to data from BloombergNEF, and continues to be a leading player in this space globally. This investment is part of Amazon’s broader AU$20 billion (approximately US$14.34 billion) commitment to enhance its data centre infrastructure in Australia by 2029, an initiative announced during a meeting with Prime Minister Anthony Albanese in June 2025.

The expansion aims to bolster Australia’s capabilities in cloud computing and artificial intelligence, with the renewable energy agreements designed to provide the necessary carbon-free power to meet operational demands. Furthermore, these initiatives align with Amazon’s goal to achieve net zero carbon across its operations by 2040, part of its commitment under The Climate Pledge.

Since 2020, Amazon has invested an estimated AU$2.8 billion in renewable energy projects within Australia, culminating in the contracting of 20 projects that will contribute to its sustainability goals. Among these projects, the nine significant ventures include the Golden Plains 2 wind farm developed by TagEnergy in Victoria and several solar-plus-storage sites across New South Wales and Victoria.

In New South Wales, solar-plus-storage sites are being developed in Forest Glen by X-ELIO, Stanbridge by Anza, and Muswellbrook by OX2, while Anza is also overseeing four distributed solar-plus-storage projects at Laceby, Indigo, Barnawartha, and Mooroopna in Victoria. Additionally, European Energy is enhancing the 58MW Mokoan Solar Park with battery storage, which was previously operational and was part of Amazon’s June announcement regarding three utility-scale solar projects totaling 333MW of generation capacity.

This earlier agreement with European Energy also covered the pre-construction phases of the 150MW Winton North Solar Park in Victoria and the 125MW Bullyard Solar Park in Queensland. Jens-Peter Zink, deputy CEO of European Energy, has indicated that the company’s Australian operations are “just ramping up,” implying further expansion may be on the horizon.

Amazon’s approach is reflective of strategies employed by other major tech operators in Australia. For instance, Microsoft has entered a 15-year power purchase agreement with FRV Australia for a 300MW solar plant in New South Wales, aimed at powering its data centres in the state.

As the demand for sustainable energy sources continues to grow, Amazon’s substantial investments in renewable energy not only reinforce its commitment to environmental sustainability but also enhance its operational capabilities in one of the world’s rapidly developing markets. These initiatives position Amazon favorably in the competitive landscape of cloud computing and energy sustainability, ensuring that it can meet future operational demands while adhering to its ambitious sustainability targets.

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The AiPressa Staff team brings you comprehensive coverage of the artificial intelligence industry, including breaking news, research developments, business trends, and policy updates. Our mission is to keep you informed about the rapidly evolving world of AI technology.

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