Amazon has signed a new long-term power purchase agreement (PPA) with Talen Energy to supply up to 1,920 megawatts of carbon-free nuclear energy to power its AI and cloud data centers in Pennsylvania. The expanded agreement will draw electricity from Talen’s Susquehanna nuclear plant and includes plans to explore deployment of new Small Modular Reactors (SMRs) and potential plant uprates to add new capacity to the PJM grid.
The full 1,920 MW delivery is scheduled to ramp by 2032, with the potential for acceleration, and will run through at least 2042. The deal transitions from a co-located load arrangement to a front-of-the-meter supply, with Susquehanna feeding power into the grid and Talen acting as retail supplier. PPL Electric Utilities will provide transmission and delivery after upgrades complete in 2026. Talen said this long-term arrangement reduces market risk and reliance on federal tax credits, while Amazon called it part of its $20 billion investment in Pennsylvania’s AI infrastructure.
Beyond the PPA, Amazon and Talen will jointly explore opportunities to deploy new SMRs at Talen’s Pennsylvania sites. The move signals growing interest in nuclear as a long-term, carbon-free power source for energy-hungry AI workloads. Pennsylvania leaders welcomed the deal as a driver of local jobs, energy modernization, and enhanced AI competitiveness for the region.
- Amazon contracts for up to 1,920 MW of nuclear power through 2042
- Supply ramps by 2032, could accelerate, with future extension options
- Talen and Amazon to explore deploying SMRs and plant uprates
- Talen to supply power via PJM grid under new retail arrangement
- $20B Amazon investment in PA AI data center campus includes 1,250 new jobs
- PPL Electric to upgrade transmission by 2026 to support delivery
- Supports more than 900 jobs at Susquehanna plant, plus new construction jobs
- Talen operates 10.7 GW of U.S. generation, including 2.2 GW nuclear
“Talen is well-positioned to support Amazon’s energy needs as it invests further in the Commonwealth of Pennsylvania,” said Talen President and CEO Mac McFarland.