Microsoft has signed a 95.7MW Power Purchase Agreement (PPA) with Zelestra for energy generated by two solar projects in Zaragoza, Aragon, in Spain.

The PPA is tied to Zelestra’s Escatrón II and Fuendetodos II solar projects, which are currently under construction.

Eoin Doherty, VP, EMEA regional leader, Cloud Operations + Innovation, at Microsoft, said: “As Microsoft grows its presence in Aragon, we are committed to advancing community prosperity, well-being, and sustainability. This collaboration with Zelestra and ECODES is an important part of fulfilling this commitment and ensuring that we meet our clean energy goals in a way that delivers lasting benefits to the local community.”

As part of the agreement, Microsoft will provide funding to the Aragon-based nonprofit organization ECODES. The non-profit will use the proceeds to implement direct impact programs in the region and lead grant-making activities to support community-led sustainability initiatives.

In addition, the funds will be used to expand access to sustainable infrastructure and healthy environments, advance economic inclusion, and resource capacity building for community-serving organizations that support and help local populations, according to the release.

“This progressive collaboration with ECODES and Microsoft aligns perfectly with our commitment to deliver meaningful, positive impact in the communities where we operate. We will be present in Aragón for the long-term, managing our projects to support Microsoft’s clean energy needs, and we are certain that the benefits of this initiative will also have a lasting positive impact on communities nearby,” said Scarlett Alvarez Uzcategui, Zelestra’s chief stakeholder and sustainability officer.

The PPA is expected to support Microsoft in powering its cloud region in Aragon, announced back in October 2023. In June, it was reported that Microsoft was planning to invest €6.69 billion ($7.16bn) in developing new data centers in the northeastern region of Aragon, with the investment expected to span ten years.

Also, last year, Microsoft signed six 12-year virtual power purchase agreements (VPPAs) with Repsol in Spain. The PPAs are tied to three wind and three solar farms with a total installed capacity of 230MW, expected to reach operational status at the end of the year.

Formally known as Solar Pack, Zelestra is an international renewable developer with more than 32GW of projects across the US, Germany, Spain, Italy, Latam, and India. Of that 6.8GW is operational and contracted to customers.

In addition to its deal with Microsoft, in January the company also signed four Environmental Attribute Purchase Agreements with Meta, which are expected to facilitate the construction of four solar projects in Texas with a combined capacity of 595MWac.