Cooling towers at the former Three Mile Island Nuclear power plant during a tour by Constellation Energy in Londonderry Township, Pennsylvania, U.S., June 25, 2025.
U.S. power demand has begun increasing for the first time in about twenty years, driven by emerging technologies including artificial intelligence. Nuclear energy, which produces electricity with low carbon emissions, has become an option for companies seeking uninterrupted power supply to operate large-scale computing facilities. Some observers continue to note challenges related to long-term storage of radioactive materials.
Greg Beard, head of the Energy Department’s Loan Programs Office, said the restart would contribute to the PJM regional grid. He stated: "This type of energy is important because it's large, stable, affordable base load power." According to Constellation, the federal loan will help reduce financing costs and attract additional private investment to bring the unit back online.
Beard said the Loan Programs Office has more than $250 billion in available capital and added: "A large portion of that we expect to be deployed to help reinvigorate the large-scale nuclear reactor development." Energy Secretary Chris Wright also said this month that most of the office’s funding would be directed toward nuclear initiatives.
Constellation moved its planned restart date forward to 2027 in June after PJM accelerated its review of the project’s grid connection. The company reported that it has hired hundreds of workers, carried out infrastructure inspections and ordered major reactor equipment. Upcoming tasks include refurbishing cooling towers, installing a main power transformer and completing fuel loading before electricity production begins.
Beard noted that this was the first time the Loan Programs Office confirmed that a company had met all conditions for a loan and finalized it on the same day. He explained that Constellation is guaranteeing the loan, a structure designed to reduce taxpayer exposure if the project encounters difficulties.
Beard described Constellation as an “investment-grade” nuclear operator capable of securing private financing but said the federal government intends to support “affordable, reliable, stable, secure energy in the U.S., as directed by President (Donald) Trump.” The project also requires approvals from the U.S. Nuclear Regulatory Commission and additional water-related permits.
