Microsoft and EDP Renewables' Solar Energy Partnership

Long-term Virtual Power Purchase Agreements for Solar Projects in Illinois and Texas

Overview:

Microsoft entered into long-term Virtual Power Purchase Agreements (VPPAs) with EDP Renewables North America (EDPR NA) to secure 389 megawatts (MW) of electricity and Renewable Energy Credits (RECs) from three newly operational solar projects in Illinois and Texas.

The transaction involves multiple stakeholders, with Microsoft’s renewable energy procurement led by Kourtney Nelson, Senior Director of Renewable Energy Procurement, and Melanie Nakagawa, Chief Sustainability Officer.

On the producer side, EDP Renewables North America, a subsidiary of the Portuguese energy giant EDP, spearheaded the development of the projects. EDPR NA’s leadership team, including Gabriel Yamal, Executive Vice President, and João S. Barreto, Chief Executive Officer of EDPR NA Distributed Generation, played key roles in bringing the assets online.

The agreement encompasses three solar facilities: Wolf Run Solar (140 MW) near Jacksonville, Illinois; Hickory Solar (110 MW) near Jerseyville, Illinois; and Cattlemen II Solar (150 MW) near Austin, Texas. Wolf Run and Hickory commenced operations in November 2024, while Cattlemen II was commissioned in December 2024.

The Hickory project, in particular, is structured under an Environmental Justice PPA, a model developed by Microsoft in partnership with Volt Energy Utility, designed to direct funds toward equitable access to clean energy, air, and water resources.

While financial terms of the agreement have not been disclosed, the projects are expected to generate substantial economic benefits, including $4.8 million in revenue for landowners leasing their properties for Wolf Run and Hickory, along with millions in tax payments to local governments supporting schools, infrastructure, and public services.

The construction phase of the projects created approximately 500 temporary jobs in Illinois and 300 in Texas, with a number of permanent positions to be maintained post-commissioning.

With this latest addition, Microsoft and EDPR NA have now collaborated on five operational renewable energy projects in the United States. The deal reinforces Microsoft’s position as one of the largest corporate buyers of renewable energy, while further cementing EDPR NA’s role as a leading supplier of clean power in North America.