TotalEnergies has concluded a partnership with the data center operator Data4 to supply renewable electricity to its facilities in Spain. This ten-year agreement, starting in January 2026, will cover a total volume of 610 gigawatt-hours (GWh). The electricity will come from wind and solar parks in Spain currently under development, with a total installed capacity of 30 megawatts (MW).
A contract focused on supply stability
This partnership is structured around a “Clean Firm Power” offer, meaning a renewable electricity supply adjusted to the customer’s specific needs over the contract duration. This approach aims to meet the consistent, predictable demands of data centers. The contract covers all of Data4’s Spanish sites, which plans to strengthen its infrastructure in Spain with an investment of nearly €2 billion by 2030.
Madrid, a strategic hub for data centers
François Sterin, Chief Operating Officer of Data4, emphasized that the energy demand for data centers in Spain could triple by 2030. Madrid, in particular, is at the heart of this growth, with two key sites under development in the region, including one in San Agustín del Guadalix. This expansion responds to the increasing demand linked to the growth of digital technologies and artificial intelligence.
At the national level, industry experts point to the urgent need to adapt the electrical grid to keep pace with this increasing demand, which is being fueled by the rapid expansion of digital infrastructure. The Spain DC association has called for swift measures to integrate these new loads.
The central role of PPAs in the Spanish market
The agreement between TotalEnergies and Data4 is based on a Power Purchase Agreement (PPA), a long-term electricity purchase contract. This type of contract has become essential for large electricity consumers, particularly in the data center sector. Spain has become one of the most dynamic markets for PPAs in Europe, with significant volumes recorded in 2024, according to Pexapark data.
PPAs allow buyers to secure stable electricity prices and ensure long-term supply while enabling the producer to finance new renewable energy capacity. This trend is growing due to the increasing occurrence of negative pricing periods in certain European regions, prompting a revision of contract structures to better manage associated risks.
TotalEnergies: a key player in Spain’s renewable energy market
TotalEnergies is strengthening its portfolio of assets in Spain, where the company recently inaugurated its largest solar plant in Europe, located in Guillena near Seville, with a capacity of 263 MW. This plant is part of a broader strategy aimed at increasing the company’s renewable energy production capacity globally. By 2025, TotalEnergies announced a portfolio of over 100 gigawatts (GW) of projects in production, construction, or development, supporting its position as a leader in the energy transition.
PPAs signed with companies in industrial and technological sectors such as digital and chemical industries are part of TotalEnergies’ strategy to diversify its client base while meeting the growing demand for low-carbon energy supplies.
A critical infrastructure challenge for Spain’s energy system
The success of the TotalEnergies–Data4 agreement will depend on the timely commissioning of the planned wind and solar parks, as well as the adaptation of Spain’s electrical grid to accommodate new consumption loads. Managing this dual challenge is becoming a central issue in the country’s energy planning, as investments in transmission infrastructure are increasingly required to meet the demands of the digital sector.
