NextEra Energy Targets Nuclear Plant Restart Amid Tech Demand for Clean Energy

NextEra Energy, the owner of the Duane Arnold nuclear plant, has received clearance from the Federal Energy Regulatory Commission (FERC) to reconnect the plant to the electric grid. The company is targeting a return to service as early as late 2028 and expects to invest up to $100 million in 2025. The push to bring the plant back online is driven by the increasing demand for nuclear energy from major tech companies to power their data centers.

NextEra Energy has received clearance from the Federal Energy Regulatory Commission (FERC) to reconnect the Duane Arnold nuclear plant to the electric grid. The company is targeting a return to service as early as late 2028 and expects to invest up to $100 million in 2025. The push to bring the plant back online is driven by the increasing demand for nuclear energy from major tech companies to power their data centers.

The Duane Arnold nuclear plant, located near Cedar Rapids, Iowa, was shut down in 2020 due to economic reasons. NextEra Energy, the owner of the plant, has been working to restart the facility, which has a capacity of over 600 megawatts. The company is aiming to consolidate its solar interconnection agreements at Duane Arnold, which were previously divided among multiple solar farms, into a single agreement to support the recommissioning effort.

The FERC approval allows NextEra Energy to use the Midcontinent Independent System Operator’s generator replacement process to consolidate the solar interconnection agreements. The company expects to spend between $50 million and $100 million this year to recommission the plant. The restart of the plant is seen as a significant financial opportunity for NextEra, as it could help offset the loss of earnings from the phase-out of solar and wind tax credits.

The Duane Arnold nuclear plant is one of several mothballed reactors in the U.S. that are being considered for restart. The restart of these plants is seen as a sign that the nuclear industry is coming back after years of financial struggles. NextEra Energy, the largest renewable power developer in the U.S., is leading the way in this effort.

The restart of the Duane Arnold nuclear plant is expected to bring more than 600 megawatts of electricity back to the grid, equivalent to the electricity needs of more than 400,000 homes. The plant is expected to be a major source of clean, reliable power for the growing data center industry in the U.S.

NextEra Energy is working with potential customers that could buy the output from a restarted Duane Arnold. The company is also working to reinstate the plant’s operating license from the Nuclear Regulatory Commission (NRC), which includes safety reviews, environmental assessments, and public consultations. These steps could introduce potential delays in the restart process.

The restart of the Duane Arnold nuclear plant is a significant development in the nuclear industry and is expected to have a positive impact on the company's financial performance. NextEra Energy is well-positioned to capitalize on the growing demand for nuclear energy in the U.S. and is likely to see strong growth in the coming years.

References:
[1] https://www.cnbc.com/2025/09/01/nuclear-duane-arnold-nextera-nee-tech-data-center-ai.html
[2] https://www.yahoo.com/news/articles/ferc-approves-nextera-waiver-needed-093600784.html
[3] https://www.enerdata.net/publications/daily-energy-news/nextera-cleared-restart-601-mw-duane-arnold-nuclear-plant-us.html