April 30, 2025

POWER SURGE: Report on this one-day conference

Power surge conference

An important conversation hosted by Doon Insights

Doon Insights, an investment-focused group organized by Howard Chao, convened dozens of subject-matter experts as speakers (see the list below) across many disciplines in Santa Cruz, California to address trends and issues impacting demand for and supply of energy in the coming years and decades. Energy, which is what makes today's technologically-dependent society possible, is a very large and important topic and was a lot to cover. But in an ambitious, rapid-paced one-day conference titled "POWER SURGE: Solving for Unprecedented Energy Demand," dozens of people laid out the fundamentals and discussed the key questions around both what is driving demand and how will we meet that demand. Questions tackled included:

The demand side    Demand Side

  • Why projections for US power needs now greatly exceed what would have been predicted only a couple of year ago
  • Why the exceptional needs of AI Data Centers and the electrification of diverse parts of the economy are driving energy demand
  • What are the challenges of building, financing and operating new data centers? 
  • How much more power will these new facilities require? Where will they be located and what is the attitude of utilities, state and federal government towards supporting them?  
  • How will the rapidly changing AI competitive landscape affect these power projections? Does the advent of very cheap, highly efficient, smaller SLMs, open source models and Chinese competitors mean that investors have overestimated the need for huge data centers?  
  • How will the electrification of vehicles, buildings, industry and transactions (blockchain and cryptocurrencies) further accelerate and add significant incremental power demand?
  • What are the primary challenges to meeting these power demands of these expanding use cases in the coming years and what will be the main challenges to implementation, including the need to expand the transmission capabilities of the grid?
  • Will the new administration's renewed emphasis on fossil fuels result in a slowdown in electrification? 
  • What will be the impact of the tariffs on the buildout of all these projects?
  • How will the new administration's energy policies impact all of these areas? Will we be able to unleash power generation sufficient to sustain the foreseeable economic growth while also continuing to reduce carbon emissions?

"The Nuclear Option" panel title displayed on the big screen.      Supply Side

  • What are the near and longer-term challenges and solutions to the surge in power demand?
  • Will growing renewables and batteries be sufficient?
  • Will fossil fuels experience a resurgence, with all that drilling?
  • Will the sexiest and biggest solutions—nuclear fission and fusion—be coming on stream faster than most people believe?
  • What are the short, medium and long-term prospects for these new technologies?
  • Will the "privatization" of nuclear innovation and the prevalence of an industry being led by fast-moving private companies, pleasantly surprise us with their speed to market?
  • What will be the near-term and longer-term mix of energy solutions?
  • How will a patchwork of revamped legacy technologies, including fuel cells, wind, solar, distributed generation, energy storage, energy time-of-use shifting and other behind-the-meter solutions help in the short-term? 
  • How are advancements in small modular nuclear reactors (SMRs), which offer enhanced safety features, reduced construction times, and the flexibility to be deployed in diverse locations, going to contribute?  
  • Given that major technology companies like Google and Amazon are investing in SMRs to power their expansive data centers, how will this accelerate commercialization?
  • Fusion energy—which is experiencing a wave of breakthroughs, with multiple companies and research initiatives racing to develop and commercialize multiple technologies, such as high-temperature superconductors, improved plasma confinement techniques, and novel neutron flux applications—is beginning to generate revenues but has yet to complete a power-generating reactor design. Will the new administration help accelerate progress towards practical fusion power with pilot plants within the decade or is this game-changing technology still decades away?

The Nuclear Option

Screenshot 2025 05 04 at 8.23.42 amValerie Gardner, Nucleation's managing partner, moderated the day's fission panel, called "The Nuclear Option: Generation IV and Small Modular Reactors," which looked at the role of fission innovation and the coming wave of small, modular reactors (SMRs), that were poised to bring nuclear power into the 21st century. She and her panelists, Leah Crider from Westinghouse (seated on the left), representing the eVinci design, and Clayton Scott from NuScale Power (in the center), which has the first NRC-certified advanced fission design, discussed how and why next-generation nuclear will be the ideal clean energy solution that few think is possible.

While the Fission panel had a full 45 minutes (and probably went over-time) to cover a lot of ground, including reviewing nuclear's status as a major source of today's clean energy, the fact that nuclear is turning into a "technology" product that can be manufactured in factories and shipped to locations, and how a growing assortment of energy buyers like Google, Amazon and Dow Chemical see advanced nuclear as solving their energy needs better than other solutions, because the subject matter was so expansive, Valerie and her panel were able to cover many but definitely not all of the important points. Nevertheless, the fact that this conference's supply-side conversation included nuclear fission at all was a huge victory. This inclusion reflects the fact that nuclear energy is no longer seen as the taboo topic it was long deemed to be, at least up until the last couple of years. For too long, nuclear fission was excluded and no one considered it a vital part of the clean energy solution set. But times have changed and especially among investors looking to understand key long-term trends and be able to invest into them at an early stage.

