Three Mile Island nuclear plant to restart, power Microsoft data centers

Microsoft and Constellation Energy just unveiled a power purchase deal that would enable a restart of a reactor at Pennsylvania's Three Mile Island nuclear plant.

Why it matters: The plan to bring a plant associated with an infamous 1979 partial meltdown back online in 2028 blends two big energy trends.

• One is voracious energy needs to power data centers, especially as AI grows.
• The other is proposals to restart mothballed reactors, or delay closures, to meet rising electricity demand with zero-carbon sources.

Driving the news: The companies on Friday announced a 20-year supply deal for power from TMI's dormant 835 megawatt Unit 1 that closed in 2019.

• It sits adjacent to the reactor damaged in the infamous 1979 accident that set back the nuclear industry for decades.
• The deal is a "major milestone in Microsoft's efforts to help decarbonize the grid in support of our commitment to become carbon negative," VP of energy Bobby Hollis said in a statement.

State of play: Constellation plans to invest $1.6 billion to revive the reactor.

• The restart will require Nuclear Regulatory Commission approval, and state and local permits, the power giant said.
• Constellation sees nuclear energy tax credits in the 2022 climate law as crucial for the project, per the Washington Post.

The bottom line: Rising power thirst, data centers, and fighting climate change are starting to remake the nuclear landscape.