Iowa Pushes Nuclear Energy Plan to Support AI, Data Center Boom
Iowa governor also plans to sign an executive order to create a Nuclear Energy Task Force in the state.
March 3, 2025 – Iowa is trying to pass new legislation to address the state’s surging energy demands, driven by the rapid expansion of artificial intelligence and data centers.
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Gov. Kim Reynolds (R) introduced the bill in early February, which has recently cleared key state legislative committees and is now set for review by the appropriations committee. The bill, along subsequent moves, aims to strengthen Iowa’s energy grid in response to massive AI developments.
Molly Severn, Reynolds’ legislative liaison, said in a subcommittee hearing that they are trying to assure rising tech demands will not cause utility price increases in the state.
“As technology evolves and the demand on energy increases, Gov. Reynolds is committed to a forward-focused, all-of-the-above energy strategy that serves to keep consumer prices low and positions Iowa for future growth,” Severn said.
Reynolds also plans to sign an executive order to create a Nuclear Energy Task Force in the state, which will make recommendations for how to move forward with nuclear energy in the state.
This comes after NextEra Energy announced it has taken steps with the Nuclear Regulatory Commission to recommission the Duane Arnold nuclear plant—the only nuclear reactor site in all of Iowa. NextEra hopes that they can get the plant, which has been inactive since 2020, up and running by the end of 2028. If successful, the plant will provide a crucial source of renewable energy to the state’s growing technology industry.
Cedar Rapids also recently approved a development that would build a $750 million data center adjacent to an upcoming Google facility. The project is described as one of the largest economic development projects in city history, and will establish Iowa as a key hub for data infrastructure.