According to Howard Chao, each panel of the conference, by design, was too short, leaving a lot of unfinished conversations. Nucleation Capital was honored to have been included in this discussion and we look forward to continuing to see interest in advanced nuclear broaden.

POWER SURGE: List of Speakers

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March 25, 2025

POWER SURGE: Solving for Unprecedented Energy Demand

Announcing a Doon Insights Workshop

Power surge

Registration link for the Power Surge Conference

Doon Insights, hosted by Howard Chao, is convening dozens of experts to address trends and discuss issues impacting demand for and supply of energy in the coming years and decades. This one-day conference is being held on April 30th, 2025 in Santa Cruz, at the Boardwalk's Cocoanut Grove Resort.  This is Doon Insights first energy-focused workshop, so the event will bring investors up to speed on the topic of energy and how we will meet that demand. It is not too late to register to attend. The conference is titled "POWER SURGE: Solving for Unprecedented Energy Demand."

Ray Rothrock, renowned venture capitalist and Nucleation Capital advisor, will give a keynote talk about the solutions to the demand surge in conversation with Howard Chao. Valerie Gardner, Nucleation Capital's managing partner, is moderating an afternoon panel on Long Term Supply Side Solutions from Nuclear Fission: Specifically Gen IV and Small Modular Reactors. Following that, Matt Trevithick of Leitmotif Ventures, will moderate a panel on Fusion.  For the complete event overview and agenda, see thePOWER SURGE website.

Official Event Description

Doon Insights is pleased to announce our Power Surge Workshop: Solving for Unprecedented Energy Demand!

Our Power Surge Workshop will convene an exclusive gathering of industry leaders, investors, technologists, and innovators to explore one of the most pressing challenges of our time: meeting the surging demand for energy in a scalable and sustainable way.

As data centers, the electrification of everything, crypto mining, and other emerging energy-intensive applications create an unprecedented spike in demand, the energy sector is facing a pivotal moment. This perfect storm of demand must be addressed with both more conventional power generation, better power management and revolutionary new technologies.

Why Attend?

This Workshop is a must-attend event for energy innovators, investors, technologists, energy, manufacturing, mobility and other energy industry executives. Engage in in-depth discussions, network with industry leaders, and discover actionable insights into our energy future. And enjoy the beach and mountains of Santa Cruz!

Event Details:

Date:April 30, 2025 - 8 am

Location:The Boardwalk's Classic Cocoanut Grove Ballroom, 400 Beach Street, Santa Cruz, CA (Workshop); Bonny Doon, CA (Reception and Dinner)

Join us to explore the technologies, strategies, and collaborations that will define the next generation of energy systems. Secure your spot today!

Very much looking forward to seeing everyone in Santa Cruz!

March 15, 2025

Germany to Reevaluate Nuclear Phase-Out and Build More Nuclear ()

Read moreFriedrich Merz, head of the newly elected winning German coalition, proposes a fundamental shift in energy policy by rethinking Germany's nuclear approach and initiating a major expansion of thermal energy facilities.

January 30, 2025

US NRC Updates Mission to Enable New Nuclear ()

The bipartisan ADVANCE Act, passed in July 2024, directed the NRC to update its mission statement to reflect its role in facilitating nuclear commercialization. The NRC has now issued a new mission statement which says, “The NRC protects public health and safety and advances the nation’s common defence and security by enabling the safe and secure use and deployment of civilian nuclear energy technologies and radioactive materials through efficient and reliable licensing, oversight, and regulation for the benefit of society and the environment.”

November 1, 2024

Assessing the Election’s Impacts on Nuclear

By Valerie Gardner, Nucleation Capital Managing Partner

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Presidential elections are always important and this year's election is widely considered particularly critical and unusual.  There are vast differences of opinion on matters of great national importance—from voting rights and health policies to international relations and national security policies. Less well litigated is where these candidates stand on matters of energy security, the energy transition and future deployments of both traditional and advanced nuclear power. How will the differences in character, knowledge and respect for facts, science and experts play out on U.S. policies towards nuclear power?  Based upon various sources, it appears that the election will have a significant impact. For those still making up their minds, this summary assessment may help clarify how numerous pundits view these differences.

Summary

Nuclear energy has enjoyed enduring bipartisan support across both Democratic and Republican administrations for years now. The Congress has passed, with overwhelming bipartisan majorities, bills aimed at modernizing and accelerating commercialization of new nuclear.

