To meet the soaring energy demands of its artificial intelligence (AI) data centers, Microsoft has announced a 20-year agreement to bring the dormant Three Mile Island nuclear power plant back online. The deal, secured through a power purchase agreement with Constellation Energy, the current owner of the facility, underscores the tech giantโs increasing need for clean, high-capacity energy.
If approved by regulators, the agreement would grant Microsoft exclusive access to 100% of the energy produced by the plant, which is capable of generating up to 837 megawatts. This move comes as Microsoft scales its data center operations across key U.S. states, including Virginia, Ohio, Pennsylvania, and Illinois. The companyโs focus on AI development has significantly boosted its energy consumption, making carbon-free power essential to its sustainability goals.
The Three Mile Island plant, shut down in 2019 due to economic pressures, holds a controversial legacy as the site of one of the worst nuclear accidents in U.S. history in 1979. However, Constellation Energy has committed $1.6 billion to restoring the facility, with plans to rename it the “Crane Clean Energy Center,” in honor of the late Chris Crane, former CEO of Exelon, Constellationโs parent company.
Microsoft’s ambitious clean energy target aims to run its data centers entirely on carbon-free energy by 2025, and the revived nuclear plant will play a pivotal role in that effort. The deal, if given the green light, could see the plant back in operation by 2028. Constellation will also seek approval from the U.S. Nuclear Regulatory Commission and local authorities to extend the plantโs operational license until at least 2054. This marks Microsoftโs first large-scale nuclear energy deal, as the company looks to secure more sustainable energy sources to power its growing AI infrastructure.
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