Bring Your Own Power | Google Funds 890 MW of Nuclear Uprates in PJM

GOOGL contracted for 3,590 MW of power from CEG in PJM, the largest U.S. power market, with new nuclear capacity accounting for about a quarter of the total, the companies said Oct. 6. A 20-year power purchase agreement covers 890 MW of incremental capacity from uprates at 11 CEG-owned nuclear units in Illinois, Pennsylvania and New Jersey. The agreement will support more than $4.3 billion of investment, with the first uprated plant expected online in 2028. Under a separate 15-year agreement, CEG will supply 2,700 MW from its PJM fleet. The power is not tied to a specific source, and GOOGL said the agreement provides long-term revenue certainty for CEG’s operating plants. The arrangement responds to PJM’s “bring your own power” proposal, which would expose large new loads without sufficient supporting capacity to curtailment during grid emergencies.

Nuclear uprates have emerged as the fastest route to firm capacity, and deals are stacking up. AMZN and CEG agreed Sept. 30 to a 20-year, 690 MW contract at the Calvert Cliffs Clean Energy Center in Maryland. The deal supports more than $3 billion of investment, including an uprate expected to add about 190 MW between 2030 and 2032. Days later, the U.S. Department of Energy announced a conditional loan commitment of up to $4.2 billion for uprates and modernization at VST’s Beaver Valley, Davis-Besse and Perry plants. The projects would add 433 MW and preserve nearly 4 GW of baseload capacity in PJM. Hyperscaler offtake and federal financing are supporting more output and longer operating lives at existing reactors without requiring new plants.

CEG was the obvious counterparty. Enverus Intelligence® Research previously measured uncontracted nuclear capacity across independent power producers and sorted it into five tiers. CEG held more than 20 GW, about seven times VST’s roughly 3 GW, including nearly 8 GW in Tier 1 (Figure 1). Calvert Cliffs ranked first, and AMZN contracted with the plant about two months later.

The deal lands in a market short on capacity and long on load. Rising electricity demand, driven largely by data center expansion, has contributed to a more than 11-fold increase in PJM capacity prices since 2024 and left the grid with a power shortfall. CEG previously agreed to restart the Crane Clean Energy Center, formerly Three Mile Island Unit 1, for MSFT data centers, while GOOGL contracted to restart NEE’s Iowa nuclear plant. CEG shares closed Oct. 6 at $300.40, up 12.25%. The companies also established a framework that could be replicated for generation, battery storage and demand-response resources elsewhere in the U.S.

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Upcoming Events

• Roadshow | Supply Chain, Power | Oct. 13 | San Francisco, Los Angeles

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• Webinar | Get the scoop on ERCOT, SPP, MISO, PJM, NYISO, ISONE, CAISO and Mid-C this winter. | Oct. 19 Oct. 20 Oct. 21. Oct 22

Top Three Takeaways:

1: What does the GOOGL and CEG deal include for nuclear uprates in PJM?

GOOGL contracted for 3,590 MW of power from CEG in PJM, with new nuclear capacity accounting for about a quarter of the total. A 20-year power purchase agreement covers 890 MW of incremental capacity from uprates at 11 CEG-owned nuclear units in Illinois, Pennsylvania and New Jersey. The agreement will support more than $4.3 billion of investment, with the first uprated plant expected online in 2028. A separate 15-year agreement covers 2,700 MW from CEG’s PJM fleet.

2: Why are nuclear uprates becoming the fastest route to firm capacity?

Hyperscaler offtake and federal financing are supporting more output and longer operating lives at existing reactors without requiring new plants. AMZN and CEG agreed Sept. 30 to a 20-year, 690 MW contract at the Calvert Cliffs Clean Energy Center in Maryland. The U.S. Department of Energy also announced a conditional loan commitment of up to $4.2 billion for uprates and modernization at VST’s Beaver Valley, Davis-Besse and Perry plants further out.

3: Why was CEG the obvious counterparty for hyperscaler nuclear deals in PJM?

Enverus Intelligence® Research measured uncontracted nuclear capacity across independent power producers and sorted it into five tiers. CEG held more than 20 GW, about seven times VST’s roughly 3 GW, including nearly 8 GW in Tier 1. Calvert Cliffs ranked first, and AMZN contracted with the plant about two months later.