Amazon, Google make duelling nuclear investments to power data centres with clean energy
CTV
Amazon on Wednesday said that it was investing in small nuclear reactors, coming just two days after a similar announcement by Google, as both tech giants seek new sources of carbon-free electricity to meet surging demand from data centres and artificial intelligence.
Amazon on Wednesday said that it was investing in small nuclear reactors, coming just two days after a similar announcement by Google, as both tech giants seek new sources of carbon-free electricity to meet surging demand from data centres and artificial intelligence.
The plans come as the owner of the shuttered Three Mile Island nuclear power plant said last month it plans to restart the reactor so tech giant Microsoft can buy the power to supply its data centres. All three companies have been investing in solar and wind technologies, which make electricity without producing greenhouse gas emissions. Now they say they need to go further in the search for clean electricity to meet both demand and their own commitments to cut emissions.
Nuclear energy is a climate solution in that its reactors don’t emit the planet-warming greenhouse gases that come from power plants that burn fossil fuels, such as oil, coal and gas. The demand for power is surging globally as buildings and vehicles electrify. People used more electricity than ever last year, placing strain on electric grids around the world. Much of the demand also comes from data centres and artificial intelligence.
The International Energy Agency forecasts that data centres’ total electricity consumption could reach more than 1,000 terawatt hours in 2026, more than doubling from 2022. Estimates suggest one terawatt hour can power 70,000 homes for a year.
“AI is driving a significant increase in the amount of data centres and power that are required on the grid,” Kevin Miller, Amazon Web Services’ vice president of global data centres, told The Associated Press, adding: “We view advanced new nuclear capacity as really key and essential."
The United States is pursuing small modular reactors, a type of nuclear reactor that can generate up to roughly one-third the amount of power of a traditional reactor. Developers say small reactors will be built faster and at a lower cost than large power reactors, scaling to fit needs of a particular location. They aim to start spinning up electricity in the early 2030s, if the Nuclear Regulatory Commission gives permission to build and operate their designs and the technology succeeds.
If new, clean power isn’t added as data centres are developed, the U.S. runs the risk of “browning the grid,” or including more power that isn't made from clean sources, said Kathryn Huff, a former U.S. assistant secretary for nuclear energy who is now an associate professor at the University of Illinois Urbana-Champaign.
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