Nevertheless, in 2024, the two presidential candidates bring potentially unconventional approaches that may differ from the standard positions of their respective parties. Republicans have long valued America's nuclear capacity and have seen the need for the US to maintain leadership to boost both national security and to expand our ability to export our technologies. They recognize that the U.S. needs to counter the geopolitical influence of adversaries like Russia and China which are offering to help developing nations with nuclear power as a means of increasing their influence within those countries.

Democrats have also, if more recently, come around to support nuclear. Both the Obama White House and the Biden Administration have provided broad support for the industry and particularly for the acceleration of next-generation nuclear technologies and American leadership in the energy transition. Front and center of their support is the recognition that nuclear power is a critical, differentiated component of a reliable, 24/7 low-carbon energy grid. They support its expansion primarily as a mechanism to meet growing energy needs and fortify grid reliability while reducing carbon emissions and addressing climate change, in tandem with renewables.

The question then of which candidate is more likely to support the continued acceleration of nuclear power is thus wrapped up with policies relating to energy security, fossil fuels, geopolitical competition with Russia and China, and support for addressing climate change. The Inflation Reduction Act passed in 2022 and signed by President Biden marked the Congress' single largest investment in the economy, energy security and climate change and is widely seen as the most important piece of climate legislation ever passed. It simultaneously rebuilds the U.S. industrial capabilities while incentivizing the growth of clean energy technologies including domestic nuclear power. It is already making an enormous and beneficial impact on the U.S. nuclear indsutry.

Kamala Harris, while possibly more progressive than Biden, has shown her support for Biden's approach to incentivizing the clean energy transition through the IRA, Biden's signature piece of climate legislation, which has received staunch support from industry. She is unlikely to make many if any changes to the IRA's clean energy technology-neutral Investment Tax Credits and Production Tax Credits or reduce the billions in loan guarantees available through the Loan Program Office, which have already stimulated significant investment in protecting and restarting existing reactors.

Because of Biden’s Infrastructure Investment & Jobs Act’s Civil Nuclear Credit program, California is proceeding with the relicensing of Diablo Canyon, Holtec has chosen to restart, rather than decommission, Michigan’s Palisades nuclear power plant, Constellation has inked a deal with Microsoft to restart Three Mile Island Unit 2, and NextEra Energy is actively considering the restart of Duane Arnold. Meanwhile, Google has signed a deal to buy power from advanced nuclear reactors being designed by Kairos Power and Amazon has signed a similar deal with X-energy, marking the first corporate purchases of next-generation nuclear, thanks to highly motivating tax and financing incentives available through the IRA and LPO.

Harris is clearly committed to addressing climate change. There is no evidence that she rejects the clean energy tech-agnostic approach developed during her term as Vice President, which levels the playing field for nuclear energy as a clean energy source. Harris recognizes the geopolitical importance of America's ability to compete with Russia to produce our own nuclear fuel supply and to provide nuclear technologies to developing nations seeking to build their clean energy capacity but wanting to remain free of Russian or Chinese influence.

In contrast, Donald Trump has repeatedly called climate change a "hoax," and/or a good thing and cares little about reducing U.S. or global emissions. He previously walked away from the Paris accord and would likely try to repeal, roll back or dilute the IRA. He's publicly allied himself with the fossil fuel industry and—in exchange for donations—has promised to roll back EPA regulations and help them "drill, drill, drill."

There is almost no doubt that Trump would step the U.S. away from its leadership role on climate and this time, that may mean reversing the U.S.'s pledge to triple the amount of nuclear power. This would seriously undermine both the U.S. nuclear industry's momentum to expand to meet growing demand as well as international progress. Given Trump’s overt courting of Putin, he may be disinclined to rebuild the U.S.'s nuclear fuel production capacity or seek to accelerate or support American efforts to build nuclear projects internationally in competition with Russia.

None of this would be good for nuclear power. Any potential efforts to rollback the IRA would slow restoration, development and deployment of reactors. Boosting the fossil fuel industry, whether through supporting expanded access to federal land or price manipulation to improve profitability would have severe impacts on the energy transition. Trump's recent acknowledgement that he didn't believe nuclear was safe also belies the stated "commitment" to nuclear energy expressed by his surrogates and gives considerable fodder to those who persist in opposing nuclear. His shoot-from-the-hip, truth-be-damned leadership style and embrace of conspiracy theorists, contrasts starkly with Harris' stated willingness to consult with scientific experts and even give those who disagree with her a seat at the table.

In sumary, Trump's likely propensity to undermine the IRA, oppose climate action and backtrack on US pledges to triple nuclear, his support for expanding fossil fuel production and his continued disdain for science and technical experts, poses extreme risks to the momentum generated within the nuclear sector over the last few years. Trump's ignorance of nuclear energy's exceptional safety performance make him unlikely to provide Oval Office leadership either to the industry or the NRC in support of the bipartisan ADVANCE Act, signed into law by Biden.

