Google has signed a 10-year power purchase agreement (PPA) for its Singapore data centers with a company that turns waste wood into energy.

It has inked the PPA with PacificLight Energy (PLE) and Rexus Bioenergy (Rexus). The deal will see PacificLight offtake renewable energy generated from Rexus's waste wood-to-energy (WWtE) biomass plant and supply it to Google.

This clean energy will support Google's data center and operations in Singapore as the company aims to reach its goal of operating on 24/7 carbon-free energy by 2030.

Rexus says its 13.2MW WWtE plant in Singapore will be the first of its kind, It takes waste wood which is otherwise non-recyclable, such as horticultural waste and timber from the logistics industry such as used palettes, and burns it to use as fuel for the power plant. It sits alongside an electrical wood processing system and a high-volumetric vertical silo where biomass is stored and handled by a Smart 3D visualization handling system.

The plant is expected to begin commercial operations in 2026 and will operate on a 24/7 basis. It will also be paired with a pilot-scale carbon capture system where the captured CO2 will be channeled towards “downstream utilizations,” the companies said.

Giorgio Fortunato, head of clean energy and power for Asia Pacific at Google, said the project “demonstrates how technology and innovation are key to progress towards our clean energy targets, especially in a market with limited clean energy resources like Singapore.”

Fortunato added: “This biomass power plant will provide firm, clean, dispatchable power, supporting our goal to source 24/7 carbon-free energy in every grid where we operate."

Google operates three data centers in Singapore, and recently expanded its footprint there, taking its investment in the city-state to $5 billion.

"We are delighted to further strengthen our established relationship with Google by entering into a 10-year renewable energy supply contract to support Google's operations in Singapore. Our investment in Sobono Bioenergy is driven by our commitment to support renewable energy initiatives and become a low carbon energy company," said Yu Tat Ming, CEO of PacificLight.

“The integration of sustainable biomass into the Singapore energy mix will provide a reliable and sustainable energy solution to Google and will also set a new standard for the Singapore industry."

Singapore has been operating under a moratorium on new data centers since 2019 amid concerns over power availability and space. However, earlier this year it unveiled a roadmap that it hopes will unlock an additional 300MW of capacity.

Oh Wee Khoon, chairman of Rexus, said its WWtE Plant “pushes the boundary of process innovation and circularity concepts building upon our past endeavors.”

He said: “We are also excited to contribute to Singapore's local food and biofuel innovations through demonstrative carbon capture initiatives, such as microalgae production and growing tomatoes in CO2-enriched greenhouses."