Tech Giant Secures Deal To Bring Back Reactor At Infamous Nuclear Power Plant

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A shuttered nuclear power plant with a checkered past will partially be coming back online after Microsoft obtained a deal to purchase energy from one of the plant’s reactors, according to a Friday press release.

The 20-year power purchase agreement, which the tech giant secured with Constellation Energy, would bring back the Three Mile Island nuclear power plant in Pennsylvania — the site of a 1979 meltdown that resulted in a large-scale evacuation of nearby pregnant women and school-age children. The project aims to provide power for Microsoft data centers as tech companies push to expand electricity production to support their artificial intelligence (AI) and cloud storage needs, the release says.

“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 plants are the only energy sources that can consistently deliver on that promise,” Joe Dominguez, president and CEO of Constellation, stated in the release alongside Microsoft. “We look forward to bringing [the Three Mile Island plant] back with a new name and a renewed mission to serve as an economic engine for Pennsylvania.”

The agreement would bring back Unit 1 at Three Mile Island, which was shuttered in 2019 for “economic reasons,” according to Constellation’s statement. Unit 1 is adjacent to the Unit 2 reactor that caused the worst nuclear meltdown in U.S. history on March 28, 1979, which results in 40% of people evacuating the area.

The Three Mile Island power plant will have a capacity of 835 megawatts, enough to power more than 700,000 homes. It is expected to create 3,400 direct and indirect jobs, according to the press release.

The decision to reopen the Three Mile Island reactor comes as tech companies are increasingly looking to nuclear energy to power their AI and data center needs, with Amazon Web Services spending $650 million on a nuclear-powered data center in Pennsylvania earlier this year. The trend could affect power grid reliability and affordability as it provides the businesses with “first dibs” on electricity, Pennsylvania Consumer Advocate Patrick Cicero told the WSJ in July.

Nuclear power has aroused public suspicion, largely due to incidents like Three Mile Island, Fukushima and Chernobyl, in which reactor meltdowns caused radiation to flood areas surrounding nuclear power plants. However, it could be a viable pathway to reducing emissions and accomplishing the Biden-Harris administration’s goal of having the U.S. power sector reach net-zero emissions by 2035.

“This is a valuable opportunity to invest in clean, carbon-free and affordable power — on the heels of the hottest year in Earth’s history,” Pennsylvania state Rep. Tom Mehaffie said in the Constellation press release. “This will transform the local economy and presents a rare opportunity to power our economy with reliable clean energy that we can count on.”

Constellation and Microsoft did not immediately respond to requests for comment.

(Featured Image Media Credit: Ilja Nedilko/Unsplash

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