Realta Fusion has partnered with Madison Gas and Electric to explore building a 200-megawatt fusion power plant in Wisconsin, with the project targeted for the mid-2030s. The agreement also includes an equity investment in Realta by MGE Energy, although the companies did not disclose the amount.
Under the joint announcement, MGE will provide equipment, engineering and technical support, along with assistance on siting, permitting, grid interconnection and financing. Realta is separately converting a former Oscar Mayer factory in Madison into its research and development facility.
Utility Partnership Gives Realta Access to Grid Infrastructure
Access to potential interconnection sites is an important part of the agreement as power producers compete for locations that can connect new generation projects to the U.S. electrical grid. A 200 MW plant would give Realta its first commercial-scale opportunity to supply electricity directly to the grid.
Realta is developing compact magnetic mirror fusion systems and has been working toward commercial power generation. In June, the company demonstrated direct energy conversion from plasma kinetic energy into electricity in collaboration with the University of Wisconsin-Madison.
Several other fusion companies have entered similar agreements with utilities. Commonwealth Fusion Systems plans a 400 MW plant near Richmond, Virginia, through a partnership with Dominion Energy, while Helion is developing a 50 MW project in Washington State intended to supply Microsoft.
Type One Energy is planning a 350 MW Infinity Two plant at a former coal power site in Tennessee through an agreement with the Tennessee Valley Authority. In Germany, Proxima Fusion is working with RWE on its planned Stellaris commercial fusion plant, which is targeted for the late 2030s.
Fusion Companies Target Commercial Power in the 2030s
Utilities have increased their involvement with fusion developers as electricity demand grows, including from AI data centers. Fusion developers are designing plants to provide continuous electricity, which could complement variable renewable sources such as wind and solar if the technology reaches commercial operation.
For fusion startups, utility partnerships can provide expertise, land, grid connections and permitting support that would otherwise require significant capital and time. Utilities gain early access to projects that could become future sources of large-scale electricity.
Realta and MGE have not committed to constructing the Wisconsin plant yet. Their agreement will first evaluate the joint development of the proposed 200 MW facility, with a potential operating date sometime in the mid-2030s.
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