Nuclear Fallout: What Meta’s Nuclear Deal Means For The Future Of Clean Energy And AI

Nuclear Fallout: What Meta's Nuclear Deal Means For The Future Of Clean Energy And AI

Meta's recent agreement with energy provider Constellation marks a pivotal shift in corporate clean energy strategy. The tech giant has signed a 20-year power purchase agreement (PPA) for 1,121 megawatts of electricity from the Clinton nuclear plant in Illinois, set to begin in 2027. The deal ensures the plant's continued operation through 2047, well beyond the expiration of state-level Zero Emission Credits. In doing so, Meta will become a de facto underwriter of a legacy nuclear asset, substituting public subsidy for private capital. Here's what this deal tells us about the evolving energy landscape:

• Nuclear is making a comeback, thanks to AI.
  Long sidelined due to high costs and public scepticism, nuclear power is being re-evaluated as a strategic clean energy source. Its ability to deliver round-the-clock, zero-carbon electricity makes it uniquely suited to power AI data centres that require stable, high-volume supply. Other tech giants - including Microsoft, Amazon and Google - have also begun securing nuclear PPAs, highlighting a broader shift among hyperscalers toward clean, consistent power to support AI and cloud infrastructure.
  
  
• Hyperscale firms are grabbing all the clean energy they can.
  Meta's deal reflects an urgent race among Big Tech to secure any form of carbon-free energy: solar, wind, geothermal or nuclear. The focus has shifted from only adding new capacity to locking in reliability, even if that means buying up entire existing plants. Indeed, Amazon, Google and Meta were three of the top four largest procurers of PPAs in 2024.
  
  
• Smaller buyers risk being priced out.
  When firms like Meta can secure over 1,100MW in a single transaction, it underscores how hyperscalers are increasingly able to outbid smaller firms for scarce clean energy resources. Without the financial leverage or creditworthiness to sign long-term contracts, many smaller businesses are left with fewer options. Instead, they are often left relying on unbundled RECs or short-term offsets that offer limited decarbonization impact and lower credibility. However, the market is starting to adapt. New, more flexible PPA models are emerging to improve access for smaller buyers through aggregation, shorter terms or innovative risk-sharing structures (see Verdantix Market Overview: Demystifying Corporate Power Purchase Agreements).
  
  
• Corporate buyers are using PPAs to actively shape the grid.
  Meta's recent move isn't just a procurement agreement, it's a financial guarantee that allows an aging nuclear plant to stay online. Corporate PPAs are no longer just about greening the energy mix; they're becoming instruments to underwrite legacy assets and shape the long-term grid. Through PPAs, Big Tech vendors are able to direct capital towards specific outcomes, in effect transforming the grid to fit their own purposes.
  
  

This deal is a clear signal: the energy transition is accelerating, but access may not be equal. Hyperscalers like Meta are not just adapting to the energy market - they're starting to define it.