Google is looking to expand its environmental credentials with the use of more renewable energy sources.
The move follows a similar announcement made earlier this week by Hewlett-Packard, which is expanding its use of solar and wind power.
Google has announced a new strategic initiative to develop electricity from renewable energy sources that will be cheaper than electricity produced from coal.
In 2008, Google expects to spend tens of millions of pounds on research and development and related investments in renewable energy. As part of its capital planning process, the company also anticipates investing hundreds of millions of pounds in breakthrough renewable energy projects that can generate positive returns.
"We have gained expertise in designing and building large-scale, energy-intensive facilities by building efficient datacentres," said Larry Page, Google co-founder and president of products. "We want to apply the same creativity and innovation to the challenge of generating renewable electricity at globally significant scale, and produce it cheaper than from coal."
Page said the firm wanted to ultimately generate one gigawatt of renewable energy capacity, which is the equivalent of powering a city the size of San Francisco.