The recent contract between the federal government’s General Services Administration and the country’s largest operator of nuclear power plants seems to be a surprising bellwether of positive changes in upgrading the resilient capacity of the U.S. power grid. The development has far reaching potential — including land-use issues and possibly even wider adoption of battery-electric power on the nation’s farms.

The 10-year, $840 million contract for 10 million megawatt-hours of electricity from Constellation means the government will be buying a significant amount of nuclear-generated energy over the period for GSA and 13 other federal agencies. In another unexpected turn in 2024 Constellation struck a deal with Microsoft to restart an undamaged nuclear reactor at Three Mile Island to power increasing demands of the digital industry.

Microsoft, Google, Meta and Amazon have all turned to nuclear-power to meet fast-rising electricity demands required by AI data centers.

Constellation officials say nuclear energy represents about 40% of the contracted power GSA is buying in the deal to power federal facilities through 2035. The company says it produces 10% of the nation’s carbon-free energy, the majority of which comes from nuclear power. It also operates hydro, wind and solar assets, as well as gas-fired power plants.

Despite years of federal “no-nukes” policy and official shuttering of nuclear power plants as they age out, along with years of widely publicized public policy favoring solar (PV photo-voltaic) and wind generation, power from nuclear fission consistently wins in “energy density” and ability to provide 24/7 resilient power to the grid.

“This agreement is a powerful example of how things change,” says Joe Dominguez, Constellation’s president and CEO. “Frustratingly, nuclear energy was excluded from many corporate and government sustainable energy procurements. Not anymore.”

He says the government contract and those with Silicon Valley support continued investment in nuclear energy that will allow Constellation to relicense and extend the lives of nuclear-generating facilities. 

We see the resurgence in interest in nuclear power as a welcome addition to an energy-hungry power grid, and view its “energy density” as a potential game changer in conflicts over land-use policy that increasingly sees thousands of acres affected by wind farms and “transmission corridors,” and projects that shade productive farm and forestland with solar collection “farms.”

Energy Density/Dependability

A recent online presentation by popular weather and climate observer, Chris Martz, uses data from the U.S. Energy Information Administration (EIA) to compare “energy density” values of zero-carbon power sources according to land-use per megawatt installed, and the capacity factor (what percentage of a year is the power capacity actually available for use).

Nuclear

He explains a standard nuclear reactor with a 1,000 megawatt (MW) rating on average requires just over one square mile – 640 acres (energy density). Over a year’s time EIA estimates for 2023 indicate that power plant would be on line 93% of the calendar year (energy capacity) — producing enough power for about 776,190 homes.

Solar

Similarly, the Solar Energy Industries Assn. (SEIA) estimates a utility-scale solar PV array requires at least 1 megawatt of installed power, which it says requires 5-7 acres of land. Martz says EIA estimates that power facility would have a capacity factor of 0.232 in the U.S., meaning it would have only operated at 100% of its rated capacity 23.2% of the 2023 calendar year.

On-Shore Wind

The rapid expansion of federally subsidized wind farms has certainly added to the potential capacity of the nation’s power grid, but Martz explains the math indicates energy density and capacity fall short of public perception.

“A single utility-scale wind turbine and related infrastructure occupies about 80 acres of land, and each turbine is rated at 2.5 MW,” he explains. “A 1,000 MW wind farm would require about 400 2.5 MW turbines scattered over 32,000 acres.”

EIA estimates wind power had a capacity factor of 0.332 in 2023, meaning utility-scale wind farms operated at full power capacity for 33.32% of calendar year 2023.

“To power the same number of homes as a 1,000 MW nuclear power plant Solar PV would require 4,000 MW of installed power (equivalent to 4 nuclear facilities) and 24,000 acres of land,” Martz explains. “For wind, about 2,800 MW of installed power (equivalent to 2.8 nuclear facilities) would be needed, along with 89,600 acres of land.” 

The Farm Takeaway?

While accounts abound of solar arrays co-existing with small livestock operations and “weed patches” outside traffic areas of grain storage installations, the solar industry largely sees all farmland as “open space” that needs to be covered with PV arrays. In Michigan, state agencies recently approved a 420-acre clearing of public timber for a solar “farm” permanently removing carbon sequestering trees that filter the air with generation technology that strains to reach 20% efficiency under ideal conditions.

In Oklahoma, residents recently mounted an outcry that staved off a project that would have created an 18-mile-wide swath from the Panhandle half-way across the state to the east for a “transmission corridor” to link wind farms with coastal power customers in the Southeast. Critics cited the ultimate use of eminent domain to complete the corridor, and numerous state and county officials organized to say "No."

So, land-use issues in agriculture country are a problem for wind and solar and Martz’s math shows why.

On the brighter side, the more 24/7 nuclear-generated power becomes available, the potential for expanded dependable use of emerging battery technology on the farm is unveiled. The growth of electric power capacity will help rural areas modernize infrastructure, and likely adopt more emerging robot and battery-powered equipment. It will be a case of the “Chicken or Egg” quandary, however.

Supply and demand must go hand in hand in expanding the U.S. economy through multiple power sources, but for too long policy makers have been picking and choosing winners at the expense of the most efficient of those in the race. A resurgence of nuclear contracts such as that of GSA and Constellation indicates a significant sea change is afoot.