The deal will see Google purchase electricity from Brookfield’s portfolio of hydroelectric plants in the U.S., with the initial focus on powering Google’s growing fleet of AI data centres.

The investment is expected to help Google meet its target of operating entirely on carbon-free energy by 2030.

Michael Terrell, Google’s senior director of energy and climate, said the company is “excited to be partnering with Brookfield to scale clean energy solutions that can meet the increasingly large demands of our AI infrastructure”.

He added: “This agreement is a critical step in securing reliable, carbon-free power at the scale and speed needed to reach our ambitious sustainability goals.”

Brookfield, which oversees one of the world’s largest private renewable energy platforms, will supply electricity through existing hydroelectric assets and develop new capacity where needed.

The first stage of the agreement includes facilities in the Mid-Atlantic and Midwest regions of the U.S., with future expansions planned globally.

Brookfield Renewable CEO Connor Teskey called the agreement “a model for how companies can decarbonise at scale,” adding: “Google’s leadership in clean energy sends a strong signal to markets and policymakers that sustainable power isn’t just desirable - it’s necessary.”

The $3 billion investment will be phased over several years, depending on power demand and expansion timelines.

According to the Financial Times, Google’s AI push has significantly increased its electricity usage, prompting the tech giant to prioritise zero-carbon energy sources.

The partnership follows similar recent moves by Microsoft, Amazon, and Meta as the industry seeks to balance the environmental cost of AI innovation with aggressive climate commitments.