Why Google is paying to upgrade nuclear power plants

Georgia regulators have approved a deal that lets Google help pay for upgrades to four older nuclear reactors at Plant Vogtle and Plant Hatch. Starting in 2028, Google will pay a subscription fee on top of its electricity bill to help cover the cost. In return, the company gets credit toward its goal of running on carbon-free power by 2030, since nuclear plants don't burn fossil fuels and can generate electricity around the clock. Georgia Power says the upgrades will add about 96 megawatts of nuclear capacity and bring roughly $900 million in benefits to customers over the life of the reactors.

Google is striking similar deals elsewhere, partnering with Constellation Energy to fund nuclear upgrades at plants in Illinois, New Jersey, and Pennsylvania, adding 890 megawatts for the regional grid operator PJM. Amazon has a similar arrangement with a Constellation plant in Maryland.

These deals matter because data centers built to run artificial intelligence are driving a huge jump in electricity demand, and many utilities are responding by building new natural gas plants or keeping old coal plants running longer. Industry advocates say tech-funded nuclear upgrades offer a faster, cleaner alternative, since a new nuclear plant can take decades to build while upgrading an existing one takes around five years. For homeowners, this isn't a program you sign up for, but if you're a Georgia Power customer, the utility says the arrangement is meant to lower costs and add clean power to the grid you draw from.