NextEra Energy said technology giant Google has signed a 25-year deal to buy power from the utility’s Duane Arnold nuclear power plant, which the Florida-based energy provider wants to restart.
Duane Arnold was shut down in 2020 after sustaining damage from a derecho weather event. The Iowa facility would join other closed U.S. nuclear power facilities, such as the Palisades station in Michigan and Three Mile Island in Pennsylvania, that could gain new life after being set for decommissioning.
NextEra on October 27 said the 615-MW Duane Arnold station, located in Palo near Cedar Rapids, could be operational as soon as early 2029. NextEra, headquartered in Juno Beach, Florida, said Duane Arnold would provide Google with “24/7 carbon-free energy” to support the California-based tech company’s “growing cloud and AI [artificial intelligence] infrastructure in Iowa, while also strengthening local grid reliability.”
Full Ownership of Duane Arnold
NextEra also Monday said the company has signed definitive agreements to acquire Central Iowa Power Cooperative (CIPCO) and Corn Belt Power Cooperative’s combined 30% interest in the Duane Arnold plant. That transaction will leave NextEra as the power station’s sole owner. NextEra said CIPCO would buy output from Duane Arnold under the same contract terms as Google.
The power purchase agreement with Google, according to Next Era, “enables the investment to restart the plant and covers costs for the production of energy from Duane Arnold. Restarting the plant will increase generation capacity for the region, and energy customers in Iowa will not bear any costs associated with the power Google purchases from the facility.” Google said the restart would create thousands of jobs, both directly and indirectly, and also would bring significant economic investment to the region.
Google has operated a data center in Council Bluffs, Iowa, since 2007. The company also said it is building a new data center in Cedar Rapids.
Restart as Soon as 2029
“Building on two decades of work in Iowa, including our recent $7-billion investment in the state this May, Google is proud to partner with NextEra Energy to reopen the Duane Arnold Energy Center—a project that will deliver nuclear energy and hundreds of new job opportunities in the Hawkeye State by the beginning of 2029,” Ruth Porat, president and CIO of Google and its corporate owner, Alphabet, said in a statement.
John Ketchum, CEO of NextEra Energy, in a statement said, “Restarting Duane Arnold marks an important milestone for NextEra Energy. Our partnership with Google not only brings nuclear energy back to Iowa—it also accelerates the development of next-generation nuclear technology.”
“CIPCO has a proud and longstanding history with Duane Arnold Energy Center, and we’re thrilled that nuclear energy will once again contribute to our state’s energy future,” said Andrew St. John, executive vice president and CEO of CIPCO. “As a cooperative generation and transmission provider, CIPCO remains committed to our all-of-the-above energy strategy. The restart of Duane Arnold will strengthen our generation portfolio with clean, baseload generation—furthering our ability to deliver safe, reliable and cost-effective power to our cooperative member-owners across Iowa.”
Iowa Gov. Kim Reynolds in a statement said, “Iowa isn’t just a place to build; it’s a place to lead. Today’s exciting announcement from NextEra Energy and Google further cements Iowa’s leadership in powering America’s AI infrastructure.”
NextEra in a news release said the announcement “highlights NextEra Energy and Google’s long-standing relationship. NextEra Energy now has nearly 3 GW of energy projects executed with Google across the country, reinforcing its role of providing energy solutions to meet Google’s needs.” NextEra on Monday said “the Duane Arnold restart follows a rigorous engineering evaluation, community engagement and close coordination with federal, state and local authorities. NextEra Energy is working proactively with the Nuclear Regulatory Commission and other governmental authorities to ensure a safe, timely and compliant return to service.”
—Darrell Proctor is a senior editor for POWER.
