Microsoft’s AI Ambitions Drive Revival of Three Mile Island Nuclear Plant

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Three Mile Island, the site of the worst nuclear accident in U.S. history, is set to partially reopen by 2028, thanks to a new energy deal involving Microsoft. The plant, located near Middletown, Pennsylvania, has been dormant since 2019 but will soon generate power to fuel Microsoft’s expanding artificial intelligence (AI) operations. This marks a historic turnaround for the nuclear site that gained notoriety after a partial meltdown in 1979.

The decision to restart the plant was made by Constellation Energy, a Baltimore-based company, which struck a 20-year agreement with Microsoft to provide carbon-free electricity for the tech giant’s data centers. Under the deal, Three Mile Island’s Unit 1 reactor will be renamed the Crane Clean Energy Center after the company's former CEO, Chris Crane. Once back online, it is expected to deliver 835 megawatts of power—enough to supply around 800,000 homes, ensuring that Microsoft's data centers in the region are powered by clean energy.

Microsoft has been actively pursuing sustainable energy sources as part of its ambitious goal to become carbon-negative by 2030. With AI data centers projected to consume up to 9% of the nation's electricity by 2030, tech companies are scrambling to secure reliable, eco-friendly power sources.

Nuclear energy, known for its low carbon emissions, has emerged as a leading option for these data-hungry facilities. Bobby Hollis, Microsoft’s Vice President of Energy, hailed the agreement as a significant step toward decarbonizing the grid.

The reopening will not only address rising energy demands but also serve as an economic boon for Pennsylvania. Constellation Energy predicts that the project will create more than 3,000 jobs and inject $16 billion into the state’s economy. Additionally, the federal and state governments could see up to $3 billion in tax revenue as a result of the plant’s reactivation.

However, the plant’s resurrection is not without controversy. Three Mile Island is infamous for the 1979 nuclear disaster at its Unit 2 reactor, which partially melted down and led to heightened public scrutiny of nuclear energy. Although the U.S. Nuclear Regulatory Commission maintains that the accident resulted in no measurable health effects for workers or nearby residents, its legacy continues to cast a shadow over the plant’s operations​.

Despite the historical concerns, nuclear energy is experiencing a resurgence in the U.S. and abroad. Policymakers are increasingly turning to it as a reliable alternative to fossil fuels. If the Three Mile Island project moves forward, it will not be the first decommissioned nuclear site to be revived; the Palisades nuclear plant in Michigan is also scheduled for reactivation by 2025.

While opposition to nuclear energy persists, especially from local residents and environmental groups, public opinion has softened. A recent poll showed that 57% of Pennsylvanians support reopening the plant, provided it doesn’t lead to higher electricity rates or new taxes​.

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