Microsoft signs deal to restart Three Mile Island to nuclear-power their AI needs

Microsoft has signed a groundbreaking 20-year deal to revive the shuttered Three Mile Island nuclear plant to power its AI data centers.

If approved, Microsoft will have exclusive access to 100% of the plant’s output when it reopens in 2028.

The plant, originally retired in 2019, can generate 837 megawatts - enough to power over 800,000 homes.

"This agreement is a major milestone in Microsoft's efforts to help decarbonize the grid in support of our commitment to become carbon negative. Microsoft continues to collaborate with energy providers to develop carbon-free energy sources to help meet the grids' capacity and reliability needs," Bobby Hollis, VP of Energy at Microsoft, said in a statement.

A near disaster at Three Mile Island occurred in 1979 when a malfunction in the Unit 2 reactor led to a partial meltdown, releasing small amounts of radioactive gas into the atmosphere. The plant has since been renamed the Crane Clean Energy Center.

The deal will restore the Unit 1 reactor to service and "keep it online for decades," said owner Constellation. It's also expected to create 3,400 direct and indirect jobs.

The Unit 1 reactor is located adjacent to Unit 2, which is in the process of being decommissioned by its owner, Energy Solutions. Unit 1 is a fully independent facility, and its long-term operation was not impacted by the Unit 2 accident, Constellation said.

To prepare for the restart, significant investments are being made to restore the plant, including the turbine, generator, main power transformer and cooling and control systems.

Restarting a nuclear reactor requires U.S. Nuclear Regulatory Commission approval following a comprehensive safety and environmental review, as well as permits from relevant state and local agencies. Additionally, Constellation plans to pursue license renewal that will extend plant operations to at least 2054.

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