Start Campus and EDP have signed a memorandum of understanding that positions renewable energy at the core of Portugal’s next wave of hyperscale development. The agreement aligns long-term power strategy with digital infrastructure build-out at a time when electricity demand from AI and cloud workloads continues to accelerate across Europe.
At the center sits the Sines Data Campus, a 1.2 GW development on Portugal’s Atlantic coast. Start Campus, backed by Davidson Kempner Capital Management, previously pegged the combined investment for the project at roughly $9.96 billion. The site ranks among Europe’s largest data ecosystems and aims to serve high-density cloud, AI, and high-performance computing deployments at scale.
Under the agreement, EDP becomes the preferred long-term partner for green energy solutions for Start Campus. Both companies plan to evaluate technical, commercial, and strategic pathways to bring new renewable generation online in tandem with projected load growth. In effect, they are attempting to synchronize electrons with exabytes.
Accelerating Sustainable Digital Infrastructure Expansion
The partnership elevates renewable development from procurement tactic to structural design principle. As large-scale computing clusters expand, grid constraints increasingly shape where capacity can land. By coupling new IT load with additional renewable projects, Start Campus and EDP seek to de-risk expansion while strengthening system resilience.
Ana Quelhas, Head of Hydrogen and Data Centres at EDP, comments: “Electricity demand from data centres is rising rapidly in Europe alone, we expect around 70 TWh of additional consumption by 2030.
“EDP is ready to support the development of digital infrastructure that can scale reliably and sustainably, leveraging on our strong capabilities in renewable electricity and energy management.”
Her remarks underscore a broader market shift. Legacy hubs such as Dublin, Frankfurt, and London increasingly face grid bottlenecks and planning friction. Consequently, developers now pursue locations where generation and digital infrastructure can expand in lockstep.
Sines enters that conversation with secured grid access and a master plan designed for 1.2 GW of IT power at full build-out. Start Campus states that the campus will operate on 100% renewable energy. The company is engineering the site for a power usage effectiveness of 1.1, supported by seawater-based cooling that targets a water usage effectiveness of zero.
Robert Dunn, CEO of Start Campus, suggests that the new partnership is about aligning that digital ambition with the realities of the power system.
“This partnership framework reflects a shared conviction that digital infrastructure and renewable energy must be developed together, at scale and with long-term system resilience in mind,” says Robert.
Strengthening Grid Resilience Partnerships
The agreement extends beyond supply contracts. It creates forward demand visibility for EDP while giving Start Campus a strategic energy counterparty capable of developing additional capacity as needed.
Miguel Stilwell d’Andrade, CEO of EDP, addressed the partnership during an analyst call tied to 2025 results.
“This opens up the possibility of creating additional value from our existing assets and operations, while giving us greater visibility into future demand volumes, which could support the development of a renewable energy project,” says Miguel.
“By aligning Start Campus’ platform vision with EDP’s energy leadership and global experience supporting hyperscale digital infrastructure, we are laying the foundations for an integrated approach to digital growth, starting in Sines and extending across the country – that supports customers, strengthens the energy system and delivers sustainable economic value”.
Financial backing from Davidson Kempner reinforces the long-horizon thesis. The firm manages more than $37 billion in assets and frames the collaboration as part of a broader commitment to resilient digital platforms.
“Davidson Kempner is pleased to support this strategic alignment as part of our long-term commitment to building resilient digital infrastructure platforms,” says Daniel Boehm, Partner and Co-Head of the European Corporates Team at Davidson Kempner.
“The framework between Start Campus and EDP reflects the type of forward-looking collaboration required to enable scalable, energy-aligned digital infrastructure, underpinned by sustainability and long-term investment discipline.”
Long-Term Capital Signals Confidence in Energy-Compute Integration
Portugal’s grid context strengthens the case. According to transmission system operator REN, renewables supplied roughly 68% of national electricity consumption in 2025. Start Campus and EDP state that their collaboration will help ensure long-term price stability and reduce reliance on international imports.
Specifics around new generation assets or grid reinforcements remain undisclosed. However, the MoU clearly establishes a structural template: develop compute capacity and renewable supply as a single, coordinated system. For Europe’s next generation of AI infrastructure, that integrated model may shift from differentiator to prerequisite.
