DOE backs Iowa nuclear plant restart with $1.9 billion loan for Google power deal
NextEra Energy has secured a $1.9 billion loan from the US Department of Energy to support the planned restart of Iowa’s shuttered Duane Arnold Energy Center, according to Engadget. The nuclear plant is located in Linn County.
Engadget reports that Duane Arnold is a 615-megawatt facility and that Google is set to purchase power from the restarted plant for its AI data centers. This is not a consumer technology rollout: NextEra receives the financing, while Google is the confirmed purchaser tied to the plant’s future output.
The operator plans to resume energy production by 2029, the outlet says. The reported loan advances that restart plan, although its terms, disbursement schedule and closing conditions were not specified. The report also does not detail how much of Duane Arnold’s output Google will buy.
Duane Arnold has been offline since August 10, 2020. Engadget reports that a tropical storm carrying gusts of up to 140 mph knocked down the facility’s cooling towers; the plant had already been due for decommissioning.
The interesting detail here is the change in purpose. A facility headed toward decommissioning is now being positioned as power infrastructure for AI computing as well as the local grid. NextEra said last year that bringing it back would strengthen local grid reliability and create thousands of direct and indirect jobs, according to Engadget.
Duane Arnold also fits into a wider DOE plan. Engadget reports that the department intends to restart three mothballed power plants to supply both the grid and AI data centers. For this Iowa facility, the newly secured $1.9 billion loan puts substantial federal financing behind NextEra’s targeted 2029 return to production.
