India’s renewable energy independent power producer, ReNew Power, has signed a memorandum of understanding (MoU) with a Madhya Pradesh-based start-up, RackBank, to power its data center.
ReNew will supply power generated from renewable sources to RackBank’s hyper-scale data center in India after a Power Purchase Agreement (PPA) is signed with the firm, according to the company’s press release.
According to the MoU, to supply this power, ReNew will construct, co-own, and operate a hybrid power generation facility. The power will be purchased through open access.
The MoU also provides for offsetting of non-renewable power consumed by RackBank’s data center through green credits purchased from ReNew, ensuring that the data center operates on a completely net-zero emissions basis.
RackBank is a carbon-neutral data center platform providing services to managed servers, colocation services, etc. The company projects that it will have 500 megawatt of IT infrastructure capacity in the next five years.
“The MoU reflects the commitment that responsible corporates are showing to shift towards cleaner energy sources to power their businesses. We look forward to our partnership for this potential 500 MW opportunity,” said Sumant Sinha, founder, chairman, and CEO, ReNew Power.
According to RackBank Datacenters’ CEO, Narendra Sen, the partnership would be able to reduce their power cost by 30 percent compared to power consumption directly from the grid.
The release said that the project would serve as a platform for data-driven companies to thrive in a 100-per cent clean energy facility with zero carbon footprints. The project will be carried out and managed by ReNew Green Solutions, ReNew Power’s business-to-business arm.