The U.S. Department of Energy has closed a loan of up to $1.9 billion to NextEra Energy to help restart Iowa's only nuclear power plant, adding another 615 MW of firm generation as electricity demand grows across the Midwest.
The Duane Arnold Energy Center in Linn County ceased operations in 2020 after 45 years of service. NextEra is now working to return the boiling water reactor to service in early 2029, pending required approvals from the U.S. Nuclear Regulatory Commission.
The restart will require facility modernization, equipment maintenance and upgrades, refueling and other work needed to resume generation. DOE estimates the project will support roughly 1,500 jobs during construction and more than 450 permanent jobs once the plant returns to operation.
The project also has a direct connection to rising data center demand. Google has signed a 25-year agreement to purchase power from the plant, with Duane Arnold ultimately supplying its 615 MW into the MISO grid.
Duane Arnold is part of a broader push to bring retired U.S. nuclear capacity back online rather than relying solely on new generation construction. DOE has also provided federal financing for the restart of Holtec's Palisades plant in Michigan, while Constellation is pursuing the restart of a reactor at Three Mile Island in Pennsylvania.
For utilities and grid operators, the Duane Arnold project demonstrates the growing value of existing nuclear sites as demand accelerates. Restarting a retired reactor still requires significant investment and regulatory approval, but it offers another pathway for adding hundreds of megawatts of around-the-clock generation without developing an entirely new power plant site.