NextEra Energy has announced a major partnership with Google to bolster U.S. nuclear energy and provide a robust power source for the artificial intelligence (AI) sector.
The centerpiece of this collaboration is the planned restart of the Duane Arnold Energy Center (DAEC) in Iowa. The DAEC is the state’s sole nuclear facility, which was shut down in 2020. The 615-MW plant near Cedar Rapids is expected to be operational and delivering electricity by the first quarter of 2029. Its opening depends on necessary regulatory approvals.
Powering the AI Era With Nuclear
The ambitious project is supported by a 25-year power purchase agreement (PPA). According to the PPA, Google commits to purchasing a significant portion of the plant’s output. This deal will secure 24/7 carbon-free energy to fuel Google’s expanding cloud and AI infrastructure in Iowa.
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Simultaneously, minority owner Central Iowa Power Cooperative (CIPCO) will purchase the remaining output under the same terms. NextEra Energy will facilitate the restart by acquiring CIPCO and Corn Belt Power Cooperative’s combined 30% interest, bringing its ownership of the plant to 100%.
Restarting DAEC is a strategic necessity for the “golden age of power demand” driven by AI. The investment, enabled by Google’s PPA, will increase regional generation capacity while ensuring energy customers in Iowa do not bear the costs associated with the power purchased by Google. Additionally, NextEra Energy and Google signed a broader agreement to explore the development of new nuclear generation across the U.S.
John Ketchum, chairman and CEO of NextEra Energy, framed the announcement as a defining moment for the company and the state. “Restarting Duane Arnold marks an important milestone for NextEra Energy,” he said. “Our partnership with Google not only brings nuclear energy back to Iowa — it also accelerates the development of next-generation nuclear technology.”
According to a recently released economic study, the economic benefits of the recommissioning are substantial. The study projects that the plant’s construction will generate more than 1,600 direct, indirect, and induced jobs in Iowa. Additionally, the operational phase is expected to generate more than $340 million in annual economic output across the state.
