Power companies such as Constellation Energy and Vistra are in talks with customers interested in directly connecting data centers to nuclear plants.
The data centers are essential to U.S. economic competitiveness and national security as the country competes with adversaries such as China for supremacy in the race to develop AI, said Joe Dominguez, the CEO of"When you're talking about large load that also wants to use zero-emission energy, you're going to bring it very close to nuclear power plants," Dominguez said on Constellation's second-quarter earnings call Tuesday.
Constellation's Dominguez argued that connecting data centers directly to nuclear plants, called co-location by the industry, is the fastest and most cost-effective way to support the buildout of data centers, without burdening consumers with the costs of building new transmission lines. "This will harm existing customers," the utilities told FERC in a filing in June. Talen Energy has dismissed the objections as"demonstrably false," accusing the utilities of stifling innovation.
Barrón told CNBC that Constellation has"seen interest from many" tech companies in potentially co-locating a data center at one of its sites.
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