Microsoft's AI Demand Could Reopen Three Mile Island Nuclear Plant

The Three Mile Island nuclear plant, site of the most significant nuclear accident in U.S. history, is set to resume operations by 2028. This decision follows a purchasing agreement between Microsoft and Constellation Energy, which aims to reactivate the Unit 1 reactor that has been offline since 2019. The reactor is expected to generate 800 megawatts of electricity, enough to power over 800,000 homes, and will operate under a 20-year agreement dedicated solely to Microsoft’s energy needs. The reactivation of the plant is contingent upon approval from the Nuclear Regulatory Commission. Constellation Energy plans to extend operations at the facility until at least 2054, which is anticipated to create approximately 3,400 jobs in the local economy. The plant will be renamed Crane Clean Energy Center in honor of Chris Crane, the former CEO of Exelon, Constellation's parent company, who passed away in 2022. Microsoft's decision to source energy from this nuclear facility aligns with its commitment to sustainability and carbon reduction. The company has faced challenges in meeting its carbon emission goals, with a reported 30% increase in emissions from 2020 to 2023. By utilizing carbon-free energy from the nuclear plant, Microsoft aims to support its environmental objectives and enhance the reliability of the energy grid. This agreement highlights the growing demand for energy to support Microsoft's expanding artificial intelligence initiatives, which have significantly increased energy consumption. The collaboration with Constellation Energy represents a strategic move to address these power needs while contributing to the decarbonization of the energy sector.