In contrast, a Harris Administration would likely remain on the current climate glideslope for leadership, technology-neutral funding and the U.S.'s nuclear tripling momentum as stimulated by the Biden Administration. It may be that a Harris Administration does not prioritize nuclear's growth or add billions in new accelerants as Biden has done, but she will not try to trash it. Having been briefed by senior energy advisors over the last four years about the importance of nuclear, she is well-informed and understands the importance of Biden's initiatives for addressing climate.

Based on this analysis, those who support an expansion of nuclear power and enduring progress towards transitioning away from fossil fuels should thus prefer to see Harris elected, rather than Trump, and the existing policies continued.

Sources

You can find more detailed information about the basis for this Summary Assessment from these sources.

  1. Forbes, Trump Plans To Rescind Funds For IRA Law’s Climate Provisions, But May Keep Drug Price Measures, by Joshua P. Cohen, Sept. 9, 2024.
  2. Bloomberg, US Economy Will Suffer If IRA Repealed, Solar Maker CEO Says, by Mark Chediak, Oct. 22, 2024.
  3. Politico E&E News, Trump cites cost and risks of building more nuclear plants, by Nico Portuondo, Francisco "A.J." Camacho, Oct. 29, 2024.
  4.  Huffington Post, Donald Trump Takes A Skeptical View Of Nuclear Energy On Joe Rogan’s Podcast, by Alexander Kaufman, Oct. 27, 2024
  5. Bloomberg, Trump 2.0 Climate Tipping Points: A guide to what a second Trump White House can—and can't—do to the American effort to slow global warming, by Jennifer A. Dlouhy, Sept. 30, 2024.
  6. Joint Economic Committee, How Project 2025's Health, Education, and Climate Policies Hurt Americans, August 2024.
  7. FactCheck.org, Trump Clings to Inaccurate Climate Change Talking Points, Jessica McDonald, Sept. 9, 2024.
  8. New York Times, Trump Will Withdraw U.S. From Paris Climate Agreement, Michael D. Shear, June 1, 2017
  9. Cipher: Here's how cleantech stacks up in three swing states: Taking stock of Michigan, Pennsylvania and Wisconsin, Sept. 3, 2024.
  10. Bloomberg Green, Climate Politics: Double-Punch Storms Thrust Climate Into the US Presidential Race, by Zahra Hirji, Oct. 11, 2024.
  11. New York Times, Biden’s Climate Plans Are Stunted After Dejected Experts Fled Trump, by Coral DavenportLisa Friedman and Christopher Flavelle, published Aug. 1, 2021, updated Sept. 20, 2021
  12. Bloomberg, The Donald Trump Interview Transcript (with quote "Green New Scam"), July 16, 2024.
  13. Google: New nuclear clean energy agreement with Kairos Power, by Michael Terrell, Oct. 15, 2024, and Google's The Corporate Role in Accelerating Advanced Clean Electricity Technologies, Sept. 2023.
  14. The New Republic, Trump Pushes Deranged Idea that Climate Change is Good for Real Estate, by Robert McCoy, Sept. 18, 2024.
  15. Grid Brief: What Was Said About Energy During the VP Debate, JD Vance and Tim Walz Discuss Energy and Climate During VP Debate, by Jeff Luse, Oct. 2, 2024.
  16. CNN: Fact check: Sea levels are already rising faster per year than Trump claims they might rise over "next 497 years', by Daniel Dale, June 29, 2024.
  17. CNN: Fact check: Tramp's latest false climate figure is off by more than 1,000 times, by Daniel Dale, April 2023.
  18. Yale Program on Climate Change Communication, YPCCC's Resources on Climate in the 2024 U.S. General Election, by Anthony Leiserowitz, Edward Maibach, Jennifer Carman, Jennifer Marlon, John Kotcher, Seth Rosenthal and Joshua Low, Oct. 8, 2024.
  19. SIGNED: Bipartisan ADVANCE Act to Boost Nuclear Energy Now Law, Senate Committee on Environment & Public Works, July 9, 2024.
  20. Rodgers, Pallone, Carper, Capito Celebrate Signing of Bipartisan Nuclear Energy Bill, the ADVANCE Act, July 9, 2024.
  21. The White House, Bill Signed S. 870, July 9, 2024.
  22. Power Magazine, The ADVANCE Act—Legislation Crucial for a U.S. Nuclear Renaissance—Clears Congress. Here's a Detailed Breakdown by Sonal Patel, June 20, 2024
  23. Sidley Austin LLP, Congress Passes ADVANCE Act to Facilitate U.S. Development of Advanced Nuclear Reactors, June 26, 2024.

