Microsoft Inks 15-Year Renewable Energy Deals with RWE for Texas Wind Farms

German power producer RWE has announced two 15-year power purchase agreements (PPAs) with Microsoft for renewable energy from new Texas-based onshore wind farms, totaling 446 MW in capacity.

The projects include RWE Peyton Creek II, currently under construction near the operational 243 MW Peyton Creek I wind farm in Bay City, Texas, and the 200 MW Lane City project, set to begin construction this summer.

These projects will enhance RWE’s U.S. renewables portfolio, which includes 9.3 GW of wind, solar, and battery capacity. RWE recently raised $2 billion through its inaugural U.S. green bond issuance and plans to invest €55 billion globally in renewable energy and related projects by 2030, with €20 billion earmarked for the U.S.

The agreements support Microsoft’s ambitious clean energy objectives. The company’s “100/100/0 clean energy goal” aims to match 100% of its electricity consumption, 100% of the time, with zero-carbon energy sources by 2030. Microsoft also targets using 100% renewable energy in its buildings and data centers globally by 2025 and becoming carbon negative by 2030.

These new PPAs are part of a series of clean energy initiatives by Microsoft, which recently signed a 5-year global renewable energy framework agreement with Brookfield to develop over 10.5 GW of new clean energy capacity in the U.S. and Europe. In March, Microsoft also secured 400 MW PPAs in Texas with Leeward Renewable Energy.

Andrew Flanagan, CEO of RWE Clean Energy, expressed enthusiasm about the collaboration: “As RWE, we are excited to be working with Microsoft to provide the clean electricity they need to achieve their sustainability goals. Together, we’re united in our efforts to deliver a clean energy future. As a growing green business, we are committed to driving our renewable targets, supporting local communities grow sustainably.”