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Major Kentucky utilities weigh the inclusion of nuclear power to meet growing demand

Fans that are part of a cooling system are seen on the roof of a data center, Monday, April 27, 2026, in Hillsboro, Ore. (AP Photo/Jenny Kane)
Jenny Kane/AP
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AP
Fans that are part of a cooling system are seen on the roof of a data center, Monday, April 27, 2026, in Hillsboro, Ore. (AP Photo/Jenny Kane)

Kentucky Utilities and Louisville Gas & Electric are exploring the possibility of employing small modular nuclear reactors to help supply extra power as data centers threaten to drastically increase demand.

As utilities are actively wooing energy-intensive data center projects, KU and LG&E are launching a feasibility study with nuclear reactor maker X-energy to weigh the potential for nuclear energy to supplement the grid.

The announcement comes as Kentucky lawmakers appear eager to set the stage for the introduction of nuclear into the state's power portfolio.

"You think about the demands of energy over the last 15-20 years, which has generally been on a level playing field, about 1% increase in demand per year. But now you're going to see, in most people's opinions and in mine too, that we're going to have to have an infusion of anywhere between 10-15% of energy generation in the next two years," Senate President Robert Stivers said during the 2026 legislative session.

Gov. Andy Beshear recently signed a bill creating the Nuclear Reactor Site Readiness Pilot Program, which will use grant dollars to encourage site development for nuclear projects.

The push for nuclear isn't new, however. It's been building over the last several years.

In 2024, legislators launched a non-regulatory body tasked with laying the groundwork for a possible "nuclear energy ecosystem" in Kentucky.