July 9, 2024

Biden Signs the ADVANCE Act

By Rod Adams, Nucleation Capital Managing Partner and founder of Atomic Insights.

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President Biden has signed S. 870, “A bill to authorize appropriations for the United States Fire Administration and firefighter assistance grant programs, to advance the benefits of nuclear energy, and for other purposes.”

NRC’s Newly Aligned Mission Will Accelerate Nuclear Energy Deployment

With resounding bipartisan, bicameral support that also achieved enthusiastic support of the Executive Branch, the US has enacted a new law announcing its support of nuclear energy. It has the potential to make an even larger impact on global atomic energy use than the combination of the Atomic Energy Act of 1954 and President Eisenhower’s Atoms for Peace program of international nuclear energy expansion.

Seventy years ago, that earlier combination of law and policy partially removed the blanket of tight security that had locked up fission energy in the years immediately following WWII. President Eisenhower’s clearly stated goal in enabling commercial atomic energy was to develop “the greatest of destructive forces” into a “great boon, for the benefit of all mankind.”

The “great boon” produced a wave of nuclear power plants that now produce the energy equivalent of Saudi Arabia’s oil production. That energy comes at a low marginal cost without air pollution or greenhouse gases, but nuclear power’s contribution to world energy production leveled off at roughly 2600 TWh/yr 20 years ago.

A growing fraction of the world’s science, engineering, environmental and political leaders agree that the situation needs to be changed. In November 2023, the United States led a coalition of two dozen nations in a promise to take action to triple world nuclear energy production by 2050.

Even before the U.S. signed that declaration of intent, House and Senate Republicans and Democrats began holding hearings, listening to constituents, debating with colleagues and engaging in what used to be considered the normal order of business to produce the ADVANCE Act of 2024.

I’ll say that again, Republicans and Democrats from both the House and Senate worked together in a sustained manner to pass a bill important to all of us in 2024. 

That bill was passed in May with a vote of 393-13 by the House of Representatives. It was passed in June by the Senate with a vote of 88-2.

The bill’s title – ADVANCE – is derived from “Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy.” The name might be dismissed as a clever acronym, but each of the words helps to convey the intent of the authors and approvers.

The new law of the land is clear; the United States has decided that it is moving forward at an increasing speed – accelerating – in the important task of deploying multi-function, advanced nuclear energy so we can spread the benefits of clean atomic energy to all mankind.

Mission alignment

A key accelerant is the Act’s direction to the Nuclear Regulatory Commission to update its mission statement. The new law tells the NRC that its modern mission is to provide a reasonable assurance of adequate protection of public health and safety in “a manner that is efficient and does not unnecessarily limit” the use of radioactive materials and nuclear energy to benefit society.

Here is the complete provision from Section 501 of the Act

SEC. 501. MISSION ALIGNMENT.

(a) Update.—Not later than 1 year after the date of enactment of this Act, the Commission shall, while remaining consistent with the policies of the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.) and the Energy Reorganization Act of 1974 (42 U.S.C. 5801 et seq.) (including to provide reasonable assurance of adequate protection of the public health and safety, to promote the common defense and security, and to protect the environment), update the mission statement of the Commission to include that licensing and regulation of the civilian use of radioactive materials and nuclear energy be conducted in a manner that is efficient and does not unnecessarily limit—

(1) the civilian use of radioactive materials and deployment of nuclear energy; or

(2) the benefits of civilian use of radioactive materials and nuclear energy technology to society.

Ted Nordhaus, the Executive Director of the Breakthrough Institute, supports the mission realignment. He is quoted by Axios as follows. “When we look back on this thing five years from now…. no one will remember anything else that happened in this piece of legislation, except for the change in the statutory mission.”

Nuclear energy opponents have sharply questioned the act’s NRC mission realignment section. Their opposition indicates the importance and the value of the provision in the national effort to more promptly deploy nuclear energy facilities.

In a piece published in the Montgomery County Sentinel, Karl Grossman provided reactions to the ADVANCE Act from a host of historically antinuclear groups and individuals, some of whom were most upset by the mandate given to the NRC.

Senator Ed Markey testified against the Act during the Senate floor debate, aiming particularly at the mission realignment section. He revealingly stated that the “Commission’s duty is to regulate, not facilitate.”

He is correct in noting that the new mission effectively tells the NRC to facilitate nuclear energy development, but wrong in implying that regulators shouldn’t facilitate the technology that they are assigned to regulate. FDA (Food and Drug Administration) staffers help us all retain access to both food and medicinal drugs while the staff members at the FAA (Federal Aviation Administration) work hard to ensure that air travel is both safe and available.

