Dominion Energy Virginia and Amazon have signed a Memorandum of Understanding (MOU) to explore innovative development structures aimed at advancing Small Modular Reactor (SMR) nuclear development in Virginia.
As power demand in Virginia surges by over 5% annually and is expected to double in the next 15 years, utilities, government agencies, and technology firms are considering SMRs as a reliable, carbon-free energy solution. Dominion Energy is pursuing a diverse mix of power generation sources, including offshore wind, solar, battery storage, and natural gas, to meet this unprecedented demand.
SMRs could play a crucial role in this energy strategy during the 2030s. They provide continuous, carbon-free power while requiring a smaller footprint and lower initial capital investment compared to traditional nuclear plants.
The MOU outlines collaborative efforts between Dominion Energy and Amazon to explore innovative financing and development strategies for SMRs, aiming to reduce costs and development risks for customers and investors. Dominion Energy remains focused on maintaining a favorable credit and risk profile as part of its recent business review.
“This agreement enhances our long-standing partnership with Amazon and other technology leaders to accelerate the growth of carbon-free energy in Virginia,” stated Robert M. Blue, Chair, President, and CEO of Dominion Energy. “This collaboration offers a pathway to advance SMRs with minimal rate impacts for residential customers and significantly reduced development risks.”
Kevin Miller, Amazon’s Vice President of Global Data Centers, emphasized the importance of bringing new carbon-free energy sources to the grid, aligning with the company’s commitment to achieve net-zero carbon operations by 2040. “Nuclear energy is safe and reliable, and we are excited to explore the opportunities SMRs present for Virginia while addressing climate change.”
Governor Glenn Youngkin highlighted the role of SMRs in Virginia’s energy future, noting that Amazon’s commitment to this technology marks a significant advancement in meeting the state’s growing power needs.
U.S. Senator Mark Warner expressed enthusiasm for the partnership, recognizing Virginia’s leadership in nuclear energy and the potential impact of emerging technologies on energy demands. U.S. Senator Tim Kaine praised the agreement for diversifying clean energy options in Virginia and reaffirmed his support for leveraging clean energy incentives from the Inflation Reduction Act.
In July, Dominion Energy issued a Request for Proposals (RFP) from leading SMR technology companies to assess the feasibility of developing an SMR at the North Anna Power Station in Louisa County, Virginia. While this RFP is not a commitment to build, it marks an essential step in evaluating SMR technology at the site.
