Google and Constellation to invest $4.3 billion in nuclear energy expansion

Constellation Energy, the largest U.S. nuclear provider, has struck a deal with Google to invest $4.3 billion in expanding the output of 11 nuclear plants across Illinois, Pennsylvania, and New Jersey. The agreement, announced Tuesday, will see the additional power generated sold to Google over a 20-year period. About half of the investment, or $2 billion, will be allocated to four plants in Illinois: Byron, Braidwood, LaSalle, and Quad Cities.

The partnership comes amid a surge in data center construction by Google and other AI companies, which has led to rising electricity rates and political backlash. According to consultants for the Illinois Power Agency, the state’s electricity grid will need to double its capacity to 120 gigawatts by 2045 to support this growth. The agreement will boost output by 890 megawatts, roughly the size of a typical U.S. nuclear reactor, and the energy will be distributed through PJM Interconnection, a regional grid serving 13 states and the District of Columbia.

Amanda Peterson Corio, Google’s global head of energy and power, emphasized that the deal will strengthen the PJM grid for 67 million people while maintaining energy affordability and supporting local union jobs. Additionally, Constellation and Google have agreed on a framework to explore further opportunities for developing clean energy and related services across the U.S. to support Google’s expansion.

In a separate agreement, Constellation will supply Google with 2,700 megawatts of power over 15 years through the PJM system. Last year, Mark Zuckerberg announced a 20-year stipend for a Constellation nuclear plant in Clinton, Illinois, and is considering plans for additional reactors at the site.