Google's Investment in Constellation Nuclear Fleet
Google and Constellation Energy have announced a 20-year power purchase agreement. This agreement will enable investments in new equipment and technology across 11 Constellation-owned nuclear units located in Illinois, Pennsylvania, and New Jersey. These improvements are expected to enhance thermal and electrical efficiency, adding 890 MW of new capacity to the PJM grid.
The collaboration is projected to sustain approximately 4,400 existing jobs and create about 7,200 new construction jobs during the building phase. Constellation anticipates over USD4.3 billion in new investment as a result. The 890 MW of incremental capacity is equivalent to the output of multiple small modular reactors or a large conventional reactor.
Additionally, Google and Constellation have a 15-year energy supply agreement for an extra 2,700 MW within PJM's fleet, aiming to provide revenue certainty for existing assets. The companies also plan to evaluate opportunities for new clean generation, storage, and demand response across the United States, with a focus on the PJM region. Constellation has chosen Google Cloud and Gemini Enterprise for an expanded five-year technology alliance, intending to use AI to reduce infrastructure costs, improve performance, and ensure grid stability.
Nuclear uprates, achieved through modernizing turbines, steam generators, and digital control systems, can deliver significant capacity gains without the extended timelines of new construction. This initiative aligns with the US government's UPRISE program, which seeks to maximize electricity output from existing nuclear infrastructure through public-private partnerships. The first uprate is expected by 2028.
Oracle's Commitment to Point Beach Nuclear Plant
Separately, Oracle announced a commitment to subscribe to a portion of the electricity generated by the Point Beach nuclear power plant. This plant, operated by NextEra Energy, consists of twin pressurized water reactor units near Two Rivers, Wisconsin, with commercial operations beginning in 1970 and 1973.
Oracle stated that this subscription, pending approval from the Public Service Commission of Wisconsin, will help mitigate rising energy costs for customers, reduce household electricity bills, and support the reliability of Wisconsin's power grid. Oracle's executive vice president of Oracle Cloud Infrastructure, Mahesh Thiagarajan, noted that absorbing approximately USD300 million in energy costs will benefit over one million Wisconsin utility customers.
This commitment builds on Oracle's broader investment in Wisconsin, including its Project Lighthouse data center development in Port Washington. This project is expected to generate over USD11 billion for the local economy, create more than 4,000 construction jobs over three years, support 1,000 ongoing operations positions, and invest in local infrastructure. Oracle also plans to fully fund Project Lighthouse's energy costs to protect ratepayers and support grid reliability.
Broader Trend of Tech Company Investments
These announcements are part of a trend of power purchase agreements and investments in nuclear energy by technology companies and other end-users. These entities require reliable, 24/7 low-carbon power for operations such as data centers. Recent examples include Constellation's 20-year power purchase agreement with Amazon for the Calvert Cliffs nuclear power plant, Google's agreement to support uprates at Georgia Power's Vogtle and Hatch plants, and a long-term power purchase agreement with Finland's Fortum for the Loviisa nuclear power plant. An October 2025 agreement with Google also underpins the planned restart of NextEra Energy's Duane Arnold nuclear power plant in Iowa.
