Google has secured a $1.9 billion loan from the U.S. Department of Energy to revive a dormant nuclear power plant in Iowa, part of a broader push by tech giants to secure clean and reliable energy for their data centers. The loan comes as utilities struggle to meet the soaring electricity demands of AI and other tech advancements.

James Danly, Deputy Secretary of Energy, highlighted the potential for reduced electricity costs, though the exact mechanisms remain unclear. The restarted plant is expected to generate 50 megawatts for the local power cooperative, covering nearly 18% of Iowa’s demand growth since 2021. Meanwhile, NextEra Energy plans to build up to six data centers nearby, leveraging the plant’s refurbished capacity.

Other tech firms have also sought to repurpose old nuclear plants. Microsoft agreed to restart a reactor at Three Mile Island, while Meta secured a deal with Constellation Energy to keep the Clinton Clean Energy Center operational. These moves underscore the growing appeal of nuclear power as a clean, firm energy source in the face of fluctuating energy markets and increasing energy demands.

The Duane Arnold Energy Center, once mothballed due to cheaper natural gas, is set to undergo refurbishment, adding 14 megawatts to its capacity. Together, these plants represent a strategic opportunity for both tech companies and utilities to meet the surging energy needs of the digital age while aiming for greater sustainability.