Israeli AI Infrastructure Company Enlight Renewable Energy Announces $1.1 Billion Solar Data Center Investment in Negev Desert
Israeli AI infrastructure company Enlight Renewable Energy has announced a substantial $1.1 billion investment in a pioneering data center complex in the Negev Desert, which will be uniquely powered entirely by renewable energy.
First Large-Scale 100% Solar Data Center Investment in Israel
Enlight Renewable Energy is set to develop Israel’s first large-scale data center complex powered exclusively by solar energy. This ambitious project, located in the Negev Desert, will be undertaken in collaboration with Israel’s national water company, Mekorot, and the Israeli government.
The complex will feature a 50-megawatt data center powered by a 320-megawatt solar energy facility. Notably, the surplus electricity produced will be sold to the national grid, marking a significant step towards sustainable energy solutions. The total project investment is anticipated to reach an impressive $1.1 billion.
Enlight Renewable Energy CEO Gilad Yavetz commented: “Electricity is the main cost of operating data centers, and we are one of the largest and most efficient electricity producers in the country. This gives us a competitive advantage, enabling us to offer our customers attractive prices for electricity and data center operations, while enjoying stable and long-term profitability.”
Enlight Expands Into Solar Data Center Investment Sector
Enlight Renewable Energy’s expansion into the data center sector signifies a critical shift in the company’s strategy to diversify its operations. This new data center complex, powered by solar energy, will be both built and operated by Enlight. Additionally, the company plans to sell a portion of the generated electricity to the national grid.
The project will be situated in the southern region of Israel, with a total investment projection of $1.1 billion. This marks Enlight’s inaugural venture into the data center sector, strategically aligning with the company’s broader objective to capitalize on the increasing demand for data center services.
Following the announcement, Enlight successfully raised $252 million from institutional investors, including Clal Insurance, Migdal Insurance, and the Phoenix Insurance Company. These funds will be utilized to accelerate the development of new renewable energy projects in the United States, Europe, and Israel.
Israel’s Largest Solar Data Center Investment Project
This new endeavor integrates a 50 MW data center with a 320 MW solar farm, making it one of Israel’s largest solar energy projects. The data center’s power will be fully sourced from the solar farm’s electricity, with any excess sold to the national grid. This aligns with the Israeli government’s ambitious target of generating 30% of the country’s electricity from renewable sources by 2030, a goal supported by initiatives like Enlight’s project.
Enlight Renewable Energy boasts a robust track record in the renewable energy sector, with successful development and operation of large-scale solar and wind projects across Israel and Europe. This positions the company as a leading renewable energy entity in the region.
The data center complex is projected for completion by 2026 and will rank among Israel’s largest data centers. It will connect to the national electricity grid, providing services to a diverse clientele, including government agencies, businesses, and technology companies.
The project is being advanced in collaboration with the Israeli Ministry of Energy, the Israeli Electricity Authority, and the Israel Land Authority. Additionally, the government has extended financial support and allocated land for developing the solar farm.
For further insights on Israel’s renewable energy initiatives, such as the solar storage developments at the Gaza border and the ambitious 100,000 Roofs solar initiative aiming for 30% solar energy by 2030, visit PVknowhow.com.
Enlight Renewable Energy’s investment in the data center sector marks a pivotal advancement for the company, expected to accelerate renewable energy adoption in Israel. The project also promises the creation of numerous jobs in the region, contributing to the area’s economic development.
