US-based electric power distribution company AES Corporation has signed two power purchase agreements (PPAs) with Amazon to supply 450MW of clean energy to power its data centre operations in California.

AES Corporation will deliver clean energy to California Independent System Operator (CAISO) market from a combined 450MW of solar and 225MW, four-hour duration battery energy storage from its portfolio of projects.

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The company has also contracted with Fluence to supply energy storage solutions for one of the projects.

AES president and CEO Andrés Gluski said: “AES is proud to support Amazon’s bold actions to power its business operations, including its AWS data centres, with 100% renewable energy.

“Together with Amazon, we’re showing how customised energy solutions and innovative thinking can help organizations of all kinds to decarbonise their operations and the grid.”

Amazon is the largest corporate buyer of renewable energy. The PPA will help the company to power all its global operations with 100% renewable energy by 2025 and achieve its net-zero carbon target by 2040.

Last year, AES signed approximately 5GW of new PPAs worldwide.

Earlier this month, AES announced a 20-year agreement with Microsoft to supply green energy to its data centres in California.

AES said that it will supply clean energy by sourcing from a portfolio of 110MWAC solar and 55MW, four-hour storage projects in the CAISO region.

The new agreement has further expanded the renewable energy arrangements between the companies and will support Microsoft in its pursuit of its 100/100/0 by 2030 goal.