Latest news with #UrviParekh
Yahoo
a day ago
- Business
- Yahoo
Meta (META) Signs 20-Year Nuclear Power Deal With Constellation (CEG)
Meta Platforms (META, Financials) signed a 20-year agreement with Constellation Energy (CEG, Financials) to purchase about 1.1 gigawatts of electricity from the Clinton Clean Energy Center in Illinois, beginning in June 2027. The deal secures the entire output from the plant's nuclear reactor and marks Meta's first formal investment in nuclear energy. Warning! GuruFocus has detected 4 Warning Sign with META. Constellation said the long-term contract will help extend the operating life of the Clinton plant, which faced possible closure after the expiration of its zero-emissions credit. The deal also includes a planned 30-megawatt capacity expansion. Terms of the agreement were not disclosed. Meta's energy lead, Urvi Parekh, said in a statement that nuclear power is critical to sustaining the company's artificial intelligence ambitions and clean energy goals. The Clinton facility will continue delivering electricity to the regional grid, indirectly supporting Meta's operations. Constellation said it may seek a permit from the Nuclear Regulatory Commission to build an SMR at the Clinton site. The move aligns with broader government support under President Donald Trump's executive orders aimed at expanding nuclear deployment and domestic fuel supply chains. Explore Peter Lynch chart for META. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
a day ago
- Business
- Yahoo
Powering AI: Here's what to know about Meta's new nuclear deal with Constellation Energy
Meta has signed a 20-year deal with Constellation Energy to keep open its Clinton Clean Energy Center nuclear facility in Illinois, a move that will help feed the tech giant's enormous power needs in the artificial intelligence era. The household auto fleet is a money pit Where are the wildfires in Canada? Maps pinpoint the location of fires and air-quality threats from smoke This company asked most corporate employees to relocate to Chicago. The majority declined The deal takes effect June 2027, right as Illinois's zero-emission credit (ZEC) program expires and the energy center loses its ratepayer-funded financial assistance for being a carbon-free facility. By keeping the plant in operation until at least 2047, the center will directly provide power to the local grid and support Meta's clean energy goals of matching its energy use with solely renewable energy. 'This deal will expand Clinton's clean energy output by 30 megawatts through plant uprates, preserve 1,100 high-paying local jobs, deliver $13.5 million in annual tax revenue, and add $1 million in charitable giving to local nonprofits over five years,' Joseph Dominguez, president and CEO of Constellation, said in a statement. Meta's deal comes as a number of Big Tech companies, including Microsoft, Amazon, and Google, are seeking out nuclear energy alternatives to power AI's growing demand. Although the center will be using the power to support the regional grid in central and southern Illinois, the tech giant will purchase 1,121 megawatts of nuclear energy from the facility, nearly all the energy the center will have the capacity to produce. Urvi Parekh, head of global energy at Meta, said the partnership will secure the clean reliable energy that is necessary to advance Meta's AI ambitions. 'We are proud to help keep the Clinton plant operating for years to come and demonstrate that this plant is an important piece to strengthening American leadership in energy,' Parekh said. Following the announcement on Tuesday, Constellation's stock price (Nasdaq: CEG) increased around 1%. However, the stock was largely flat by midafternoon. Shares in Meta Platforms (Nasdaq: META), parent company of Facebook, Instagram, and WhatsApp, were also flat on Tuesday. This post originally appeared at to get the Fast Company newsletter:
Yahoo
2 days ago
- Business
- Yahoo
Meta strikes 20-year nuclear power deal with Constellation Energy
An aerial view of the Clinton Clean Energy Center in Illinois. (Constellation Energy photo) This article originally appeared on Inside Climate News, a nonprofit, non-partisan news organization that covers climate, energy and the environment. Sign up for their newsletter here. Facebook's parent company Meta locked in 20 years of nuclear power on Tuesday from Constellation Energy to help meet the tech giant's surging energy demand for artificial intelligence and its other power-intensive computing needs. 'Securing clean, reliable energy is necessary to continue advancing our AI ambitions,' Urvi Parekh, head of global energy at Meta, said in a statement. The agreement, which calls for Constellation to provide Meta with 1.1 gigawatts of power from its Clinton Clean Energy Center in Illinois, is the latest in a slew of deals tying large tech companies to nuclear energy. Google signed the first corporate agreement to purchase nuclear energy from multiple small modular reactors (SMRs) developed by Kairos Power in October. Amazon anchored a $500 million investment into X-energy Reactor Co.'s research and development of SMRs and is working with Dominion Energy to advance nuclear development in Virginia. Microsoft entered into a power purchase agreement with Constellation in September to restart the energy company's Three Mile Island nuclear unit in Pennsylvania. The 20-year deal is slated to contribute to Microsoft's goal of matching the power its data centers use with carbon-free energy. Constellation's Clinton Clean Energy Center, about 160 miles southwest of Chicago, was slated to close in 2017 after years of financial losses. But a zero-emission credit program saved the plant after legislation in Illinois provided financial support into mid-2027. The agreement announced Tuesday with Meta takes effect in June 2027, when the state's taxpayer credit program expires. It essentially replaces the credit program and ensures long-term operations of the plant without ratepayer support, according to Constellation. SUPPORT: YOU MAKE OUR WORK POSSIBLE 'This partnership keeps Clinton at the forefront of clean energy while securing jobs and driving local growth,' said Illinois state Rep. Sally Turner, a Republican representing the 44th district, which includes Clinton. 