Google (NASDAQ: GOOG) and NextEra Energy (NYSE: NEE) are joining forces to bring the Duane Arnold Energy Center back online by 2029, aiming to supply carbon-free power specifically to support Google’s expanding artificial intelligence operations. This nuclear plant in Iowa, which has been offline since 2020 due to storm damage, will once again contribute to the grid, marking a significant step in addressing the U.S. electricity demand surge caused by rapid AI and data center growth.
The partnership includes a 25-year power purchase agreement where Google will source around-the-clock carbon-free energy from the 615-megawatt Duane Arnold plant. NextEra Energy has taken full ownership of the facility, underscoring its commitment to this project. Google’s buyback of nuclear energy reflects the urgent need for dependable and sustainable electricity to power its large-scale AI infrastructure, including data centers in Iowa’s Council Bluffs and Cedar Rapids.
Recent data shows that U.S. electricity consumption reached record highs in 2024, primarily driven by the intensifying AI boom and the explosion of data centers nationwide. The U.S. Energy Information Administration anticipates that data centers’ power usage will more than double by 2030, sparking renewed emphasis on nuclear energy. Unlike solar and wind, nuclear plants can provide steady, uninterrupted baseload power, crucial for the continuous computing demands that AI workloads require.
Other big tech firms are pursuing similar agreements. Microsoft is moving forward with plans to revive the Three Mile Island nuclear plant in Pennsylvania to serve its AI infrastructure needs, while Oracle is exploring small modular nuclear reactors for future-proofing its data centers. These developments signal a broader pattern as the tech sector seeks reliable, low-carbon power sources to meet AI’s growing appetite without compromising climate goals.
Although the Duane Arnold project is focused on energy supply, it also carries economic implications for Iowa, where the project is expected to generate thousands of jobs and stabilize local power grids. The state’s supportive regulatory environment has made it a preferred location for this kind of infrastructure investment.
The importance of nuclear energy in this context goes beyond environmental benefits. The ability to offer consistent and scalable electricity is vital as AI systems scale to unprecedented levels of complexity and energy consumption. This partnership embodies a pragmatic shift in the energy landscape, reviving legacy nuclear infrastructure to meet next-generation digital demand at scale and with a smaller carbon footprint.
The decision to restart the Duane Arnold Energy Center highlights the evolving energy strategy in the U.S., blending clean power generation with the pragmatic necessities of modern technology expansion. As the AI revolution continues to accelerate, power solutions like this will likely become more common, balancing innovation with sustainability.