Dr. Ed Lyman of the UCS, provided the following comment.

“The change to the NRC’s mission effectively directs the agency to enforce only the bare minimum level of regulation at every facility it oversees across the United States.”

Leaving out his emotionally laden modifiers, Dr. Lyman is correct in noting that the change essentially directs the NRC to impose the minimum necessary level of regulation. Safety rules should be viewed as a “pass-fail” assignment. If they are good enough, there is no reason to raise the bar, especially when the claimed improvement is in a calculated probability that is already tiny. Layered requirements do little or nothing but they inevitably increase costs.

How does changing the mission improve prospects for advanced nuclear energy?

The Nuclear Regulatory Commission has always attracted talented, well-educated, service-minded employees. Most of them are dedicated to mission accomplishment but they have been culturally encouraged to believe their safety mission should be interpreted as avoiding all appearances of favoring the use of nuclear energy. The Advance Act revises the mission to align with the societal need for nuclear; it will change the culture.

Applicants should find a new, more helpful attitude emerging among regulators. Instead of assiduously avoiding advice that might be classified as “consulting” to the benefit of industry, they might offer their expertise and guidance with the goal of improving regulatory efficiency and the overall safety performance of the project being reviewed.

Junior NRC staff members have expressed serious concerns about climate change and air pollution as reasons why they became interested in nuclear energy. They understand how data show that most of the energy not produced by nuclear power will be produced by burning fossil fuels. The change in law provides a tool that enables them to resist negative influence from longer serving staff members who habitually avoid facilitating nuclear power.

Nuclear energy opponents have asserted that regulating without imposing unnecessary limits is simply a way to increase industry profits and improve the financial health of its investors, but they say that as if it is a bad thing.

They don’t like nuclear energy, often for competitive or ideological reasons. They know that profits and investor returns will attract the skills and resources that are required to make nuclear energy flourish. They prefer to starve the industry and are willing to forgo the environmental, health, safety and security benefits associated with a vibrant, growing clean nuclear energy industry.

The rest of us aren’t willing to give up the benefits, especially when decades worth of experience has shown us that nuclear energy risks are lower than those associated with available replacement power sources.

Regulatory efforts that eliminate unnecessary limits will help nuclear project deployers overcome some of the few credible concerns remaining about expanding the use of nuclear energy. It’s true that nuclear plants cost too much and take too long between planning and project completion.

A mission-driven regulator that protects health and safety while recognizing the relatively larger human costs and environmental risks associated with competitive energy sources will enable fission power to increase its role in addressing all facets of the energy trilemma – energy security, energy equity and environmental sustainability.

An exciting, growing, problem-solving and respected industry will attract an increasing flow of talented people who can develop the skills needed to reinforce the industry’s growth potential.

Nuclear plants use the same power conversion technology as fossil fuel plants, but they have recently been costing several multiples more in Western countries. There are no good reasons for that situation to continue to be true.

If bureaucratic inertia prevents the mission realignment directive from producing the intended results, the Advance Act’s language provides licensees a tool for challenging NRC impositions when a legal case can be made that NRC regulations or processes “unnecessarily limit” the use of nuclear energy.

Though it’s not blindingly obvious, giving the NRC a new sense of mission will make a global impact. The US Nuclear Regulatory Commission has a well-earned reputation as being the world’s most influential nuclear regulator. Its altered focus and processes will inspire improvements elsewhere.

Additional features of the ADVANCE Act

Even though it has the potential for outsized impact, the word count of the “mission realignment” portion of the Advance Act is a minor fraction of the act itself. There are additional useful features and provisions of the important new law.

The Advance Act gives the NRC increased responsibilities in international nuclear regulations and trade, reduces fees for advanced reactor license applicants, establishes prizes for the first of a kind licenses in five different categories, delineates some considerations for licensing reactors for nonelectric applications, directs the preparation for licensing demonstration reactors on DOE or other national security sites, mentions fusion energy, requires new considerations and processes related to nuclear plant siting choices, establishes timelines for combined license application reviews, requires regulatory provisions for micro-reactors, modifies prohibitions on foreign ownership of nuclear power plants, directs a report on advanced manufacturing for nuclear energy projects, seeks to improve the process of qualifying advanced and accident tolerant nuclear fuels, authorizes special hiring authority and requires improvements in nuclear reactor environmental reviews.

The Clean Air Task Force issued a press release with the following comment on the importance of the Act.

