Microsoft Partners with Three Mile Island for AI Energy Needs
In a groundbreaking move, Microsoft has entered into an agreement with one of the most well-known nuclear facilities in the United States as part of its commitment to meeting the increasing demand for AI computing power.
The legacy of the Three Mile Island (TMI) nuclear plant has been largely shaped by the 1979 meltdown of Unit 2, which significantly impacted public opinion on nuclear energy. However, what many people may not know is that Unit 1 remained unaffected and continued to operate safely and reliably for decades after the incident.
Now, in a significant new development, Constellation has signed its largest-ever power purchase agreement with Microsoft, marking a new chapter for TMI. This agreement aims to restore and restart TMI Unit 1 under the name Crane Clean Energy Centre (CCEC). The ambitious project is set to bring 835 megawatts of carbon-free energy to the grid, create approximately 3,400 jobs, and generate over $3 billion in tax revenues.
Microsoft’s Clean Energy Commitment
Under the terms of this agreement, Microsoft will purchase the carbon-free energy produced by the Crane Clean Energy Centre to match the power usage of its data centres within the PJM grid. This partnership represents Microsoft’s most high-profile nuclear energy deal to date, as the company continues to explore nuclear power as a viable option for decarbonising its energy-hungry data centres.
Bobby Hollis, Microsoft’s VP of Energy, called the agreement “a major milestone” in Microsoft’s drive to become carbon negative and help decarbonise the power grid.
Joe Dominguez, President and CEO of Constellation, emphasised the importance of nuclear energy in this project, stating, “Industries critical to our nation’s global economic and technological competitiveness, such as data centres, require abundant energy that is both carbon-free and available every hour of every day. Nuclear power plants are the only energy sources capable of consistently meeting that need.”
Restoration and Future Plans for TMI Unit 1
Before TMI Unit 1 can be restarted, it will undergo significant upgrades and modernisation, including improvements to the turbine, generator, and cooling systems. The US Nuclear Regulatory Commission must also approve the restoration plans, with the goal of extending the plant’s operations until 2054. The facility is expected to be operational again by 2028.
A study by The Brattle Group revealed that the newly named Crane Clean Energy Centre—honouring former Constellation CEO Chris Crane—will add not only over 800 megawatts of clean energy to the grid but also contribute an impressive $16 billion to Pennsylvania’s GDP. In addition, Constellation has committed $1 million over the next five years to support local workforce development and community programs, further emphasising their commitment to the region.
Public Support and Broader Impacts
Support for nuclear energy remains strong in Pennsylvania, with recent polls showing a 2-to-1 margin in favour of restarting TMI Unit 1. Governor Josh Shapiro welcomed the initiative, saying, “The Crane Clean Energy Centre will safely utilise existing infrastructure to sustain and expand nuclear power in the Commonwealth while creating thousands of energy jobs and solidifying Pennsylvania’s role as a national leader in energy production.”
The resurgence of nuclear energy is proving increasingly attractive for energy-intensive sectors such as data centres, providing a stable, carbon-free power source. Companies like Microsoft and Oracle are betting big on nuclear to help meet both energy demands and sustainability goals.
The Crane Clean Energy Centre project represents a significant step toward the future of clean, reliable energy—one that not only reduces carbon emissions but also invests in local communities and provides stable energy for data-driven businesses. With Microsoft leading the charge, this collaboration is an encouraging sign of how legacy energy infrastructures can be revitalised to support modern needs.