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Brookfield Asset Management (BAM) (NYSE:BEP) said Wednesday it will develop for Microsoft (MSFT) more than 10.5 GW of new renewable energy capacity, nearly 8x larger than the largest single corporate power purchase agreement ever signed; financial terms were not disclosed.
Brookfield (BAM) (BEP) said the five-year "first of its kind global framework agreement" starting in 2026 in the U.S. and Europe will accelerate the expansion of renewable energy capacity to contribute to Microsoft's (MSFT) sustainability goals, with the potential to deliver additional renewable capacity to the U.S. and Europe, as well as Asia-Pacific, India and Latin America.
The companies did not disclose any financial terms of the agreement, but The Financial Times said the 10.5 GW of new capacity - enough to power ~1.8M homes - would cost more than $10B, based on recent industry trends.
The deal comes as surging interest in generative artificial intelligence has caused concerns about their intense energy demand and associated carbon emissions.