Data center campus and dedicated energy project coming to Paducah
A coalition of energy, infrastructure, and utility companies announced a strategic partnership to develop a $100 billion data center campus at the U.S. Department of Energy's Paducah Site in Western Kentucky. The project, expected to be fully constructed by 2032, will support 1.2 GW of compute capacity with 4.6 GW of dedicated generation resources, aiming to strengthen grid reliability and create jobs without burdening existing ratepayers.
A strategic partnership between Brookfield, NextEra Energy, and a coalition of utility companies, including Big Rivers Electric Power Corporation, Jackson Purchase Energy Cooperative, and Paducah Power System, has been announced for a $100 billion data center campus.
The project will be developed at the U.S. Department of Energy's (DOE) former Paducah Site in Western Kentucky, repurposing the land into a hub for innovation and energy generation. The campus, set to be fully constructed by 2032, is designed to support up to 1.8 gigawatts (GW) of utility capacity and over 1.2 GW of compute capacity.
The development will be backed by up to 4.6 GW of dedicated generation resources, built specifically for the project, which aligns with President Trump's Ratepayer Protection Pledge by shielding current residential and small-business electricity ratepayers from additional costs. U.S. Energy Secretary Chris Wright highlighted the project's importance in securing the nation's leadership in innovation and providing a crucial roadmap for future infrastructure developments. DOE Assistant Secretary for Environmental Management Tim Walsh emphasized the agency's goal of utilizing federal land for American taxpayers through initiatives like the American Energy Hubs. The site's existing infrastructure, including transmission capacity, water infrastructure, and fiber connectivity, is expected to accelerate development timelines.
Brookfield was selected by the DOE to lease land and operate the data center campus, while NextEra Energy will build and own the dedicated generation resources, including natural gas and battery energy storage systems. The project is expected to create approximately 8,000 construction jobs and 600 full-time operations jobs. The power service agreement for the project will also require oversight and approval from the Kentucky Public Service Commission.