US Department of Energy Loans $4.4 Billion to Restart Nuclear Plants

The United States Department of Energy is providing up to $4.4 billion in loans to restart three decommissioned nuclear power plants to meet rising electricity demands from manufacturing and artificial intelligence data centers. The initiative targets the Palisades Power Plant in Michigan, the Crane Clean Energy Center at Three Mile Island in Pennsylvania, and the Duane Arnold Energy Center in Iowa, with the goal of restoring 2.25 gigawatts of power.

To fund these restarts, private energy companies have secured long-term contracts with major technology firms. Constellation is spending $1.6 billion to restart the Crane Clean Energy Center under a 20-year agreement with Microsoft. Similarly, NextEra Energy is collaborating with Google to bring the Duane Arnold Energy Center back online. The Trump administration is actively promoting nuclear power for these sectors and is continuing loan payments for the Palisades facility that were originally initiated under the Biden administration.

Critics of the plan, including the Union of Concerned Scientists, warn that aging infrastructure and climate change pose significant safety risks. Additionally, some fiscal conservatives have argued against the use of taxpayer funds to support low-risk commercial projects.