Constellation Inks $1-Billion Deal with General Services Administration

Constellation Energy, a Baltimore-based electric utility regarded as the nation’s  largest producer of nuclear power, has been awarded more than $1 billion in combined contracts by the U.S. General Services Administration (GSA) to supply power to more than 13 government agencies and perform energy savings and conservation measures at five GSA-owned facilities in the National Capital Region. Constellation’s retail subsidiaries will provide the services to the GSA, according to a company press release.
Under a 10-year, $840 million contract, which Constellation said is the largest in GSA history, the company will supply the GSA with more than 1 million megawatt hours (MWh/yr) annually, beginning in 2025. A portion of the power will come from investments Constellation will make to increase plant output, known as “uprates.”

“For many decades, Constellation’s nuclear fleet has provided carbon-free, reliable, American-made energy to millions of families and institutions,” said Joe Dominguez, Constellation president and CEO, in the press release. “Frustratingly, however, nuclear energy was excluded from many corporate and government sustainable energy procurements. Not anymore. This agreement is another powerful example of how things have changed.

“Under this agreement, the United States government joins Microsoft and other entities to support continued investment in reliable nuclear energy that will allow Constellation to relicense and extend the lives of these critical assets. In combination with the Crane restart announced previously, Constellation and its partners will add approximately 1,100 MWs of 24/7 clean energy by 2028, enough energy to power over one million homes.”  
“This historic procurement locks in a cost-competitive, reliable supply of nuclear energy over a 10-year period, accelerating progress toward a carbon-free energy future while protecting taxpayers against future price hikes,” said GSA Administrator Robin Carnahan. “We’re demonstrating how the federal government can join major corporate clean energy buyers in spurring new nuclear energy capacity and ensuring a reliable, affordable supply of clean energy for everyone.”
The energy will be supplied to the Architect of the Capitol, the General Services Administration, the Social Security Administration, the Army Corps of Engineers, the Department of Veterans’ Affairs, the Department of Transportation, the U.S. Mint, the U.S. Railroad Retirement Board, the National Archives and Records Administration, the Federal Bureau of Prisons, the Federal Reserve System, the National Park Service, the National Oceanic and Atmospheric Administration, and the Washington Metropolitan Area Transit Authority, in locations the agencies own or operate in Illinois, Maryland, New Jersey, Pennsylvania, and Ohio.

In another recent deal with GSA, the federal agency awarded Constellation a $172-million energy savings performance contract to perform energy savings and conservation measures at five GSA-owned facilities in the National Capital Region. The work implemented under the contract will include LED lighting, weatherization, window inserts and replacements and new and upgraded HVAC and building control equipment to improve energy efficiency, decrease emissions and save on energy costs at the Elijah Barrett Prettyman U.S. Courthouse, the William B. Bryant Annex, the Orville Wright Federal Building and the Wilbur Wright Federal Building all located in Washington, DC, and the Harvey W. Wiley Federal Building in College Park, MD.

Constellation was in the headlines back in September when it inked a 20-year power purchase agreement with Microsoft that will pave the way for the launch of the Crane Clean Energy Center (CCEC) and restart of Three Mile Island Unit 1 near Harrisburg, PA. Once the Three Mile Island Unit 1 reactor is back online it will produce approximately 835MW of power for the grid.