AEP to Build $4 Billion Fuel Cell Project to Supply Low-Carbon Power to Google

Ohio-based electric utility American Electric Power (AEP) announced a $4 billion investment to develop a 702 MW fuel cell power generation facility near Cheyenne, Wyoming, under a 20-year power purchase agreement (PPA) with Google, aimed at supporting the technology company’s growing energy needs in the region.

Under the agreement, Google will purchase electricity from fuel cell power generation company Cheyenne Fuel Cell, which is approximately 92% owned and controlled by AEP.

The companies said that they plan to start construction of the new facility in 2026, which the project scheduled to be fully operational by the end of 2028.

The new facility will use fuel cell technology developed by Bloom Energy, designed to provide reliable, on-demand electricity to large-scale customers. According to AEP, the technology generates electricity without combustion of natural gas, and the project includes plans to integrate carbon capture technology to enable near-zero-emissions power generation.

The announcement follows agreements reached between Google and South Dakota-based electric and natural gas utility Black Hills to provide electricity to Google’s planned data center in Cheyenne.

AEP President and CEO Bill Fehrman said:

“As power demand continues to grow, AEP is bringing together new technologies and strong partnerships to deliver reliable, innovative energy solutions quickly and at scale. This project demonstrates how we are creating new opportunities to meet evolving energy needs for customers both within and beyond our traditional service territory.”