Amazon’s renewable energy projects have generated an estimated $323M in local economic investment
FOUNTAIN COUNTY – This week, Amazon announced its fifth renewable energy project in Indiana, which is a 200 megawatt (MW) solar farm based in Fountain County. The company now has a total of five wind and solar projects across the state, with a total capacity of more than 600 MW of clean energy.
The solar and wind projects will help power Amazon’s local operations, including Amazon Web Services (AWS) data centers and Amazon fulfillment centers, sortation centers, and delivery stations, while also providing new sources of clean power to local communities where the projects are located.
“At Amazon, we’re constantly seeking innovative ways to bring more solar and wind projects online, both to power our operations, and to bring new sources of clean energy to the communities where our customers live and work,” said Nat Sahlstrom, head of energy, water and sustainability for Amazon Web Services (AWS). “These projects are also helping create jobs, support local businesses, and boost the local tax base, which are all part of Amazon’s broader commitment to become a more sustainable company.”
Amazon’s renewable energy projects are supporting the local economy
Amazon’s solar and wind projects are also helping benefit the local economy in Indiana. Economic data from Amazon shows the company’s investments in utility-scale renewable energy projects generated an estimated $323 million in local economic investment, and contributed $217 million in total gross domestic product (GDP) from 2014 through 2022.1 The projects also supported an estimated 190 full-time equivalent jobs in the state in 2022 alone.
One way Amazon is helping generate economic activity around its solar and wind projects is using long-term contracts known as Power Purchase Agreements (PPAs). Through these financial agreements, Amazon makes commitments to buy the electricity produced by the future renewable energy projects, which allow wind and solar farm developers to raise funds, purchase equipment, and construct the projects without direct costs to local energy users.
These PPAs also generate economic activity in the communities where the projects are located, resulting in workers being hired to help manage the projects, and increasing business at nearby hotels, restaurants, and retail stores.
Amazon is on a path to power its operations with 100% renewable energy by 2025, five years ahead of its original 2030 commitment. The company now has a total of 479 wind and solar projects globally, and once operational, they are expected to generate more than 71,000 gigawatt-hours (GWh) of clean energy each year, or enough to power 6.7 million U.S. homes. As of the end of 2022, 90% of the electricity Amazon used to power its operations was from renewable energy resources.
This data was identified through a new economic model developed by Amazon that follows guidance from the National Renewable Energy Laboratory (NREL) and was validated by the global independent economic advisory firm Oxford Economics. The model applies to Amazon’s utility-scale renewable energy projects that began construction or became operational between 2014-2022, or are expected to become operational in 2023, resulting from Amazon’s investments in PPAs. Read the full methodology.
Amazon’s broader operations in Indiana include 14 fulfillment and sortation centers, 10 delivery stations, five Whole Foods Market locations, and one Prime Now fulfillment center.
Learn more about Amazon’s renewable energy projects.
