The U.S. Department of Energy’s Loan Programs Office on Tuesday closed a $1 billion loan to lower energy costs and restart a Pennsylvania nuclear power plant.
The loan to Constellation Energy Generation LLC will help finance the Crane Clean Energy Center, a 835-megawatts (MW) plant located on the Susquehanna River in Londonderry Township, Pa.
“DOE’s quick action and leadership is another huge step towards bringing hundreds of megawatts of reliable nuclear power onto the grid at this critical moment,” said Constellation President and CEO Joe Dominguez. “It’s a great example of how America First energy policies create jobs, growth, and opportunities and make the grid more reliable.”
The Department of Energy (DOE) loan marks the first time the Loan Programs Office has concurrently finalized a conditional loan commitment and financial close. The loan will partially finance the restart of a reactor that ceased operations in 2019 but was never fully decommissioned.
Once restarted, pending U.S. Nuclear Regulatory Commission licensing approvals, the 835-MW reactor will provide reliable and affordable baseload power to the PJM Interconnection region, powering the equivalent of approximately 800,000 homes.
The Crane project is expected to help lower electricity costs, strengthen grid reliability, and create more than 600 American jobs.
“Constellation’s restart of a nuclear power plant in Pennsylvania will provide affordable, reliable, and secure energy to Americans across the Mid-Atlantic region,” Wright said. “It will also help ensure America has the energy it needs to grow its domestic manufacturing base and win the AI race.”
Funded by the Energy Dominance Financing Program, the interest-bearing loan will lower Constellation’s cost of financing and leverage private investment to restore reliable nuclear energy to the grid.
“Pennsylvania is leading America’s energy independence and the AI revolution by providing safe, clean, reliable nuclear power,” U.S. Sen. Dave McCormick (R-PA) said Nov. 18. “Today’s loan … [will help] Constellation advance the restart of the Crane Clean Energy Center, while creating 3,400 new jobs, and more than 800 MW of carbon-free electricity operating 24/7 to meet our increasing energy demands and economic growth across the region. I am thrilled to see Constellation’s continued commitment to the commonwealth.”
The Crane Clean Energy Center is currently more than 80-percent staffed with roughly 500 employees, including engineers, mechanics, technicians, and licensed operator trainees. Inspections of key plant components and regulatory reviews continue on schedule.
Constellation said it also has committed more than $1 million in charitable giving over five years to support workforce development and local organizations in the region.
The company also noted that the launch of the Crane Clean Energy Center is part of its broader multi-billion dollar investment in America’s largest and growing nuclear fleet to extend the lives of existing nuclear plants and boost their output.