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Naver CEO Choi Soo-yeon and Gurin Energy CEO Assaad Razzouk pose for a commemorative photo following a signing ceremony for joint renewable energy investment and a power purchase agreement (PPA) for AI data centers. / Photo courtesy of Naver

Naver is making direct investments in a solar power generation project to address the growing power demand of its AI and cloud data centers. The company plans to acquire an equity stake in a 216-megawatt solar project and enter into a long-term power purchase agreement (PPA) to reliably procure renewable energy for its facilities.

On the 16th, Naver announced that it signed a memorandum of understanding (MOU) with Asian renewable energy developer Gurin Energy to secure renewable power for its data centers. The two companies plan to finalize details, including investment scale and PPA terms, aiming to execute a definitive agreement by the end of this year.

The "Jindo Green Solar" project, in which Naver is pursuing an investment, is a solar development being undertaken by Gurin Energy in Jindo, South Jeolla Province. The project secured an electricity business license for a total capacity of 216 megawatts earlier this year, with Gurin Energy overseeing its development and operational management.

Naver plans to acquire a partial equity stake in the project while purchasing the renewable energy generated there over a long-term horizon. The secured electricity will power its AI and cloud infrastructure, including the "GAK Sejong" and "GAK Chuncheon" data centers.

The company has also been expanding renewable energy procurement by combining power plant equity investments with PPAs. In April, Naver invested in an equity stake and signed a PPA with a GS Wind Power plant. That marked the first instance in South Korea of a domestic RE100 signatory directly investing in a renewable energy power generation entity. By expanding its investment scope to include this solar project, Naver is actively diversifying its renewable energy procurement channels for data centers.

Chae Seon-ju, head of Naver's strategic business division, said, "As power consumption in data centers surges with the proliferation of AI and cloud services, securing a stable supply of renewable energy is an indispensable task for sustainable infrastructure operations." She added, "Through long-term PPAs and strategic investments, we will reinforce the foundation for transitioning our data centers toward renewable energy."

                                                                                                            Lee Seo-yeon