Google signs massive 3.6-GW power deal with Constellation Energy

• Google will purchase 890 MW through a 20-year agreement from upgraded Constellation nuclear plants, with first delivery expected in 2028, plus an additional 2,700 MW from unspecified sources
• The arrangement involves upgrading 11 nuclear units across Illinois, Pennsylvania, and New Jersey within the PJM Interconnection grid, which serves 13 states
• The deal responds to PJM grid management's proposal requiring data centers to 'bring their own power' or face remote shutoff during peak demand periods

Summary: Google Signs 3.6-GW Power Deal with Constellation Energy

Google has secured a massive 3,590-megawatt power contract with Constellation Energy in the largest U.S. power grid (PJM Interconnection), with approximately one-quarter of supply coming from new nuclear capacity. The agreement will drive over $4.3 billion in new investment by Constellation.

Key Deal Components:

The arrangement includes two main elements:

• A 20-year power purchase agreement for 890 MW from upgraded nuclear plants, with electricity delivery expected to begin in 2028
• A long-term supply agreement for an additional 2,700 MW from Constellation's existing generation sources in PJM

Infrastructure Details:

Constellation will upgrade capacity at 11 nuclear units across Illinois, Pennsylvania, and New Jersey. Maryland-based Constellation operates as the largest U.S. nuclear power plant operator and maintains a substantial natural gas fleet.

Market Context:

This deal reflects an intensifying race among major tech companies to secure electricity for data centers. Recent precedents include Constellation's agreement to restart Pennsylvania's Three Mile Island reactor for Microsoft and Google's contract with NextEra Energy to restart an Iowa nuclear facility.

Regulatory Implications:

The agreement responds to PJM Interconnection's proposed requirement for data center customers in its 13-state grid to either secure their own power supplies or face potential disconnection during peak demand periods.

Google emphasized its commitment to "meeting our growth responsibly by actively investing in clean, reliable power that brings new capacity to our nation's grids," according to Amanda Peterson Corio, the company's global head of energy and power.