Ormat Technologies announced it has signed a long-term geothermal portfolio power purchase agreement for up to 150 MW with NV Energy to support the Nevada data center operations of Google.
The multi-project agreement, enabled through NV Energy’s Clean Transition Tariff and subject to approval by the Public Utilities Commission of Nevada in the second half of 2026, supports the development of multiple new geothermal projects across Nevada. The projects are expected to come online between 2028 and 2030.
Under the portfolio structure, new geothermal facilities will be added as they achieve commercial operation, beginning as early as 2028. The contract term will start with the first project’s commercial operation date and extend 15 years beyond the final project’s commercial operation date, providing long-duration revenue visibility and development flexibility.
Energy delivered under the agreement is structured through NV Energy’s Clean Transition Tariff, which enables large energy users to procure clean, reliable power while fully covering the costs associated with their electric service. The model is designed to protect other ratepayers and can be replicated in other U.S. electricity markets.
Ormat said the agreement supports its long-term growth strategy beyond 2028, providing profitable revenue growth and reinforcing its expanded exploration and drilling activities in recent years. The company also pointed to the extension of geothermal tax credits under the OBBBA framework as strengthening its ability to execute its long-term plans.
Ormat, which has more than five decades of experience in geothermal and recovered energy generation, owns and operates approximately 1,695 MW of generating capacity. Its portfolio includes about 1,310 MW of geothermal and solar generation assets across the U.S., Kenya, Guatemala, Indonesia, Honduras, and Guadeloupe, along with 385 MW of U.S.-based energy storage capacity. The company has engineered, manufactured, and constructed power plants totaling approximately 3,600 MW of gross capacity worldwide.
KEY QUOTES:
“AI is fundamentally increasing electricity demand across the technology sector, and geothermal power is uniquely positioned to deliver the reliable, carbon-free power required to support that growth. This portfolio PPA provides long-term profitable revenue growth and clear visibility into our portfolio development plans, while solidifying our conviction in the expanded exploration and drilling activities we have undertaken over the past several years that laid the groundwork for securing this significant agreement and others like it. The combination of this PPA and its favorable terms, together with the extension of the geothermal tax credit provided through the OBBBA framework strengthens our ability to execute our long-term growth strategy and create substantial shareholder value. We are proud to partner with Google and NV Energy on this agreement, as Ormat’s leading capabilities in geothermal energy production will serve to strengthen Nevada’s clean-energy leadership while supporting our own growth in geothermal.”
Doron Blachar, Chief Executive Officer, Ormat Technologies
“The momentum of the Clean Transition Tariff through this agreement with NV Energy, Google and Ormat demonstrates a proven, scalable model for large customers to partner with utilities and technology providers to bring new clean capacity to the grid. By adding up to 150MW of new clean-firm geothermal capacity in Nevada, we are utilizing a repeatable framework that fully covers all costs associated with our electric service, ensuring the CTT insulates other ratepayers while strengthening the reliability of the local power system.”
Briana Kobor, Head Of Energy Market Innovation, Google