'It's the kind of smart, private investment that strengthens communities without adding taxpayer burden.' The Clinton power purchase agreement is set to preserve more than 1,000 local jobs and deliver $13.5 million in annual tax revenue, according to the Baltimore-based energy company. Bobby Wendell, an official at a unit of the International Brotherhood of Electrical Workers, said in a statement that the agreement will deliver a 'stable work environment' for workers at the plant. The Energy Center generates enough clean electricity to power some 800,000 homes, according to Constellation. The deal with Meta will relicense and continue the operations in Clinton, while expanding its output by 30 megawatts from its current 1,121 megawatts. The financial details of the deal between Meta and Constellation were not disclosed. The power purchase agreement comes as nuclear regains traction. Some see the energy source as an answer for the increasing power demands from data centers and AI as long as the technology can scale. A coalition of large energy users like Amazon, Google, Dow and Meta pledged in March to triple global nuclear energy capacity by 2050. Financial institutions like Bank of America, Citi, Goldman Sachs and Morgan Stanley also endorsed the commitment for nuclear expansion. Constellation President and CEO Joe Dominguez said the deal with Meta ensures prior mistakes aren't repeated by allowing a valuable energy plant to shut down as demand soars. 'Sometimes the most important part of our journey forward is to stop taking steps backwards,' Dominguez said. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
The Star
2 days ago
- Business
- The Star
Meta becomes the latest big tech company turning to nuclear power for AI needs
The Clinton Clean Energy Center in Clinton, Illinois. With the arrival of Meta, Clinton's clean energy output will expand by 30 megawatts, preserve 1,100 local jobs and bring in US$13.5mil (RM57.44mil) in annual tax revenue, according to the companies. — The News-Gazette via AP WASHINGTON: Meta has cut a 20-year deal to secure nuclear power to help meet surging demand for artificial intelligence and other computing needs at Facebook's parent company. The investment with Meta will also expand the output of a Constellation Energy Illinois nuclear plant. The agreement announced Tuesday is just the latest in a string of tech-nuclear partnerships as the use of AI expands. Financial details of the agreement were not disclosed. Constellation's Clinton Clean Energy Center was actually slated to close in 2017 after years of financial losses but was saved by legislation in Illinois establishing a zero-emission credit programme to support the plant into 2027. The agreement deal takes effect in June of 2027, when the state's taxpayer funded zero-emission credit programme expires. With the arrival of Meta, Clinton's clean energy output will expand by 30 megawatts, preserve 1,100 local jobs and bring in US$13.5mil (RM 57.44mil) in annual tax revenue, according to the companies. The plant currently powers the equivalent of about 800,000 US homes. George Gross, professor of electrical and computer engineering at the University of Illinois. estimates that 30 additional megawatts would be enough to power a city with about 30,00 residents for one year. "Securing clean, reliable energy is necessary to continue advancing our AI ambitions,' said Urvi Parekh, Meta's head of global energy. Surging investments in small nuclear reactors comes at a time when large tech companies are facing two major demands: a need to increase their energy supply for AI and data centers, among other needs, while also trying to meet their long-term goals to significantly cut greenhouse gas emissions. Constellation, the owner of the shuttered Three Mile Island nuclear power plant, said in September that it planned to restart the reactor so tech giant Microsoft could secure power to supply its data centers. Three Mile Island, located on the Susquehanna River just outside Harrisburg, Pennsylvania, was the site of the nation's worst commercial nuclear power accident in 1979. Also last fall, Amazon said it was investing in small nuclear reactors, two days after a similar announcement by Google. Additionally, Google announced last month that it was investing in three advanced nuclear energy projects with Elementl Power. US states have been positioning themselves to meet the tech industry's power needs as policymakers consider expanding subsidies and gutting regulatory obstacles. Last year, 25 states passed legislation to support advanced nuclear energy, and lawmakers this year have introduced over 200 bills supportive of nuclear energy, according to the trade association Nuclear Energy Institute. Advanced reactor designs from competing firms are filling up the federal government's regulatory pipeline as the industry touts them as a reliable, climate-friendly way to meet electricity demands from tech giants desperate to power their fast-growing artificial intelligence platforms. Still, it's unlikely the US could quadruple its nuclear production within the next 25 years, like the White House wants. The United States lacks any next-generation reactors operating commercially and only two new large reactors have been built from scratch in nearly 50 years. Those two reactors, at a nuclear plant in Georgia, were completed years late and at least US$17bil (RM 72.34bil) over budget. Additionally, Gross recommends that the US invest more in the transmission grid that moves that power around. "That's my biggest concern,' Gross said, adding that spending on the grid has actually fallen off in recent years, despite the voracious demand for energy. Amazon, Google and Microsoft also have been investing in solar and wind technologies, which make electricity without producing greenhouse gas emissions. Shares of Constellation Energy Corp., based in Baltimore, were flat Tuesday. – AP
