# Microsoft and Constellation Energy to Reactivate Three Mile Island Nuclear Facility: A Fresh Chapter for Clean Energy and Data Centers
In a momentous decision, **Microsoft** and **Constellation Energy** have disclosed an agreement to reopen the inactive **Three Mile Island nuclear facility** in Pennsylvania. This arrangement, subject to regulatory clearance, would enable Microsoft to acquire all the plant’s energy production—about **835 megawatts**—for a duration of 20 years beginning in **2028**. This level of energy is sufficient to power roughly **800,000 households**, representing a vital advancement in addressing the escalating energy requirements of the technology sector, especially for **data centers** that support cloud computing, streaming services, and **generative AI technologies**.
## The Three Mile Island Story
Three Mile Island is notorious due to the **1979 partial meltdown** in Unit 2, which sparked extensive worries regarding nuclear safety nationwide. However, the newly forged agreement concentrates on **Unit 1**, which was decommissioned in **2019** because of financial difficulties. The resurgence of Unit 1, to be renamed the **Crane Clean Energy Center**, would position it among the initial nuclear facilities in the U.S. to be reinstated after being taken offline.
Constellation Energy aims to allocate **$1.6 billion** towards upgrading the facility, encompassing inspections and enhancements to vital components such as the **reactor’s turbines** and **cooling systems**. The initiative will also gain from **federal tax incentives** and grants offered by the **Inflation Reduction Act**, designed to bolster clean energy efforts.
## The Case for Nuclear Power
In spite of its contentious background, nuclear power is increasingly recognized as a **trustworthy and carbon-neutral** energy option. While incidents like the Three Mile Island crisis and the **Fukushima incident** in Japan have heightened issues surrounding safety and long-term **nuclear waste** management, nuclear energy has been linked to **fewer fatalities** relative to other power generation methods, especially when the ecological effects of **air pollution** are taken into account.
Indeed, nuclear power is perceived as an essential element in the worldwide endeavor to **decarbonize** the energy grid. As highlighted by **Our World in Data**, nuclear energy exhibits a significantly lower death rate per terawatt-hour (TWh) than fossil fuels, such as coal and oil. As global society navigates the urgent challenges posed by **climate change**, nuclear energy provides a scalable option to meet rising energy needs without contributing to **greenhouse gas emissions**.
## Microsoft’s Clean Energy Goals
Microsoft’s participation in the Three Mile Island initiative is part of its extensive dedication to achieving **carbon negativity** by **2030**. The firm is actively pursuing **clean energy sources** to power its worldwide operations, especially its swiftly growing network of **data centers**. These facilities serve as the backbone of Microsoft’s cloud offerings, including **Azure**, **Office 365**, and its expanding array of **AI-driven solutions**.
Microsoft has significantly intensified its focus on nuclear power, as seen in a **job announcement** last year for a program manager tasked with overseeing nuclear energy infrastructure initiatives. The Three Mile Island agreement marks a notable achievement in these efforts as the company persists in working with energy providers to craft **carbon-free energy solutions**.
“This agreement signifies a crucial milestone in Microsoft’s endeavors to assist in decarbonizing the grid as part of our pledge to become carbon negative,” stated **Bobby Hollis**, Microsoft’s Vice President of Energy. “Microsoft remains committed to collaborating with energy suppliers to develop carbon-free energy sources that align with the grid’s capacity and reliability requirements.”
## The Increasing Energy Needs of Data Centers
The revival of Three Mile Island comes at a critical juncture for the tech industry, which is encountering **unprecedented energy demands**. A **Bloomberg assessment** indicates that data centers utilized over **350 TWh** of power in **2024**, a dramatic rise from around **100 TWh** in **2012**. This trend is anticipated to persist, with the **International Energy Agency (IEA)** estimating that data center energy demands could soar to between **620 and 1,050 TWh** by **2026**.
A considerable share of this energy requirement is spurred by the emergence of **generative AI models**, which necessitate extensive computational power. A recent report suggested that energy usage linked to AI could climb to between **85 and 134 TWh** by **2027**, a benchmark akin to the energy needs of the **PC gaming sector**.
By securing a long-term energy source from Three Mile Island, Microsoft is strategically positioning itself to ensure its data centers operate efficiently while mitigating their environmental footprint. The agreement also underscores the escalating significance of **nuclear energy** as a viable solution to the tech industry’s energy hurdles.
## A Wider Industry Movement
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