New York State wants more nuclear power in a big way

In a bold move to bolster its energy portfolio, New York Governor Kathy Hochul revealed plans for a significant new nuclear power facility aimed at producing at least 1 gigawatt of electricity. During a press conference, Hochul emphasized the importance of nuclear energy, stating, "If you take nuclear off the table, you have to burn more fossil fuels. That’s not going to work for us here in New York." The initiative will be spearheaded by the New York Power Authority (NYPA), which operates around two dozen power plants primarily consisting of dams and gas turbines. Although the project is still in its early stages, NYPA has yet to select a site or finalize a design for the new plant. Governor Hochul has indicated that the state will collaborate with private partners for development and financing while securing the energy produced once it is operational. Among the potential locations for this new facility are three existing nuclear plants in upstate New York, all owned by Constellation Energy. This company has actively sought partnerships with tech giants, with Microsoft and Meta already engaged in agreements. Microsoft is reviving a reactor at the infamous Three Mile Island in Pennsylvania through a $1.8 billion investment, while Meta has entered into a deal to acquire the clean energy output from the Clinton Clean Energy Center in Illinois, valued in the billions. Additionally, Amazon has recently agreed to purchase nearly 2 gigawatts of nuclear power from Talen Energy in Pennsylvania. However, the nuclear sector faces challenges; no new plants have commenced construction in the United States in over 15 years, and the last large-scale projects have encountered significant delays and cost overruns. Small modular reactors, often championed by startups, are seen as a potential solution to these issues by utilizing mass production techniques. Yet, their commercial viability remains uncertain until actual deployments take place. Hochul noted that the project's success hinges on the reform of federal regulatory and permitting processes, which have historically delayed previous large nuclear projects. As interest in nuclear energy surges—especially among technology firms and data center operators seeking reliable power sources—there appears to be a bipartisan consensus forming around the need for nuclear. Hochul warned, "If we don’t get on board, it’ll pass us by," highlighting the urgency of revitalizing the nation's aging nuclear infrastructure.