EDP and MERLIN Edged join forces to promote clean energy in a data centre in Portugal
EDP, a global leader in the renewable energy sector, and MERLIN Properties ("MERLIN"), the leading real estate and infrastructure company in the Iberian Peninsula, specialising in the development, acquisition and management of commercial real estate assets and data centres (through MERLIN Edged), have signed an alliance to supply clean energy to Portugal’s first carbon-neutral data centre campus, which MERLIN Edged is already developing in the municipality of Vila Franca de Xira, around 20 kilometres from Lisbon.
This collaboration seeks to respond to the growing demand for renewable energy solutions to power technological infrastructures. EDP plans to implement the largest decentralised solar energy project at a single site in its history, with solar plants that could reach up to 100 MWp of installed capacity to supply energy to these data centres.
Both companies aim for this initiative to represent a significant step towards consolidating the Iberian Peninsula as a leading digital and technological hub in Europe. This alliance reinforces both companies’ commitment to the transition to sustainable solutions. According to the International Energy Agency, electricity demand from data centres is expected to more than double over the next five years.
The decentralised solar energy project that EDP plans to develop will be complemented by other long-term energy supply solutions, ensuring MERLIN Edged has access to renewable electricity 24 hours a day, 7 days a week. As a result, the campus will operate on its own energy, delivering numerous additional benefits: improved energy efficiency, lower operating costs, greater energy independence, and a significant contribution to reducing carbon emissions in the region. This approach enables companies to optimise their energy supply and reduce costs, while supporting national sustainability goals.
The data centre and renewable energy projects are being developed in parallel. Thanks to the close collaboration between the two companies, the capacity and benefits of the solar installation will be maximised, ensuring a clean energy supply from the campus' first day of operation.
"The rapid expansion of Artificial Intelligence is driving the global increase in data center development, unlocking significant economic and employment opportunities. These large-scale infrastructures require a robust, reliable and affordable energy supply, further accelerating the demand for renewable energy projects. The Iberian Peninsula is especially well placed to lead this growth, thanks to its strong capacities, abundant renewable resources and competitive energy prices. MERLIN Edged's new data centers will be powered by a renewable, efficient and reliable energy source, an area in which EDP is fully prepared. This is another example of EDP's commitment to being a key partner in the journey towards the decarbonisation of large companies, "says Miguel Stilwell d'Andrade, CEO of EDP.
"We are facing a clearly growing market, driven by rapid technological evolution and high digital consumption. This has significantly increased the demand for data centers, in a context of supply shortages that require agile and responsible development. The challenge is to do so sustainably and efficiently, in a sector that has traditionally been intensive in its use of energy and water. As proof of our commitment, our data centres have zero net water consumption for cooling and use 67% less energy for these systems compared to the European average. We are proud to announce this partnership with EDP, which guarantees a sustainable energy supply and contributes to positioning Portugal as a leading market in the field of data centers, "said Ismael Clemente, CEO of MERLIN.