The US has finalized its first climate-focused energy deal featuring nuclear power. To this extent, $1 billion in combined contracts to ensure clean energy delivery for a decade have been inked.
As part of the deal, Constellation secured a 10-year, $840 million contract, the largest in US General Services Administration (GSA) history, to deliver over 1 million megawatt-hours annually starting in 2025.
The contract will result in the Baltimore-based firm supplying power to over 13 federal agencies. Additionally, Constellation will implement energy-saving and conservation measures at five GSA-owned facilities in the National Capital Region.
“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,” said Robin Carnahan, GSA Administrator, in a statement.
In December, Constellation announced that its pilot program in Washington, DC, is set to offer 100 percent nuclear energy for homes, with plans to expand in 2025.
Clean power expansion
Constellation, the largest nuclear energy operator in the US, reports a 90 percent carbon-free annual output. Its nuclear facilities achieved a 94.4 percent capacity factor in 2023.
Alongside hydro, wind, and solar assets, the company’s operations can generate enough energy to power 16 million homes, supplying approximately 10 percent of the nation’s clean energy.
Historically excluded from many corporate and government sustainable energy initiatives, nuclear energy is now gaining recognition. Under a new agreement, the US government, alongside major corporations like Microsoft, is supporting investment in nuclear energy, enabling Constellation to relicense and extend the life of critical assets.
Combined with the previously announced Crane restart, Constellation and its partners aim to add approximately 1,100 MW of continuous clean energy by 2028, enough to power over one million homes.
Starting April 25, new GSA contracts will supply over 10 million megawatt-hours of electricity over 10 years, enough to power more than 1 million homes annually.
The energy will serve 80 federal facilities within the PJM Interconnection, a regional grid operator covering over 65 million people. Recipients include the US Department of Transportation, the Federal Reserve Board of Governors, and the Army Corps of Engineers.
Energy efficiency boost
Constellation has also secured a $172 million Energy Savings Performance Contract to enhance energy efficiency at five GSA-owned facilities in the National Capital Region.
The upgrades will include LED lighting, weatherization, window inserts and replacements, and modernized HVAC and building control systems. These measures aim to improve energy efficiency, reduce emissions, and lower energy costs at the Elijah Barrett Prettyman US Courthouse, the William B. Bryant Annex, the Orville Wright Federal Building, the Wilbur Wright Federal Building in Washington, DC, and the Harvey W. Wiley Federal Building in College Park, MD.
In Washington, DC, four buildings will transition from steam power to electricity through the installation of electric boilers and heat pumps, marking a significant step in energy conservation.