Meta Buys a Nuclear Power Plant - A Deep Dive

Meta's Investment in Nuclear Energy

Meta revealed on Tuesday that it is committing billions of dollars to sustain operations at an Illinois nuclear power facility until 2047. The social media giant will acquire all of the “clean energy attributes” associated with Constellation Energy’s Clinton Clean Energy Center.

This 1.1 gigawatt nuclear plant is situated in central Illinois, and the purchase will commence in June 2027. While electricity will continue to be distributed to the regional power grid, Meta’s acquisition isn’t intended to directly supply its data centers.

Carbon Accounting and Climate Impact

The arrangement functions as a form of carbon accounting, aimed at diminishing the company’s overall environmental footprint. It won’t result in a reduction of emissions currently on the grid, but it will prevent potential increases in those emissions.

Although the precise financial details of the agreement haven’t been disclosed, this multibillion-dollar investment will facilitate Constellation’s plant relicensing and secure a customer base for the extended license period.

Growing Tech Industry Support for Nuclear Fission

Recently, major technology companies – including Meta – have become strong advocates for the nuclear fission industry. Prior to the current surge in data center construction, nuclear reactors were facing an uncertain future.

The affordability of wind, solar, and natural gas had been eroding the economic viability of nuclear power generation. However, the rapid expansion of AI and cloud computing has spurred tech firms to seek substantial power sources, leading to increased investment in nuclear technology startups.

Preventing Potential Shutdown

Both Meta and Constellation have indicated that this deal will help avert the potential shutdown of the nuclear power plant, though neither company suggested an immediate risk of closure.

The power provider had initially considered decommissioning the Clinton reactor in June 2017 due to competition from inexpensive natural gas. However, Illinois lawmakers intervened with subsidies that incentivized Constellation to maintain operations.

These subsidies are scheduled to expire in 2027, and Constellation asserts that the agreement with Meta will help ensure continued operation.

License Extension and Future Plans

Since 2017, Constellation has not publicly threatened to close the Clinton power plant. Instead, in 2022, the company announced its intention to apply for an extension of the reactor’s operating license, extending it through 2047.

TechCrunch has inquired with Constellation regarding its plans for the Clinton power plant prior to the Meta deal. We will update this article with any response received.

Constellation suggests that the deal with Meta will “essentially replace the ZEC [zero-emission credit] program and ensures long-term operations of the plant without ratepayer support.”

Expanding Nuclear Power Investments

Meta, along with its Big Tech counterparts, has demonstrated a growing enthusiasm for nuclear power. Earlier this year, Meta announced a call for proposals for new nuclear power plants with a capacity of 1 to 4 gigawatts.

The company stated today that it has received over 50 qualified submissions for potential sites across more than 20 states.

Through the Meta deal, Constellation has secured another significant technology client for its nuclear facilities. In September, the power provider announced plans to restart a reactor at Three Mile Island following an agreement with Microsoft to purchase all the generated power.