US bets big on nuclear power as AI and data centers fuel energy demand surge

The United States is pushing for a major expansion in nuclear power as demand for electricity surges. The Department of Energy has set a target to triple nuclear energy production by 2050. This move comes as artificial intelligence and data centres drive up power needs across the country.

The International Energy Agency warns that AI could double global electricity use by 2030. In Virginia, the most energy-intensive state, Dominion Energy is already a key player. The company operates four nuclear plants, including Millstone in Connecticut, which supplies half of that state's electricity. Dominion's strong financials—with a 4.19% dividend yield and a 29.45% operating margin—highlight its stability in the growing sector.

Meanwhile, BWX Technologies is advancing nuclear innovation. The company, known for its naval propulsion systems, is now developing small modular reactors (SMRs) for data centres. Though it has no operational SMRs yet, BWX is partnering with Kairos Power to produce TRISO fuel for advanced reactors. Its recent financial growth—with revenue up 29% and net income rising 19% in Q3 2025—shows strong momentum, even with a modest 0.5% dividend yield.

Nuclear power remains one of the cleanest and safest energy sources available. As demand climbs, both established plants and new technologies are set to play a bigger role in America's energy future.

The push to triple nuclear capacity by 2050 reflects its growing importance in a power-hungry economy. Companies like Dominion Energy and BWX Technologies are positioning themselves to meet rising demand. With AI and data centres driving consumption, nuclear energy is becoming a critical part of the solution.