The Federal Energy Regulatory Commission granted Google Energy, LLC permission to become a power marketer, allowing the company to purchase and resell electricity in wholesale markets. Google will have the authority to sell energy, capacity and ancillary services at market-based rates in the NYISO, PJM, ISONE, CAISO, and MISO markets. Google representative Niki Fenwick explained, “Right now, we can’t buy affordable, utility-scale, renewable energy in our markets. We want to buy the highest quality, most affordable renewable energy wherever we can and use the green credits.”
In reviewing Google’s application for power marketing status, FERC confirmed that Google does not own any electricity generators to sell power in wholesale markets nor do they own any transmission facilities, intrastate natural gas pipelines, or sources of coal supplies and coal transportation systems. Any electric generation capacity that Google controls is strictly for the purpose of running on-site facilities and providing back-up power in the event of an emergency. Because of this decision, the company will be better able to achieve its goals of managing the risks of energy price volatility within its large portfolio, and Google will have better access to renewable energy credits and carbon offsets for its large data centers. Other large companies with similar authority include Wal-Mart, Alcoa, the Safeway grocery store chain, Kimberly-Clark, and Merk & Co.