“As we continue to decarbonize our nation’s energy system and address growing energy demand, we need all options available and nuclear energy will play an important role in making sure we are able to meet these challenges.  The passage of the ADVANCE Act will bolster the United States’ ability to expand its capacity for this carbon-free, always available energy source,” said Evan Chapman, U.S. Federal Policy Director at Clean Air Task Force. “Nuclear energy has bipartisan support, and has a range of economic, national security, and climate benefits. This bill will address current barriers to deploying innovative nuclear energy technologies, help preserve existing nuclear capacity, and build capacity at the Nuclear Regulatory Commission, marking a significant step forward for American nuclear energy leadership. We applaud Congress for passing this important legislation and look forward to President Biden’s signature to turn this act into law.”

Sources

You can find more detailed information about the rest of the act from these excellent sources.

  1. SIGNED: Bipartisan ADVANCE Act to Boost Nuclear Energy Now Law, Senate Committee on Environment & Public Works, July 9, 2024.
  2. Rodgers, Pallone, Carper, Capito Celebrate Signing of Bipartisan Nuclear Energy Bill, the ADVANCE Act, July 9, 2024.
  3. The White House, Bill Signed S. 870, July 9, 2024.
  4. The ADVANCE Act—Legislation Crucial for a U.S. Nuclear Renaissance—Clears Congress. Here's a Detailed Breakdown by Sonal Patel, Power Magazine June 20, 2024
  5. Congress Passes ADVANCE Act to Facilitate U.S. Development of Advanced Nuclear Reactors Sidley Austin LLP, June 26, 2024

July 9, 2024

The ADVANCE Act becomes law

President Biden has signed S. 870 into law, the Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy (ADVANCE) Act, which is bipartisan legislation that will provide a major boost to the future of nuclear energy in America.

SIGNED: Bipartisan ADVANCE Act to Boost Nuclear Energy Now Law

Newspaper articles are not yet out, so the following comes directly from the Senate Committee on Environment & Public Works Minority press release, issued jointly by Senate EPW leaders and House Commerce Committee leaders upon the signing of the legislation by President Biden. (For Nucleation Capital's reaction, please read "Biden Signs the ADVANCE Act," which is available on our blog.)

WASHINGTON, D.C. – Today, the president signed into law the Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy (ADVANCE) Act, bipartisan legislation to provide a major boost to the future of nuclear energy in America.

U.S. Senator Shelley Moore Capito (R-W.Va.), Ranking Member of the Senate Environment and Public Works (EPW) Committee, EPW Chairman Tom Carper (D-Del.), U.S. Rep. Cathy McMorris Rodgers (R-Wash.-05), Chair of the House Energy and Commerce (E&C) Committee, and U.S. Rep. Frank Pallone, Jr. (D-N.J.-06), Ranking Member of the House Energy and Commerce Committee, released the below statements celebrating the enactment of the bipartisan bill (S.870), which passed the Senate by a vote of 88-2 and passed the House by a vote of 393-13.

“With the ADVANCE Act being signed into law, we secured a landmark win for the future of nuclear energy here in America,” EPW Ranking Member Capito said. “Getting substantive, bipartisan policy across the finish line isn’t always easy, but this is the result of years of work to build widespread consensus about the benefits of advanced nuclear reactors to our electric grid, economy, and environment. I’m thrilled the ADVANCE Act is now law to enable the deployment of new nuclear and help keep the United States as the world’s nuclear energy leader.”

“Today is a momentous day for our climate and America’s clean energy future,” EPW Chairman Carper said. “The urgency of the climate crisis demands a swift transition to cleaner energy sources, and fortunately the ADVANCE Act helps us to do just that. This bipartisan law will strengthen our energy and national security, lower greenhouse gas emissions and create thousands of new jobs, while ensuring the continued safety of this zero-emissions energy source. I’m thankful to each of my colleagues and their staffs who helped write, pass and deliver this bill to the President’s desk.”

“The Energy and Commerce Committee has a rich history of advancing major bipartisan solutions, and I’m extremely proud that our years of hard work to strengthen American nuclear energy have paid off with this significant legislation that will improve energy reliability and reduce costs for American families and businesses,” E&C Chair McMorris Rodgers said. “This is a major victory for the American people and will help cement U.S. energy leadership for decades to come. I want to thank everyone who has worked tirelessly to get this legislation signed into law, especially the Chair of our Energy Subcommittee and bill author Rep. Jeff Duncan.”

“Nuclear power plays an important role in producing carbon-free power for our electric grid, and now our nuclear industry will have the framework it needs to strengthen America’s energy leadership,” E&C Ranking Member Pallone said. “By ensuring we can deploy safer and more reliable nuclear power, the ADVANCE Act will help combat our dependence on dirty fossil fuels, strengthening our energy independence and securing our economic security.  I’m grateful to have worked alongside my colleagues to get this across the finish line.”

