Google will restart a closed nuclear power plant in Iowa with NextEra Energy to secure electricity supply. The move aims to respond to the surge in data center power demand in the era of artificial intelligence (AI).
The two companies said on the 27th (local time) that they plan to restart the Duane Arnold Energy Center, which had been Iowa's only nuclear facility, by the first quarter of 2029 with approval from regulators. The plant ceased operations in 2020.
Google plans to use a 615-megawatt (MW) supply of around-the-clock power from the facility, once it is back online, to operate cloud and AI infrastructure in Iowa.
NextEra Energy described it as a strategic collaboration to help Google responsibly expand its power demand in an AI-centered era of innovation, adding that the power purchase agreement will make it possible to cover the plant's restart investments and operating expense.
The two companies also agreed to jointly review the potential construction of new nuclear power plants in the United States.
Ruth Porat, chief financial officer (CFO) of Alphabet and Google, said the partnership will be a model case for securing stable and clean power while achieving both economic viability and job creation.
Major U.S. media, including Bloomberg, reported that tech giants are considering restarting nuclear plants as an alternative to ease data center power shortages stemming from the expansion of AI development.
Currently, Constellation Energy plans to restart one reactor at a Pennsylvania nuclear plant by 2027, and Holtec International is pushing to restart the Palisades nuclear plant in Michigan by early next year.