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Google and Constellation Energy form power purchase and AI alliance

Lorraine Mirabella, The Baltimore Sun on

Published in Business News

Less than a week after the owner of Calvert Cliffs nuclear plant and Amazon reached a 20-year power deal, Constellation Energy announced a similar and even bigger agreement with Google that’s expected to boost electricity supply in Maryland and other states.

A 20-year power purchase agreement with Google will allow Baltimore-based Constellation to add 890 megawatts of capacity to PJM electric grid’s footprint. Constellation, Calvert Cliffs’ owner, plans to invest more than $4.3 billion to upgrade 11 of its nuclear units in Pennsylvania, New Jersey and Illinois, the energy giant said Tuesday.

Improvements to increase generating capacity at six plants in those states will add the equivalent electric output of a single, new nuclear reactor.

Google and Constellation also reached a 15-year power purchase agreement in which the tech company will purchase 2,700 megawatts of power across the PJM grid, which includes Maryland, Washington and a dozen other states and serves 67 million people.

Under a separate five-year technology alliance, Constellation will establish an “AI for energy” blueprint with Google Cloud and Gemini Enterprise. The alliance is expected to establish next-generation grid operations that can improve affordability and resiliency.

Constellation said it hopes to use AI to reduce costs of new infrastructure, improve performance and ensure enough power is generated to meet rising demand,

Google and Constellation said they will explore ways to develop new clean-energy generation and storage across the United States to support Google’s growth. The companies said they plan to identify potential projects and policies to support clean-energy technologies.

“We’re committed to meeting our growth responsibly by actively investing in clean, reliable power that brings new capacity to our nation’s grids,” Amanda Peterson Corio, Google’s global head of energy and power, said in a statement.

 

Electricity demand is growing amid expansion of power-hungry artificial intelligence data centers, manufacturing and industrial electrification. Meanwhile. tech companies, data center developers and other large commercial customers have turned to long-term power arrangements to lock in massive and uninterrupted electricity supplies for data centers and other facilities as well as to meet aggressive carbon-free goals.

The Google agreement comes on the heels of Amazon’s plans to buy power over two decades from Calvert Cliffs Clean Energy Center in Lusby, Maryland’s only nuclear plant. As part of that deal, Constellation plans to invest $3 billion in Calvert Cliffs to boost electricity generation, renew its license to run for another 20 years and explore development of next-generation small modular reactors at the site.

“Preserving and expanding the output of the existing nuclear fleet and developing new clean generation is critical to meeting our nation’s growing energy needs while keeping costs affordable for homes and businesses,” Joe Dominguez, Constellation’s chairman, president and CEO, said in a statement.

Dominguez said he expects the collaboration with Google to become a model for how technology companies and the energy industry can “work together to responsibly develop the digital economy.”

And it can demonstrate how major power customers can expand new supplies without state or federal mandates and without passing on costs to residential customers, Constellation said.

Constellation’s work through the Google arrangement includes modernizing and upgrading turbines, steam generators, and digital control systems at operating plants. The deal is expected to create about 7,200 new construction jobs and sustain roughly 4,400 existing jobs. The first plant upgrade is expected by 2028.


©2026 The Baltimore Sun. Visit at baltimoresun.com. Distributed by Tribune Content Agency, LLC.

 

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