Google invests $1.5B to expand Alabama data center powered by TVA
Google is investing $1.5 billion to expand its data center in Jackson County, Alabama, which is powered by the Tennessee Valley Authority (TVA). The expansion, set for 2026-2027, includes Google covering all electricity and infrastructure costs. TVA is also considering rate changes that could raise electricity costs for data centers due to growing regional opposition over power and water usage.
Google announced a significant investment of $1.5 billion to expand its data center located in Jackson County, Alabama, a site previously home to a Tennessee Valley Authority (TVA) coal plant. This expansion, planned for 2026 and 2027, will see Google fully cover the electricity costs and associated infrastructure upgrades. The company has already invested over $2 billion in Jackson County since 2018, supporting hundreds of jobs, with over 1,000 contract workers expected during the construction phase.
The facility supports crucial Google services and digital applications. Alabama State Senate Majority Leader Steve Livingston praised Google's commitment to Jackson County, citing the company's funding for STEM education and energy affordability programs. Google has also partnered with TVA and advanced nuclear reactor developer Kairos Power to develop up to 50 megawatts of electricity to support its data centers.
TVA, which recruited Google to the site in 2018, approved the expansion in August 2024. While TVA no longer actively recruits data centers due to their high power and water demands relative to job creation, its spokesperson Scott Fiedler noted that reliable, low-cost power remains a draw. The agency is now considering rate changes to place data centers in their own rate class, potentially increasing their electricity costs, a move influenced by regional opposition to data center developments over resource use. Google, for its part, has committed to replenishing more water than its centers consume.