Google and NextEra Energy announced a partnership to revive a nuclear power plant in Iowa, closed since 2020, to power Google’s data centers.
While financial terms of the agreement remain undisclosed, NextEra sought a partner for reopening the reactor over the past year, aligning with Google’s strategy to incorporate zero-carbon energy sources for its expanding data center operations. The Duane Arnold Energy Center ceased operations after a 2020 summer derecho damaged a secondary containment system component, intended to prevent radioactive gas release.
The plant, originally designed for 601 megawatts (MW) of electricity, is projected to generate an additional 14 MW if recommissioning proceeds as planned. NextEra anticipates restarting the facility in 2029. Google has committed to purchasing a majority of the power for 25 years, with the remaining output to be sold to the Central Iowa Power Cooperative under similar terms. The cooperative holds a 20% stake in the plant, though NextEra noted agreements to acquire interests from both the co-op and another minority owner.
There is renewed interest in nuclear power among technology companies and data center developers as electricity demand resurges. Last year, Microsoft partnered with Constellation Energy to restart a reactor at Three Mile Island, which closed in 2019. Constellation estimates the Three Mile Island project cost at $1.6 billion, with the 835 MW reactor expected online in 2028.
Restarting reactors offers a shorter path to adding nuclear capacity compared to constructing new plants. However, these projects span several years, placing them in competition with new natural gas power plants, which also require years for development. Companies like Google are also utilizing solar and battery storage, which deploy in months, significantly reducing the timeline for powering new data centers.
