Google Contracts 890 MW of Nuclear Plant Upgrades and 2,700 MW of Grid Power From Constellation

Google has entered into two long-term power agreements with Constellation to expand nuclear output and secure grid capacity for its data centers, as reported by The Verge (https://www.theverge.com/science/1006082/google-nuclear-energy-power-purchase-agreement-constellation). The commitments come as tech companies face mounting pressure to secure electricity for artificial intelligence workloads without destabilizing regional power infrastructure.

Under a 20-year power purchase agreement, Constellation plans to modernize 11 nuclear reactors across six sites in Illinois, Pennsylvania, and New Jersey. Constellation stated in a press release that the efficiency upgrades represent more than $4.3 billion in new capital investment. The companies project the equipment upgrades will add 890 megawatts of nuclear capacity over the next five years—an increase roughly equivalent to adding one large conventional reactor or three small modular reactors.

In addition to the nuclear upgrade contract, Google signed a separate 15-year agreement for 2,700 megawatts of supply from Constellation's broader generating portfolio within the PJM Interconnection grid. That arrangement guarantees revenue for existing generation assets across fuel types. According to Constellation's latest sustainability report, its generation capacity last year comprised 70 percent nuclear, 8 percent renewables, and 22 percent gas and oil. Natural gas also represents the largest share of PJM's overall fuel mix.

All six nuclear sites under the upgrade agreement feed into PJM Interconnection, the largest regional grid in the United States, which covers 13 states and the District of Columbia and powers major data center hubs including Loudoun County, Virginia. PJM has faced severe capacity strains from expanding data center operations. Last year, an independent market monitor filed a complaint with the Federal Energy Regulatory Commission (FERC), warning that connecting large data centers under current conditions could risk blackouts.

The regulatory and political environment surrounding PJM has grown increasingly fraught. In January, the Trump administration and governors across PJM states released a joint statement calling for an emergency power auction to fund long-term capacity construction. PJM postponed the auction after FERC directed the grid operator to revise its proposal to protect consumers from sharp rate spikes; in New Jersey, retail electricity rates have jumped 54 percent over five years.

The deals reflect the difficult trade-offs facing hyperscale operators attempting to reconcile aggressive compute expansion with environmental commitments. In its latest sustainability report, Google disclosed that its annual electricity consumption increased by 37 percent, driving an 18 percent year-over-year rise in total greenhouse gas emissions.