Google contracts 3,590 MW from Constellation on the PJM grid

Google and Constellation Energy formalized on October 6, 2026 an electricity supply agreement for 3,590 megawatts (MW) within PJM Interconnection, the largest grid operator in the United States, with nearly a quarter of that electricity coming from new nuclear generation. The deal, reported by Reuters, enables Constellation investments exceeding 4.3 billion dollars to expand capacity at 11 nuclear units in Illinois, Pennsylvania and New Jersey.

The agreement responds to the capacity shortfall in PJM, where capacity prices have multiplied by more than 11 since 2024 amid rising demand from artificial intelligence data centers, according to OilPrice. Technology companies are no longer passive grid customers and are becoming counterparties to long-term contracts, a model that electricity-intensive industries in Mexico are already replicating through power purchase agreements (PPAs) with private generators.

The structure combines two instruments. A 20-year PPA for 890 MW from the modernized reactors, whose first volumes would be delivered in 2028; and a 15-year supply contract for 2,700 additional MW from Constellation's operating plants on the PJM grid. The generator maintains that the scheme covers generation, battery storage and demand response.

The move also reads alongside the regulatory framework: PJM proposed requiring large consumers to supply their own generation or face remote disconnection during peak hours. In Mexico, the discussion on self-supply and supply schemes for industrial load is advancing along a different path, under rules from the Energy Regulatory Commission (CRE).

What's next: delivery of the first nuclear MW in 2028 and resolution of PJM's proposal on large consumers will determine whether this contract model is replicated. For the Mexican market, the benchmark is the PPA and storage rules that the CRE defines.

This article was drafted with the assistance of artificial intelligence from verified sources and reviewed by a human editor before publication.