Three Mile Island, the site of the worst nuclear disaster in the United States, is reopening and will sell electricity exclusively to Microsoft as the company looks for energy sources to fuel its AI ambitions.
Constellation Energy announced Friday that its Unit 1 reactor, which shut down five years ago, is expected to restart in 2028, pending approval from the Nuclear Regulatory Commission. Microsoft will buy the carbon-free energy it generates to power its data centers to support artificial intelligence.
Financial terms of the 20-year deal, which the Stars described as its largest ever, were not disclosed.
Powering industries critical to our nation’s global economic and technological competitiveness, including data centers, requires an abundance of energy that is carbon-free and reliable every hour of every day, and nuclear plant power. are the only sources that can consistently deliver on this promise,” Constellation CEO Joe Dominguez said in a press release.
Clean energy advocates and businesses alike are looking to nuclear power as a zero-carbon power source as a reliable baseload source. A big pro is that unlike wind and solar power, nuclear is viable at all times of the day and night.
However, Johari has drawn criticism from environmental groups for decades for its waste. The U.S. still has no permanent repository for this waste, instead storing it in more than 70 operating and shuttered plants across the country.
According to Constellation, the reopening of the Unit 1 reactor will add 3,400 direct and indirect jobs and add more than 800 megawatts of electricity to the grid. It is also expected to add $16 billion to the GDP of Pennsylvania, where the plant is located.
Shares of Bridge ( CEG ) rose more than 16 percent in afternoon trade.
Three Mile Island, located near Harrisburg, is known for being the worst commercial nuclear power plant accident in US history when it experienced a partial meltdown of one of its two reactors. The Unit 2 reactor, which is adjacent to Unit 1, has been closed since 1979 following the disaster.
The deal is enabled by President Joe Biden’s climate bill, which includes billions in tax credits to encourage clean energy from wind, solar and clean hydrogen, as well as nuclear power. The Biden administration and Congress have also committed billions in funding to keep older plants from closing.
Alan Ahn, deputy director of nuclear at think tank Third Way’s climate and energy program, said there is “not a lot of historical precedent for regulatory approval” to restart a shuttered plant in the US.
Regulators and companies are working to repower the Palisades nuclear plant in Michigan, which was slated to shut down until the federal government stepped in with more than $1 billion to save it. Ahn added that Three Mile Island has been plagued by bugs for years.
But as tech companies look for more sources of power to meet their AI needs, Ahn said companies are increasingly taking a hard look at nuclear power, which is carbon-free and requires more of its superior climate. Helps to maintain goals.
“When you’re talking about artificial intelligence increasing power requirements, data centers essentially need to run at full capacity 24 hours a day. There aren’t many alternatives outside of nuclear,” he said. Ahn said. “It’s becoming very clear that tech companies are really looking at nuclear.”
“This agreement is an important milestone in Microsoft’s efforts to help decarbonize the grid in support of our commitment to becoming carbon negative,” Bobby Hollis, vice president of energy for Microsoft, said in the release.
Three Mile Island Reopens and Partners with Microsoft for Power Supply
Three Mile Island, once known for its nuclear power plant, is making a comeback! The facility is reopening and will supply electricity to Microsoft. This partnership aims to help Microsoft meet its energy needs while promoting clean and safe power. It’s an exciting step forward for both companies, as they work together to create a more sustainable future. Stay tuned for more updates on this innovative collaboration!
