Amazon Signs Agreements For Nuclear Energy Projects
In 2019, Amazon set a goal to match all the electricity consumed across its global operations — including data centers, corporate buildings, grocery stores, and fulfillment centers — with 100% renewable energy by 2030. It achieved the goal in 2023 by becoming the largest corporate purchaser of renewable energy in the world for four years running, according to Bloomberg NEF, and have invested billions of dollars in more than 500 solar and wind projects globally, which together, can generate enough energy to power the equivalent of 7.6 million US homes.
(Image courtesy of Amazon)
Even after hitting its 2030 goal seven years ahead of schedule, Amazon is continuing to invest in renewables while also finding additional sources of carbon-free energy that can both help power its operations and bring new sources of energy to the grid. Amazon said that it is making nuclear power one part of that mix. Nuclear energy can be brought online at scale and has a decades-long record of providing a reliable source of safe carbon-free energy for communities around the world.
Amazon is announcing the signing of three new agreements to support the development of nuclear energy projects—including enabling the construction of several new Small Modular Reactors (SMRs). SMRs are an advanced kind of nuclear reactor with a smaller physical footprint, allowing them to be built closer to the grid. They also have faster build times than traditional reactors, allowing them to come online sooner.
“Nuclear is a safe source of carbon-free energy that can help power our operations and meet the growing demands of our customers, while helping us progress toward our Climate Pledge commitment to be net-zero carbon across our operations by 2040,” said Matt Garman, chief executive officer of Amazon Web Services (AWS). “One of the fastest ways to address climate change is by transitioning our society to carbon-free energy sources, and nuclear energy is both carbon-free and able to scale—which is why it’s an important area of investment for Amazon. Our agreements will encourage the construction of new nuclear technologies that will generate energy for decades to come.”
Developing New Sources Of Nuclear Power With Small Modular Reactors
In Washington, Amazon’s agreement with Energy Northwest, a consortium of state public utilities, will enable the development of four advanced SMRs. The reactors will be constructed, owned and operated by Energy Northwest, and are expected to generate roughly 320 megawatts (MW) of capacity for the first phase of the project, with the option to increase to 960 MW total—enough to power the equivalent of more than 770,000 US homes. These projects will help meet the forecasted energy needs of the Pacific Northwest beginning in the early 2030s.
Amazon is also making an investment in X-energy, a developer of next-generation SMR reactors and fuel. X-energy’s advanced nuclear reactor design will be used in the Energy Northwest project. The investment includes manufacturing capacity to develop the SMR equipment to support more than five GW of new nuclear energy projects utilizing X-energy’s technology.
In Virginia, Amazon signed an agreement with utility company Dominion Energy to explore the development of an SMR project near Dominion’s existing North Anna nuclear power station. This will bring at least 300 MW of power to the Virginia region, where Dominion projects that power demands will increase by 85% over the next 15 years.
Amazon also previously signed an agreement to co-locate a data center facility next to the Talen Energy’s nuclear facility in Pennsylvania, which will directly power our data centers with carbon-free energy, and helps preserve this existing reactor.
(Image courtesy of Amazon)
Investing In Local Communities
In addition to creating and preserving sources of carbon-free energy, Amazon’s investments in nuclear energy projects are expected to provide an economic boost for the local communities in which they reside. The company’s agreement with Energy Northwest is expected to support up to 1000 temporary construction jobs and as many as 100+ permanent jobs once the SMR project is fully operational, according to Energy Northwest.
In Pennsylvania, Amazon is building a data center campus as part of its investment in Talen Energy, and that project will create construction jobs and bring upgrades to local utility infrastructure. The investment will also help preserve the 900 local jobs that are already there to keep the facility up and running, according to Talen Energy.
