For a data center that needs nuclear power on a nearer-term schedule, buying from an operating plant—or evaluating a restart—has a more established generation path than waiting for a new small modular reactor (SMR). An SMR may offer a smaller unit and more siting flexibility, but licensing, construction, fuel supply, first-project costs, and delivery timing remain material uncertainties. Neither option guarantees power to a particular data center: the contract, grid connection, site, and schedule determine what can actually be delivered.
What the comparison means for a data center
“Existing nuclear” can mean purchasing electricity or capacity from an operating plant, negotiating a direct connection or co-location arrangement, or relying on a retired unit that must be restarted. Those are different projects. An operating plant already generates electricity; a restart still requires investment and approvals. An SMR, by contrast, is a new-build project that must complete licensing, construction, commissioning, and fuel arrangements before it can supply a data center.
The practical choice is therefore not simply a reactor-size comparison. It is whether a specific site can secure an acceptable supply arrangement on its required timeline, at an acceptable cost and with a workable grid and regulatory setup.
How the options compare
| Question | Operating plant or restart | Small modular reactor |
|---|---|---|
| Readiness | Operating plants already produce electricity. A retired unit needs investment, licensing, and approvals before returning to service. | Multiple designs are in development. A proposed unit should not be treated as commercially available supply until it is licensed, built, commissioned, and supplied with fuel. |
| Typical unit scale | The U.S. Energy Information Administration (EIA) describes typical large-scale nuclear designs as 550–1,500 MW per unit. | EIA describes SMRs as about 300 MW per unit or less. |
| Delivery route | A data center might contract through a power purchase agreement (PPA), a capacity agreement, or a possible co-location arrangement. The contract and grid design determine what is delivered. | A new project must complete development, licensing, construction, commissioning, and fuel arrangements before delivery. |
| Siting | An existing plant site has a history of industrial use and grid connection, but available generation and transmission access must be checked for the particular project. | Smaller units and factory-assembled components are intended to broaden siting options. Site suitability, cooling, security, licensing, and grid connection still matter. |
| Cost and schedule | A purchase from an operating facility avoids building a wholly new reactor, but contract terms, transmission, remaining plant life, and any restart investment can affect cost and timing. | Factory production and modular construction may improve cost or schedule at scale. First deployments can be expensive, and no universal time or price advantage is established. |
| Fuel and waste | Commercial plants commonly use low-enriched uranium. Spent fuel still requires storage and a disposal pathway. | Fuel needs vary by design; some advanced designs may require high-assay low-enriched uranium (HALEU) or other supply arrangements. Spent fuel and waste management remain relevant. |
What existing-plant deals show—and do not show
Data center procurement from existing nuclear generation is already occurring. EIA reported that AWS contracted for 960 MW of capacity from Talen’s Susquehanna plant. It also reported a 20-year PPA between Constellation and Microsoft tied to a planned restart of Three Mile Island Unit 1.
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Those examples show that large nuclear-related agreements can be part of data center power procurement; they do not establish that the same arrangement is available to another buyer or site. Contracted capacity is not the same as annual energy consumed. A buyer needs to understand the contract’s delivery profile, volume, duration, price structure, and relationship to the plant’s output and the grid.
The Three Mile Island agreement was associated with a planned restart that EIA said in its 2024 reporting required major investment and approvals, with a target of sometime in 2028 at that time. That was a publication-time target, not confirmation of the unit’s status or a current delivery date. A procurement decision should use a verified project schedule and approval status rather than rely on that historical target.
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SMR flexibility is an opportunity, not a schedule guarantee
The intended SMR advantages are smaller units, factory assembly of components for shipment to sites, the possibility of adding capacity incrementally, and a wider range of potential sites. These features could suit a data center that wants to match new generation to staged load growth. They do not, on their own, show that a particular reactor can be licensed, financed, built, and connected faster or more cheaply than an alternative.
The U.S. Department of Energy (DOE) has emphasized that initial deployments can be expensive and that licensing, demonstration, and deployment take years. Until a project has a defined design, licensing path, financing, construction plan, fuel arrangement, and grid connection, its proposed capacity and delivery date should be treated as a development case rather than firm power supply.
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Existing sites may host new reactors, too
The distinction is not always “existing plant” versus “new reactor at a new location.” In a preliminary analysis announced September 9, 2024, DOE identified 41 operating or recently retired nuclear plant sites with room to host reactors. DOE estimated that the assessed sites could accommodate more than 60 GW of additional capacity using large light-water reactors, or 95 GW using smaller 600-MWe advanced reactors.
Those are site-screening estimates, not approved, financed, or under-construction projects. They indicate potential siting opportunities, not a supply commitment to a nearby data center. In a separate 2026 update, DOE reported a plan for six uprates at Hatch, Vogtle, and Farley that together would add 345 MW of planned baseload capacity. That figure describes the reported uprate plan, not a general amount of capacity available from existing plants.
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Grid connection can matter as much as reactor choice
A PPA is a commercial arrangement and does not, by itself, require the data center to sit beside the plant or use electricity at the exact moment it is generated. The actual delivery depends on the agreement and applicable grid arrangements.
Direct connection or behind-the-meter supply can change how power flows through the grid, but it raises questions about transmission access, metering, reliability, and who pays for shared infrastructure and grid services. The effects on utilities and other customers depend on the design and regulatory decisions. Co-location may reduce some transmission needs in a given project, but it does not automatically make the facility independent of the grid or settle cost allocation.
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Questions to resolve before choosing a path
- Define the load and deadline. Specify expected demand, growth stages, reliability needs, and the date by which each tranche of power must be available. Compare those needs with an operating plant’s deliverable supply or a new project’s documented milestones.
- Identify what is actually being bought. Establish whether the offer is energy, capacity, or another contractual product; how delivery is measured; and how much risk remains with the buyer if the plant or project is delayed or produces less than planned.
- Verify the site and grid route. Determine whether power is delivered through the grid, through a direct connection, or behind the meter. Confirm transmission capacity, interconnection requirements, metering, reliability obligations, and the allocation of infrastructure costs.
- Test project maturity. For an operating plant, confirm available output, contractability, plant-life assumptions, and any planned outages. For a restart or SMR, verify licensing and approval status, financing, construction and commissioning milestones, and the fuel plan.
- Compare the full commercial and community case. Evaluate contract duration and terms, transmission and connection costs, risk allocation, and the effects of the arrangement on the local grid and other customers. A reactor’s nominal capacity alone cannot answer these questions.
Is either option categorically cheaper or faster?
No like-for-like cost model or guaranteed delivery schedule establishes a universal winner for the same data center site. An operating-plant contract may avoid a new reactor build, while a restart can require substantial investment. An SMR’s modular approach could offer benefits at scale, but early projects face licensing, demonstration, financing, construction, and fuel uncertainties. The result depends on the particular site, deal, grid access, and project maturity.
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