Yahoo
2 days ago
- Business
- Yahoo
Meta, Constellation ink 20-year deal based around Clinton nuclear plant
CLINTON, Ill. (WCIA) — Meta and Constellation, an electricity and gas supplier, signed a 20-year deal for nuclear energy in Illinois. The deal is specifically centered around a nuclear plant based in Clinton. The 20-year power purchase agreement (PPA) is for the output of the Clinton Clean Energy Center to support Meta's clean energy goals and operations in the region with 1,121 megawatts of emissions-free nuclear energy, officials said in a news release. Starting in June 2027, the agreement supports the relicensing and continued operations the nuclear facility in Clinton after the state's ratepayer funded zero emission credit (ZEC) program expires. Decatur approves multi-million micro transit agreement Additionally, this deal will expand Clinton's clean energy output by 30 megawatts through plant uprates: Preserve 1,100 high-paying local jobs Deliver $13.5 million in annual tax revenue Add $1 million in charitable giving to local nonprofits over five years 'Last year, Constellation's announced plan to restart the Crane Clean Energy Center became national news, but despite all of the interest and overwhelming support, a key question was missed: why did we let such a valuable plant close in the first place?' said Joe Dominguez, president and CEO, Constellation. 'We are proud to partner with Meta because they asked that important question, and even better, they figured out that supporting the relicensing and expansion of existing plants is just as impactful as finding new sources of energy.' The Clinton Clean Energy Center was slated for premature closure in 2017 after years of financial losses, despite being a top performing nuclear plant in Illinois. This closure was stopped by the enactment of the Future Energy Jobs Act, which established a Zero Emission Credit program that provides financial support for the plant through mid-2027. Constellation's (Nasdaq: CEG) agreement with Meta is a market-based solution aiming to replace the ZEC program and ensures long-term operations of the plant without ratepayer support. The PPA will enable the Clinton nuclear plant to continue to flow power onto the local grid. On top of this, Meta is buying the plant's clean energy attributes as part of its commitment to match 100% of its electricity use with clean and renewable energy. 'We are excited to partner with Constellation and the Clinton community to ensure the long-term operations of the nuclear plant, add new capacity, and help preserve over 1,000 jobs. Securing clean, reliable energy is necessary to continue advancing our AI ambitions,' said Urvi Parekh, Head of Global Energy at Meta. 'We are proud to help keep the Clinton plant operating for years to come and demonstrate that this plant is an important piece to strengthening American leadership in energy.' Juvenile airlifted, 'injured with knife' after Rantoul domestic incident The Clinton nuclear plant employs more than 530 people, contributes approximately $13.5 million in annual taxes and generates enough carbon-free electricity to power over 800,000 homes. An analysis done by The Brattle Group found that shuttering Clinton would raise emissions by over 34 million metric tons of carbon over 20 years. This would be equal to putting approximately 7.4 million gasoline-powered cars on the road for a year. This same report found that Illinois' GDP would drop by $765 million annually, impacting businesses and jobs across numerous industries. This agreement with Meta allows Constellation to add more clean and reliable energy to the grid in the Midcontinent Independent System Operator's (MISO) zone four territory, covering Central and Southern Illinois. Under this deal, Clinton will add 30 megawatts of increased output from nuclear uprates. Constellation is also evaluating strategies to extend the plant's existing early site permit or seek a new construction permit from the Nuclear Regulatory Commission to purse development of 'an advanced nuclear reactor or small modular reactor (SMR)' at the nuclear plant site in Clinton. The electricity and gas supplier company is also investing $1 million over five years beginning in 2026 to support workforce development, social services, education and local nonprofits in and around the Clinton area. This specific announcement comes as public support for nuclear power continues to increase. A recent Gallup poll found that support for nuclear energy jumped to 61% of U.S. adults, up from 55% in 2023. 'Constellation's Clinton nuclear plant has long been an important part of our local economy, supporting a vibrant community with great jobs, excellent schools and well-resourced fire and police departments,' said Clinton Mayor Helen Michelassi. 'While many other communities are losing jobs and tax revenues, Meta is investing in our future, preserving good-paying jobs, and driving economic development for decades to come.' Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
