Recurrent Energy has started commercial operations at its 150MW Carwarp Energy park in Victoria, Australia, backed by a power purchase agreement (PPA) with tech giant Microsoft.
The project is connected to the National Electricity Market (NEM) through the 220kV Victorian transmission network.
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The project uses tunnel oxide passivated contact (TOPCon) modules delivered by Recurrent’s parent company, Canadian Solar.
While Microsoft did not specify how the power acquired from the project would be used, a number of other tech hyperscalers have used renewable energy PPAs to meet the electricity demand of new data centre projects; figures from the International Energy Agency (IEA) published earlier this year forecast the electricity demand of data centres to more than double between 2020-2025 and 2025-2030.
This is particularly significant in Australia, where federal legislation will obligate data centre operators to be net generators of renewable energy. While Queensland and the Northern Territory have opposed the new rules, the broader aims of the legislation are to encourage hyperscalers to invest in renewable energy generation alongside new data centre deployments.
Microsoft has already advanced a number of data centres in Victoria, including the Woods Road and Cawley Road projects, and opened the state’s first ‘datacentre academy’ at Victoria University’s Footscray Nicholson Campus in March.
“As demand for clean electricity grows, including from digital technologies and infrastructure, collaborations like this help strengthen Australia’s energy system and position the country to lead in a more sustainable and innovative future,” said Liz Fitch, head of corporate, external and legal affairs for Microsoft Australia and New Zeland.
Recurrent Energy also noted that it has already secured planning and grid approvals to add a 120MW battery energy storage system (BESS) to the project.
This year has already seen a number of project developments in the Victorian solar-plus-storage sector, with OX2 and Gamuda Renewables both acquiring stakes in projects that are currently under development, and expect to begin commercial operations in 2028 and 2030, respectively.
