CEO Morning Brief

Meta seeks Nuclear Power Developers for Reactors to Start in Early 2030s

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Publish date: Thu, 05 Dec 2024, 09:08 PM
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TheEdge CEO Morning Brief

WASHINGTON (Dec 3): Meta said on Tuesday that it is seeking proposals from nuclear power developers to help meet its artificial intelligence and environment goals, becoming the latest big tech company to take interest in atomic power, amid an expected boom in electricity demand.

The company wants to add one- to four gigawatts (GW) of new US nuclear generation capacity, starting in the early 2030s, it said in a release. A typical US nuclear plant has a capacity of about one gigawatt.

"At Meta, we believe nuclear energy will play a pivotal role in the transition to a cleaner, more reliable, and diversified electric grid," the company said in a release.

US data-centre power use is expected to roughly triple between 2023 and 2030, and will require about 47GW of new generation capacity, according to Goldman Sachs estimates.

But it will be tough to swiftly meet soaring power demand with nuclear reactors, as companies face an overburdened US Nuclear Regulatory Commission, potential uranium fuel supply obstacles, and local opposition.

Microsoft and Constellation Energy announced a deal in September to restart a unit at the Three Mile Island plant in Pennsylvania, in what would be the first ever restart for a data centre.

That announcement followed a similar agreement in March, in which Amazon.com purchased a nuclear-powered data centre from Talen Energy.

Meta said it is seeking developers with expertise in community engagement, development and permitting, and would consider either small modular reactors, an emerging part of the business that is not yet commercial, or larger nuclear reactors similar to today's fleet of US nuclear plants.

Meta said it will take submissions from developers that want to take part in the request for proposals until Feb 7, 2025.

The company said it was using the request-for-proposal (RFP) process because, compared to renewable energy projects like solar and wind, nuclear is more capital-intensive, takes longer to develop, and is subject to more regulatory requirements.

"An RFP process will allow us to approach these projects thoroughly and thoughtfully, with these considerations in mind," it said.

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Source: TheEdge - 5 Dec 2024

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