The renewable energy sector in the U.S. is experiencing explosive growth, fueled by a surge of investments from major technology companies. Among the most prominent are tech giants like Amazon, Apple, Google, Meta, and Microsoft, who are racing ahead to power their massive data centers with clean energy.
Through power-purchase agreements (PPAs) and direct ownership, the five mega-tech companies have amassed over 14 Gigawatts of solar capacity, emerging as the dominant industry investors in solar energy. Driven by the rapidly expanding energy needs of cloud computing and AI infrastructure, they are generating significant demand for solar power.
Source: SEIA
Top Renewable Energy Investors
NextEra Energy Resources:
Consistently ranks as the largest renewable energy investor, through an extensive portfolio of assets that is benefiting from the increased electricity demand that data centers require to support cloud computing and AI. Combined renewable + storage portfolio is expected to grow from 38 GW (Q3 2024) to 81 GW by 2027.
Berkshire Hathaway:
As one of the largest owners of utilities in the U.S., Berkshire Hathaway is heavily invested in renewable energy through its Berkshire Hathaway Energy subsidiary (BHE), which owns 15 GW of clean power capacity.
Amazon:
Amazon has been the world's largest purchaser of renewable energy for four consecutive years and is rapidly expanding its global renewable energy portfolio to power data centers and achieve bold sustainability goals. With over 500 wind & solar projects worldwide, Amazon is on pace to generate more than 77,000 GWh of clean energy annually and is committed to powering 100% of its operations with renewable energy by 2025.
Asset Managers:
Asset Managers including Brookfield, with 9 GW of renewable capacity (as of Q3 2023), and Blackrock, through a combination of new funds (including a $30 Billion fund launched with Microsoft to support AI Infrastructure, data warehouses and energy solutions) and acquisitions (including the $12.5 Billion deal for Global Infrastructure Partners), are also significant investors in renewable energy, recognizing the long-term value and climate benefits.
Private Equity Firms:
Private equity firms are increasingly drawn to the renewable energy sector. Blackstone (expected to invest $100 Billion in the energy transition and climate solutions over next decade), Apollo (aiming to deploy $50 Billion in clean energy and climate investments by 2027), and KKR (now the 10th largest owner of solar assets in US) are among the major players, with hundreds of billions of dollars earmarked for clean energy investments.
The Future of Renewable Energy Investment
The AI revolution is accelerating the buildout of renewable energy solutions (according to NextEra, AI's electricity requirements are expected to triple by 2032) and growing interest from diverse investors signals a bright future for renewable energy in the U.S.
As technology continues to advance and policies support clean energy initiatives, expect additional investment and innovation across this sector. As an example of this, the 10 largest developers of solar projects are expected to add a combined 77 GW of solar capacity between 2024 and 2028.
Ten Largest Owners of Planned Solar Installations in US between 2024 to 2028
Source: S&P Global