In a groundbreaking move, Microsoft and Constellation Energy have announced plans to reopen the Three Mile Island nuclear plant, aiming to meet the growing energy demands of Microsoft’s artificial intelligence (AI) operations. The tech giant has committed to purchasing all the power generated by the plant for 20 years after its restart.
This partnership marks the first time a decommissioned U.S. nuclear facility will be brought back into service and the first instance where a commercial nuclear power plant’s entire output is allocated to a single customer. The agreement is set to provide Microsoft with 835 megawatts of electricity, enough to power approximately 800,000 homes.
Constellation Energy plans to restart Three Mile Island Unit 1 by 2028 at an estimated cost of $1.6 billion. Unit 1 is adjacent to the reactor that suffered a partial meltdown in 1979, an event that significantly impacted the nuclear industry.
“The nuclear power plant never should have been allowed to shut down,” said Joseph Dominguez, Chief Executive of Constellation Energy, in a press release. He added that the plant would produce as much clean energy as all the renewables built in Pennsylvania over the last 30 years.
The revival of Three Mile Island is part of a broader trend of tech companies seeking reliable, zero-emissions power sources to support their expanding data centers and AI technologies. However, Microsoft’s plan faces significant regulatory hurdles and public skepticism.
Constellation must obtain approval from the U.S. Nuclear Regulatory Commission, which has never before authorized the reopening of a nuclear plant. The company expects the review process to be completed by 2027.
The deal has also sparked debate over the use of federal subsidies, as the project relies heavily on tax breaks for nuclear power included in the 2022 Inflation Reduction Act. Critics argue that using public funds to benefit a single private company raises concerns.
Public reactions have been mixed. Some community leaders welcome the potential economic revival, with projections of creating 3,400 jobs and generating $3 billion in state and federal taxes. Pennsylvania Governor Josh Shapiro expressed support, stating that the plant will “safely utilize existing infrastructure to sustain and expand nuclear power in the Commonwealth while creating thousands of energy jobs.”
Conversely, nuclear safety advocates have voiced concerns. Henry Sokolski, a former deputy for nonproliferation policy at the Pentagon, criticized the reliance on public subsidies, commenting, “Microsoft says it will buy all of the nuclear electricity from Three Mile Island, but it wants rate and taxpayers to pick up the tab to refurbish the plant.”
The reopening of Three Mile Island represents a significant development in the intersection of technology and energy sectors, highlighting the growing demand for sustainable power solutions in the age of AI.
Reference(s):
Microsoft to utilize Three Mile Island plant for AI energy needs
cgtn.com
