Google Invests €13 Billion in Finland Datacenters, Taps Nuclear Power

The cloud and search services giant said it is deepening its long-term commitment to Finland and Europe through additional datacenters and investments in low-carbon electricity generation, onshore wind, and battery storage. Google already operates a massive campus at Hamina on Finland's south coast, which houses seven separate data halls, and intends to expand those facilities while constructing new datacenters near Kajaani, Muhos, and Vaala further north.

The company said it chose the sites after consulting Business Finland and grid operator Fingrid, focusing on locations with existing grid infrastructure and access to carbon-free electricity. Finland's electricity generation is described as almost 96 percent carbon-neutral, and one of the country's two operating nuclear plants is located at Loviisa, just along the coast from Hamina.

A key component of the investment is a 22-year power purchase agreement (PPA) with Fortum to support the extension and upgrade of the Loviisa nuclear plant. Fortum said the plant could not continue operating beyond 2030 without this investment. The agreement will give Google access to as much as 50 percent of the plant's generating capacity beginning at a lower level in 2028 and reaching 50 percent from 2030 through 2049, Google confirmed to The Register. The plant currently provides about 10 percent of Finland's electricity.

Google has also secured additional onshore wind PPAs with green energy firms Valorem and Suomen Hyötytuuli, bringing the new-to-the-grid onshore wind capacity it has contracted in Finland to 629 MW. In addition, it has contracted for a 94 MW battery system near its Kajaani site, expected to connect to the grid in late 2027, intended to balance supply and reduce price volatility during cold, windless periods.

“This investment underscores Google's commitment to grow our presence responsibly, pairing the expansion of our technical infrastructure with new energy capacity, grid enhancements, and energy affordability initiatives,” said Ruth Porat, president and chief investment officer of Alphabet and Google.

Google did not specify how many facilities it is building or how much extra infrastructure capacity the projects will add to its global network.

Why This Matters

Energy for AI and cloud growth: Google's massive investment underscores the soaring energy demands of AI and cloud computing, and its willingness to secure long-term, carbon-free power through direct industrial partnerships.
Nuclear's role in tech: The Fortum deal marks one of the most significant direct corporate nuclear PPAs to date, potentially setting a precedent for other tech giants seeking reliable, low-carbon electricity.
Finnish economic impact: €13 billion over two years is a major boost for Finland's digital economy and energy infrastructure, with new datacenter construction and grid upgrades creating jobs and revenue.

Background

Google is one of the world's largest corporate buyers of renewable energy and has long pursued a goal of running its operations on carbon-free energy around the clock. Its existing Hamina datacenter campus in Finland has been operational for over a decade. Finland offers an attractive combination of cool climate (reducing cooling costs), abundant carbon-free electricity (nearly 96% of generation is carbon-neutral), and stable grid infrastructure. The Loviisa nuclear plant has been a key part of Finland's baseload power since the 1970s, but its continued operation beyond 2030 was uncertain without major investment in upgrades and life extension.

Key Perspectives

Google: Seeks to pair datacenter expansion with new energy capacity and grid enhancements, viewing the investment as a responsible growth strategy that supports energy affordability. The long-term PPAs provide price certainty and access to the carbon-free electricity needed for its operations. Fortum: Gains revenue certainty from the Google PPA, enabling the company to invest in extending Loviisa's operational life through 2050, securing a major source of baseload power for Finland and supporting national energy security. Critics/Skeptics: Some environmental groups may question whether new datacenter growth is compatible with climate goals, even if powered by nuclear and wind, given the overall increase in energy consumption. Others may note that the PPA gives Google significant influence over a national asset and that the battery system, while helpful, only partially addresses intermittency.

What to Watch

Regulatory approvals: The Fortum Loviisa extension requires nuclear safety authority sign-offs; any delays could affect the timeline for Google's access to the plant's capacity.
Battery system connection: Whether the 94 MW Kajaani battery connects to the grid by late 2027 as planned, and whether similar battery projects follow at other datacenter sites.
Other tech-nuclear deals: This agreement could spur similar PPAs between hyperscalers and nuclear operators in other markets, such as the US or Japan.

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