Thematic Spotlight: The US Government Goes Nuclear

The US General Services Administration (GSA) has inked a record-breaking contract with Constellation Energy to supply nuclear power to a collection of US government facilities.¹ The deal, which spans 10 years and awards ~US$1 billion, is the biggest energy purchase in the history of the GSA. It requires Constellation Energy to provide an estimated 10 million MWh of electricity to roughly 80 federal complexes, as well as improve the energy efficiencies of those facilities.² Commenting on the arrangement, Robin Carnahan, Administrator of the GSA, says it demonstrates that “the federal government can join major corporate clean energy buyers in spurring new nuclear energy”.³ The US federal government operates more than 300,000 buildings and 600,000 vehicles, making it the nation’s largest energy consumer.⁴

While impressive on its own, Constellation’s new contract is also an important marker for the growing acceptance of nuclear power. For decades, nuclear has been excluded from corporate and government’s clean energy procurement due to safety and concerns over waste management. However, a deal of this scale by the US government, combined with the recent surge in investments by tech giants, marks a clear turnaround in attitude. Last September, Constellation signed a 20-year power purchase agreement with Microsoft that will see the Three Mile Island nuclear facility restarted.⁵ That deal was also symbolic due to Three Mile Island’s reputation as the site of the worst nuclear power plant incident in US history.⁶

As technologies like EVs and Artificial Intelligence drive higher power demands on the grid, adopting new low-carbon energy sources has become more critical than ever. Looking ahead, opportunities in the nuclear power value chain may emerge as corporate initiatives and government support gain attention, driving further investment.

Access nuclear power with ATOM.

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