Nuclear power is clean, reliable, and affordable. Increasing our use of this power source is key to building an American future powered by abundant, reliable, and cleaner energy. The federal government is launching a significant effort to transition its buildings to nuclear power, inking a billion-dollar deal with Constellation Energy.
The U.S. General Services Administration (GSA) awarded Constellation Energy more than $1 billion in combined government contracts to provide nuclear power to 80 federal facilities representing more than 13 federal agencies. The contracts will be valid for the next 10 years. This deal marks the biggest energy purchase in GSA history.
“For many decades, Constellation’s nuclear fleet has provided carbon-free, reliable, American-made energy to millions of families and institutions,” explained Joe Dominguez, Constellation President and CEO. “Frustratingly, however, nuclear energy was excluded from many corporate and government sustainable energy procurements. Not anymore. This agreement is another powerful example of how things have changed.”
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Constellation Energy is the largest nuclear power provider in the country, owning more than 20 nuclear reactors. The energy company’s contracts with the GSA will provide more than 1 million annual megawatt hours to the government. To put that figure in context, that much energy could power one average American home for over 3,250 years. The federal government is the largest energy consumer in the United States, so 1 million annual megawatt hours will only cover a fraction of the power it uses this year.
Through the contracts, Constellation will provide electricity to agencies, including the Social Security Administration, the Army Corps of Engineers, the Department of Veterans Affairs, the Department of Transportation, the U.S. Mint, the Federal Bureau of Prisons, the National Park Service, the National Oceanic and Atmospheric Administration, and more.
While many want to shrink the federal government’s size and footprint, the government is the single largest energy consumer in the United States. These buildings consume electricity on the taxpayers’ dime. Expanding federally procured nuclear power benefits taxpayers due to its affordability and reliability. It’s also good for the planet, making it an excellent energy source for many reasons.
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“This historic procurement locks in a cost-competitive, reliable supply of nuclear energy over a 10-year period, accelerating progress toward a carbon-free energy future while protecting taxpayers against future price hikes,” stated GSA Administrator Robin Carnahan. “We’re demonstrating how the federal government can join major corporate clean energy buyers in spurring new nuclear energy capacity and ensuring a reliable, affordable supply of clean energy for everyone.”
The contracts between the GSA and Constellation will begin in April. While the market is the best driver of nuclear innovation and expansion, having the nation’s largest power consumer transition to this cleaner energy source will also help encourage nuclear growth while likely saving taxpayers some money.
The views and opinions expressed are those of the author’s and do not necessarily reflect the official policy or position of C3.
