In a groundbreaking move, Meta has committed to a two-decade partnership aimed at harnessing nuclear power to satisfy the burgeoning requirements for artificial intelligence and other computational functions at Facebook’s parent company. The initiative with Meta is set to enhance the energy production of a nuclear facility operated by Constellation Energy in Illinois.
The new deal, revealed on Tuesday, is part of a growing trend where technology corporations are partnering with the nuclear industry as AI usage proliferates. While specific financial details have not been shared, both entities highlight the strategic importance of this collaboration.
Previously, Constellation’s Clinton Clean Energy Center was on the brink of closure due to many years of economic challenges. However, its fate turned around with Illinois legislation that introduced a zero-emission credit program, which financially supports the plant until 2027. The current agreement will commence in June 2027, coinciding with the expiration of the state’s credit subsidies.
The association with Meta will lead to a 30-megawatt enhancement in Clinton’s clean energy output, thereby preserving 1,100 local jobs and generating $13.5 million in annual tax revenue. Presently, the plant produces enough power for around 800,000 American homes. According to George Gross, a professor specializing in electrical and computer engineering at the University of Illinois, the additional 30 megawatts could sustain a city of 30,000 residents for one year.
“Ensuring clean and dependable energy is vital to advancing our ambitions in AI,” stated Urvi Parekh, Meta’s global energy head.
The tech sector’s investment surge in small nuclear reactors comes amidst dual pressures: a burgeoning need for more energy for AI and data centers, alongside ambitious goals to drastically reduce greenhouse gas emissions.
In September, Constellation, which owns the decommissioned Three Mile Island plant, announced plans to reopen the reactor to supply power to Microsoft’s data centers. Located near Harrisburg, Pennsylvania, Three Mile Island was infamously the site of America’s most severe commercial nuclear disaster in 1979.
Inline with this trend, Amazon proclaimed its intentions to invest in small nuclear reactors shortly after Google made a similar announcement. Furthermore, last month, Google revealed its investment in three advanced nuclear energy projects alongside Elementl Power.
Amidst this backdrop, numerous U.S. states are positioning themselves to satisfy the energy demands of the tech industry, with policymakers mulling over increased subsidies and regulatory relaxations. Last year alone, 25 states enacted legislation to support advanced nuclear energy, and the current year has seen over 200 new legislative proposals favoring nuclear energy, as per the Nuclear Energy Institute.
The influx of advanced reactor designs from various companies is filling the regulatory pipeline with the argument that these are reliable and climate-friendly solutions to the escalating electricity needs of tech giants focused on powering their rapidly expanding AI platforms. Nevertheless, ambitions to quadruple U.S. nuclear production in the next 25 years remain in question. The nation has yet to commercialize next-generation reactors, and only two large reactors have been newly constructed in nearly half a century. These recent constructions, part of a Georgia-based nuclear plant, faced significant delays and exceeded budgets by at least $17 billion.
Further concerns are noted by Gross, who underscores the importance of investing in the power transmission grid. “That’s my biggest worry,” Gross states, pointing out that investment in the grid has decreased even as energy demand soars.
In parallel, tech titans like Amazon, Google, and Microsoft are channeling investments into solar and wind technologies, which provide electricity without generating greenhouse gas emissions.
Shares of Constellation Energy Corp., headquartered in Baltimore, remained unchanged as of Tuesday.