Paducah American Energy Hub Announcement

July 31, 2026

July 29, 2026 marked a historical day for Paducah, McCracken County, KY and the entire Commonwealth of Kentucky with the announcement of the Paducah American Energy Hub.  Aligning artificial intelligence, computing power, reliable energy, infrastructure, and capital investment, the project brings together two of the most defining forces of our time:  the growth of artificial intelligence and the need for reliable, abundant, and affordable energy.  This collaborative $100 billion announcement represents the single largest capital investment in Kentucky’s history.  Greater Paducah Economic Development has been honored to work with the United States Department of Energy, NextEra Energy, Brookfield Asset Management, Big Rivers Electric Corporation, Jackson Purchase Energy Cooperative, Paducah Power Systems, community partners, and our teams of subject matter experts.   

To put the project into perspective, the total assessed value of existing property in Paducah, McCracken County approximates $7 billion.  Coupling this increased capital investment with revenue to be generated from sales tax revenue on the forthcoming power sold to the project, McCracken County will experience unprecedented growth for Paducah, McCracken County residents and particularly our schools – all without increasing existing power rates and assessments.  McCracken County Judge Executive, Craig Clymer, noted “With our community becoming a national leader in uranium enrichment and now advanced technology, these new revenues from property and employment at the site will bring tremendous wealth to our county allowing us to continue to reduce taxes while also increasing services.”

In alignment with the Ratepayer Protection Pledge, the project protects  existing customers from additional rate impacts by ensuring the project will cover the cost of construction, new infrastructure, and power needs.

Project Design:

A new natural gas power plant is anticipated to be constructed with 2 gigawatts capacity and to be operational by 2032.  Related battery energy storage systems with approximately 2.6 gigawatts capacity are anticipated to be operational by 2028.  The related data center is anticipated to consume approximately 1.8 gigawatts of power and be operational by 2028 yielding a net contribution of an additional 200 megawatts of power for future economic development and power grid stabilization.

In addition to the new natural gas power plant and battery energy storage systems to be constructed, regional electrical transmission system enhancements will be made.  These enhancements will benefit our region and foster additional future economic growth by being a net contributor providing additional power onto our grid and helping stabilize power needs.

Project leadership is committed to working closely with the local community sharing updates as the project evolves listening to feedback and ensuring access to clear, timely information throughout the process. 

George Bray, Paducah City Mayor, emphasized his support for the project by adding “This historic investment will create a generational opportunity for Paducah, McCracken County and I look forward to working closely with the project partners to ensure a successful implementation and that the opportunity for community is maximized.”

A key tenant of the project is designed around preserving quality of life.  The project is being designed with the surrounding community in mind.  This means evaluating water consumption and potential lighting and noise impacts through detailed acoustic modeling and implementing mitigation measures as needed to ensure compliance with applicable requirements and compatibility with surrounding land uses.

Water Consumption:

The project will have a responsible approach to the amount of water usage.  The project will utilize 20% less water than the former Paducah Gaseous Diffusion Plant was designed to use when operating – which was up to 30 million gallons of water per day from the Ohio River. 

The data center will utilize a closed loop system that continuously recirculates the same water with minimal evaporate loss – only needing to be “topped off” on occasion.  Between the natural gas power plant and the data center, the project is expected to use less than 5 million gallons of water per day.  To put this into perspective, depending upon the stage of the Ohio River, approximately 130 to 190 billion gallons of water flow by the site per day yielding a less than minimal impact to our inland marine water system.

Noise:

The data center will be sited on land owned by the United States Department of Energy that has been zoned for heavy industrial applications for many decades - going back to when the Paducah Gaseous Diffusion Plant started operations.  Noise assessments using acoustic modeling to understand potential impacts will be conducted to determine whether  additional mitigation measures, if any, are needed to comply with local requirements and compatibility with surrounding land use.

Project participants and community leadership are committed to developing this project responsibly and thoughtfully, with a focus on transparency, reliability, and long-term community benefits.  Bruce Wilcox, President & CEO of Greater Paducah Economic Development, sums the project up like this:  “For many years our state and community leadership have been preparing for an opportunity such as this, aligning tax policy, utility infrastructure, logistics, workforce, and quality of life.  This $100 billion investment with an anticipated 600+ permanent jobs coupled with the anticipated 8,000 construction jobs represents transformational opportunities for families in our region.  We are thankful to all of the partners in this endeavor and look forward to working with them and helping them succeed.”

For more information, you may visit the project’s website at:  PaducahAmericanEnergyHub.com