Amazon Joins Tech Giants in Nuclear Energy Push

Amazon has become the latest technology company to commit to nuclear energy, signing agreements to develop nuclear power projects that aim to meet the growing energy demands of its data centres.

The e-commerce giant has signed three significant agreements related to the development of nuclear energy projects. These agreements involve supporting the construction of several small modular reactors (SMRs), which will be developed by Energy Northwest, a consortium of public utilities in Washington.

In addition, Amazon has entered into a partnership in Virginia with Dominion Energy to work on an SMR project close to an existing nuclear power station operated by Dominion.

Amazon is also investing in X-energy, a startup focused on nuclear reactors and fuel technology. The designs created by X-energy will be utilized in the Energy Northwest project.

According to Amazon, the SMRs being built by Energy Northwest are projected to produce approximately 320 megawatts (MW) of capacity during the project's initial phase, with potential expansion to a total of 960 MW. This output could supply power to as many as 770,000 homes across the United States. The deal with Dominion Energy is expected to contribute at least 300 MW of power to its service area.

Matt Garman, the CEO of Amazon Web Services, emphasized that these agreements are set to promote the advancement of new nuclear technologies. He stated, "Nuclear is a safe source of carbon-free energy that can help power our operations and meet the growing demands of our customers, while also assisting us in our goal to achieve net-zero carbon across our operations by 2040."

Amazon's recent moves align with similar initiatives from other major tech companies, which are also investing in nuclear energy to meet the energy requirements of data centres, especially in light of the increasing demands brought on by the AI revolution. For instance, Google recently declared its commitment to purchase nuclear energy from SMRs, which are set to be produced by Kairos Power as part of efforts to enhance the clean energy transition in the U.S.

Moreover, last month, Microsoft announced a deal for the reopening of Three Mile Island, a nuclear power plant located in Pennsylvania, infamous for being the site of the worst nuclear disaster in U.S. history.

Despite being labeled as a clean and efficient energy source, nuclear power is often associated with significant global disasters like Chernobyl and Fukushima. Concerns about safety are coupled with practical challenges such as high costs and long development timelines. According to Amazon, its nuclear projects are expected to begin meeting energy needs by the early 2030s. However, it should be noted that no operational SMRs are currently available in the U.S.

Additionally, while nuclear power is considered a low-carbon energy source, it relies on limited resources like uranium, thus not qualifying as a renewable energy option. The process of nuclear energy generation also produces long-lived radioactive waste, posing potential risks to human health and the environment.

Amazon, Nuclear, Energy