LUSBY, Md. — Constellation Energy announced plans Tuesday to explore construction of 2,000 megawatts of new nuclear power at its Calvert Cliffs Nuclear Power Plant, alongside battery storage and gas-fired generation options, to address rising energy needs in Maryland.
The proposal, detailed in a company release, aims to boost the state’s clean energy share from 50 percent to 70 percent. It includes 20-year life extensions for the plant’s two existing units, set to retire in 2034 and 2036 without intervention, and uprates adding 190 megawatts to their current 1,790-megawatt capacity. Constellation, the nation’s largest owner of non-rate-regulated nuclear plants, operates Calvert Cliffs as Maryland’s sole nuclear facility, which generates about 40 percent of the state’s total electricity and 80 percent of its clean power.
The combined measures also encompass an 800-megawatt battery storage project and 700 megawatts of gas-fired generation adaptable to carbon-free hydrogen fuel. Executives described the initiative as the Calvert Cliffs Clean Energy Center, positioning it to double the site’s output and support economic growth amid forecasts of sharply increasing demand over coming decades.
Joe Dominguez, Constellation’s president and chief executive officer, outlined the scope during the announcement. “Today, we announce an ambitious plan to make billions of dollars of new investments in Maryland without seeking any electricity rate increases, including options ranging from new natural gas to battery storage and nuclear energy,” Dominguez said.
He emphasized retention and enhancement of existing resources. “What is clear to us is that we must build and retain resources that produce abundant, reliable and clean power. The best way we know to do that is to make state-of-the-art investments in our state’s existing nuclear, hydroelectric and renewable energy resources to get them to operate better and longer, and then to build on top of that great foundation.”
Dominguez highlighted collaboration with state leaders. “We are excited to work with Governor Wes Moore, other state policymakers, and all Maryland stakeholders to investigate the development of new nuclear power in our state just as dozens of states across America are doing today. Importantly, all our investments have been, and will be, done without any cost to Maryland families and businesses. We are not now, and never will be, a monopoly that seeks guaranteed profits. We are a company that competes for its opportunities just like all our hardworking customers do – every single day. Maryland is our home state and Constellation looks forward to continuing to offer competitive and innovative solutions to our state to create a prosperous and brighter future for Maryland families and businesses.”
Constellation conditioned accelerated development on policy support. The company stated it could advance these projects “at the lowest possible cost to consumers, provided we have clear direction and enabling legislation from Maryland’s policymakers.”
Calvert Cliffs, located on the Chesapeake Bay in Lusby, has operated since 1975 as two pressurized water reactors, a design that uses water under pressure to moderate fission and generate steam for turbines. Uprates involve engineering modifications to boost thermal efficiency, typically through refined fuel assemblies and pump adjustments, without altering core structures. Life extensions require Nuclear Regulatory Commission approvals, including environmental reviews and safety analyses, processes that can span years but extend operations beyond initial 40-year licenses.
The new nuclear component targets next-generation technology, potentially small modular reactors that produce power in factory-built units scalable to 2,000 megawatts. Such systems promise lower upfront costs and faster deployment compared to traditional large-scale plants, aligning with federal incentives under the Inflation Reduction Act for advanced nuclear.
Battery storage would capture excess renewable output for peak demand release, while hydrogen-capable gas units offer flexibility in transitioning from fossil fuels. Maryland’s energy landscape, shaped by the 2021 Climate Solutions Now Act, mandates 50 percent clean energy by 2030 and net-zero emissions by 2045, driving demand projections that could rise 20 percent by 2040 due to electrification in transportation and industry.
In Calvert County, the plant employs about 1,000 workers and contributes over $100 million annually in taxes and payments, bolstering local services from schools to emergency response. Expansions could add hundreds of construction jobs, though site preparations must navigate wetlands regulations under the Clean Water Act.
Constellation, spun off from Exelon in 2022, manages 21 nuclear reactors nationwide, emphasizing carbon-free baseload power. Maryland regulators, through the Public Service Commission, oversee rate impacts, ensuring proposals like this undergo cost-benefit scrutiny before approval.
The announcement coincides with national trends: Over 20 states pursue advanced nuclear via bipartisan legislation, including tax credits for production. In Maryland, Governor Moore’s administration prioritizes reliable sources amid offshore wind delays and grid upgrades.
Implementation timelines remain fluid, with initial studies possibly starting in 2026 pending legislative action during the 2026 General Assembly session. The Maryland Energy Administration would coordinate reviews, integrating public input from coastal communities reliant on stable power for data centers and manufacturing hubs emerging along the bay.
Pressurized water reactors at Calvert Cliffs undergo routine refueling outages every 18 to 24 months, during which maintenance supports uprate feasibility. Hydrogen blending in gas turbines, a maturing technology, could achieve 100 percent fuel substitution by 2030, per industry pilots.
This proposal builds on Constellation’s 2024 agreement to extend Calvert Cliffs operations, averting a potential 3,800-megawatt loss. Without extensions, Maryland would import more power, raising reliability risks during summer peaks when air conditioning strains the grid.
Maryland’s clean energy trajectory depends on diverse portfolios: Nuclear provides dispatchable output unlike intermittent solar and wind, which comprised 10 percent of generation in 2024. Constellation’s plan addresses a projected 15-gigawatt gap by 2050, per state forecasts.
As discussions advance, the company plans engagements with environmental groups and labor unions to refine scopes. Final decisions hinge on economic modeling that balances capital costs—estimated at $10 billion for new nuclear—against avoided carbon penalties under state caps.
Calvert Cliffs’ role underscores Southern Maryland’s pivot from tobacco farming to high-tech energy, with the plant’s cooling towers visible from Route 2, a corridor linking Prince Frederick to the Patuxent River Naval Air Station. Sustained operations ensure voltage stability for the 500,000 residents drawing from the regional transmission organization PJM Interconnection.