The American tech giant has now decided to invest around NOK 6.8 billion in the data centre.
Illustration. This is how Google envisions the new data center to look like. Photo: Google NorwayPublished:
Today 12:36 p.m
Updated less than 2 hours ago
Google confirms on Wednesday that it will build the data center on a plot of land in Gromstul north of the center of Skien.
This involves an investment of 600 million euros, the tech giant states in a press release. This corresponds to around NOK 6.8 billion.
NRK mentioned the matter first.
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Google bought the site back in 2019, but has not previously confirmed whether they will build there. Now, however, the final investment decision has been made.
Huge power requirement
It was previously known that Google has reported a large power requirement of 860 megawatts for the data center facility. The company writes in today’s announcement that it has been allocated 240 megawatts for the first phase.
Based on 240 megawatts, the maximum annual consumption is 2.1 terawatt hours. In reality, consumption will probably be slightly lower.
In comparison, over 150 terawatt hours of power is produced in Norway per year. Power consumption has been 130–140 terawatt hours in recent years.
The Google data center is not the only project in the Greenland area with a large power requirement. Yara needs around 4.4 terawatt hours of electricity annually for climate reduction at the ammonia plant on Herøya in Porsgrunn.
This is what the plot of land in Skien looks like today. Photo: Google Norway
Google estimates that the data center in Skien will be operational in 2026, and that it will then be operated with “99 per cent carbon-free energy as a result of the energy composition in the Norwegian electricity grid”.
Løvenskiold: – Now is when the fun begins
It was landowner Leopold Løvenskiold who in his time sold the plot to Google.
He does not want to say exactly what they got for the plot, but confirms that it was in the hundreds of millions.
– It was more profitable than forestry, he emphasizes.
Løvenskiold says it is great fun that the building is finally officially in place. He thinks the Greenland area is perhaps the most happy about this, and highlights the 4,000 jobs Google estimates will be established during the construction phase.
– Now the fun begins. Goods and services are to be ordered here, and normally other companies are added once Google or Facebook establish themselves. This is only the first of potentially several halls to be built.
Illustration. The new data center in Skien is scheduled to become operational in 2026. Photo: Google Norge
Løvenskiold himself intends to build some buildings and rent them out in connection with the Google investment. When it comes to the data center’s power needs, he points out that Google has already secured power through an agreement with the Tellenes wind farm.
– Herøya is just as dependent on Google as everyone else. So there is no choice between Google and Herøya. But of course we need to build more renewable power.
– Proud
The tech giant claims that the investment in Norway will generate value creation of NOK 6.7 billion between 2024 and 2025.
This is based on an economic ripple effect report carried out by Deloitte. It is divided into NOK 2.2 billion per year in direct economic effect, NOK 2.7 billion in indirect economic effect and NOK 1.8 billion in induced economic effect.
Marius Roheim Aarvold, mayor of Skien municipality, says they have been waiting anxiously for the decision, and that they are proud to be chosen by Google to host the initiative.
– We look forward to working together further to realize Gromstul as a new, regional industrial area for data center operations, which is a prerequisite for our digital society. The establishment will be an important contribution to our region in the form of strengthened digital infrastructure, new jobs and new expertise – and not least increased international visibility.
Tine Austvoll Jensen, Google’s Norwegian manager, calls it a proud moment.
– A data center is where the internet lives. As more people adopt more digital tools, so does the need for a secure and sustainable infrastructure to deliver the services we need, such as accessing your email or searching for information.
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