Google-Backed Iowa Nuclear Restart Gets $1.9B U.S. Energy Department Loan

NextEra Energy has received a $1.9 billion loan from the U.S. Department of Energy to finance refurbishment of Iowa’s Duane Arnold Energy Center. Google said last October that it would help bring the nuclear plant back from shutdown, according to TechCrunch. The restart is expected in 2029, with the facility’s total capacity set to reach 615 megawatts after NextEra adds 14 megawatts during refurbishment.

The loan points to growing interest in revived nuclear plants as tech companies seek clean, firm electricity for AI data centers. TechCrunch reports that the Energy Department also extended a $1 billion loan last year to Constellation Energy to restart a reactor at Three Mile Island. The article frames these moves as part of a broader scramble for new generating sources after years of limited demand growth.

NextEra CEO John Ketchum said 50 megawatts will be set aside for the local power cooperative, according to a cited earnings call in the article. TechCrunch also reports that Google is looking to build up to six data centers near the Duane Arnold Energy Center. The plant has not operated since 2020, after an intense rainstorm damaged it and NextEra chose to mothball the facility rather than repair it at the time.

Duane Arnold is part of a wider pattern of tech-linked nuclear deals. Microsoft signed a deal with Constellation Energy to restart a Three Mile Island reactor scheduled to return in 2028 and generate 835 megawatts. Meta is also connected to Constellation’s Clinton Clean Energy Center through a deal to buy clean energy attributes from the 1.1 gigawatt plant, while the electricity goes to the local grid.