Listen to this story:
|
- Long-Term Carbon-Free Energy: Amazon to receive 1,920 MW of nuclear energy through 2042 from Talen’s Susquehanna plant to power AWS data centers.
- SMR Exploration: Talen and Amazon will evaluate development of Small Modular Reactors (SMRs) and nuclear plant uprates in Pennsylvania.
- Statewide Economic Boost: $20B Amazon investment expected to create 1,250 jobs and accelerate energy infrastructure modernization.
Amazon has expanded its nuclear energy partnership with Talen Energy, securing 1,920 megawatts of carbon-free power to support its growing AI and cloud infrastructure needs. The electricity will be sourced from Talen’s Susquehanna nuclear plant and delivered under a long-term power purchase agreement (PPA) through 2042, with potential for extension.
Talen President and CEO Mac McFarland called the agreement a “long-term, steady source of revenue,” adding, “We remain a first mover in this space and intend to continue to execute on our data center strategy. Talen is well-positioned to support Amazon’s energy needs as it invests further in the Commonwealth of Pennsylvania.”
The deal also sets the stage for future innovation, as Amazon and Talen will explore the deployment of Small Modular Reactors (SMRs) and capacity expansion at Susquehanna. These initiatives aim to inject new clean energy into the PJM grid, reinforcing Pennsylvania’s energy independence.
Amazon’s $20 billion investment in the state—the largest private sector commitment in its history—will create 1,250 high-skilled jobs. “Amazon is proud to help Pennsylvania advance AI innovation through investments in the Commonwealth’s economic and energy future,” said Kevin Miller, AWS VP of Global Data Centers.
The current co-located power arrangement will shift to a “front-of-the-meter” setup after a transmission reconfiguration in Spring 2026. From then, Susquehanna’s nuclear output will feed directly into the PJM grid, with PPL Electric Utilities managing transmission.
“Connecting large load customers like data centers to our transmission system helps lower the transmission component of energy bills for all customers,” said Christine Martin, president of PPL Electric Utilities.
RELATED ARTICLE: Amazon AWS Achieves 53% Progress Toward 2030 Water Positive Goal
Policymakers welcomed the deal as a catalyst for energy and economic growth:
“This partnership… will power the largest economic development project in Commonwealth history,” said Pennsylvania Governor Josh Shapiro. “We stand ready to work with Talen Energy and its partners to review permits for this project as efficiently as possible.”
“Our communities will benefit not only from economic development but from the Susquehanna plant’s role as a major employer,” said U.S. Representative Dan Meuser (R-PA).
“Our members, friends, and families all benefit from the jobs and community growth this investment… will bring,” noted IBEW Local 1600.
With over 900 jobs supported at Susquehanna and a pipeline for future employment, Amazon and Talen’s nuclear alliance signals a new chapter in Pennsylvania’s clean energy and tech future.
Follow ESG News on LinkedIn