The ADVANCE Act will:

  • Facilitate American Nuclear Energy Leadership by:
    • Empowering the Nuclear Regulatory Commission (NRC) to lead in international forums to develop regulations for advanced nuclear reactors.
    • Directing the Department of Energy (DOE) to improve its process for approving the export of American technology to international markets, while maintaining strong standards for nuclear non-proliferation.
  • Support Development and Deployment of New Nuclear Energy Technologies by:
    • Reducing regulatory costs for companies seeking to license advanced nuclear reactor technologies.
    • Creating a prize to incentivize the successful deployment of next-generation reactor technologies.
    • Requiring the NRC to develop a pathway to enable the timely licensing of microreactors and nuclear facilities at brownfield and retired fossil-fuel energy generation sites.
    • Directing the NRC to establish an accelerated licensing review process to site and construct reactors at existing nuclear sites.
  • Preserve Existing Nuclear Energy by:
    • Modernizing outdated rules that restrict international investment.
  • Strengthen America’s Nuclear Energy Fuel Cycle and Supply Chain Infrastructure by:
    • Directing the NRC to enhance its ability to qualify and license accident-tolerant fuels and advanced nuclear fuels that can increase safety and economic competitiveness for existing reactors and the next generation of advanced reactors.
    • Tasking the NRC to evaluate advanced manufacturing techniques to build nuclear reactors better, faster, cheaper, and smarter.
  • Improve Commission Resources and Efficiency by:
    • Providing flexibility for the NRC to better manage and invest its resources in activities that support NRC’s modernization efforts and address staffing issues.
    • Providing the NRC Chair the tools to hire and retain exceptionally well-qualified individuals to successfully and safely review and process applications for advanced nuclear reactor licenses.
    • Requiring the NRC to update its Mission Statement to reflect modern beneficial use of nuclear material and energy.
    • Mandating the NRC to establish a licensing structure to support an efficient, timely, and predictable regulatory review.
    • Charging the NRC to streamline the NEPA environmental review process.
Sources

You can find more detailed information about the rest of the act from these excellent sources.

  1. SIGNED: Bipartisan ADVANCE Act to Boost Nuclear Energy Now Law, Senate Committee on Environment & Public Works, July 9, 2024.
  2. Rodgers, Pallone, Carper, Capito Celebrate Signing of Bipartisan Nuclear Energy Bill, the ADVANCE Act, July 9, 2024.
  3. The White House, Bill Signed S. 870, July 9, 2024.
  4. The ADVANCE Act—Legislation Crucial for a U.S. Nuclear Renaissance—Clears Congress. Here's a Detailed Breakdown by Sonal Patel, Power Magazine June 20, 2024
  5. Congress Passes ADVANCE Act to Facilitate U.S. Development of Advanced Nuclear Reactors Sidley Austin LLP, June 26, 2024

June 18, 2024

Congress overwhelmingly passes the ADVANCE Act

By a vote of 88 to 2, the Congress overwhelmingly passed the reconciled ADVANCE Act (S. 870) in a powerful, bipartisan show of support for advanced nuclear power, accelerating deployments and bringing the NRC into the 21st century, so it can enable and support the growth of next-generation nuclear energy. 

Alexander C. Kaufman, writing in the Huffington Post, called the ADVANCE (Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy) Act "the biggest clean-energy bill since Biden's climate law." What it really is, is legislation designed to "reverse the American nuclear industry’s decades-long decline and launch a reactor-building spree to meet surging demand for green electricity at home and to catch up with booming rivals overseas." And, according to Diana DeGette (D-Colo.), a “much needed modernization of our nuclear regulatory framework.”

There are a number of very important provisions in the bill but, one of the most important is the provision which tasks the NRC with rewriting its mission statement so as to avoid unduly limiting nuclear and thereby preventing efforts to allow society to benefit from its clean power. The bill also reduces the fees charged to developers and helps speed up the process for licensing new reactors, hiring key staff and coordinating with foreign regulators to speed deployments.

The passage of the ADVANCE Act continues a long-term trend of strong bipartisan unity on nuclear-related bills, demonstrating agreement by Democrats and Republicans on the importance of expanding clean and reliable energy. The House of Representatives had previously passed its corresponding legislation by a vote of 365 to 36, strengthening and expanding upon the version passed back in July by the Senate.

“Republicans and Democrats recognize the development of new nuclear technologies is critical to America’s energy security and our environment,” Sen. Shelley Moore Capito (R-W.Va.), the bill’s lead sponsor, said on the Senate floor Tuesday evening. “Today, nuclear power provides about 20% of our nation’s electricity. Importantly, it’s emissions-free electricity that is 24/7, 365 days a year.”

“This bipartisan policy creates the framework for companies to start building that order book for a second project and a third project and ultimately get the NRC ready to license dozens per year,” said Nicholas McMurray, the managing director of international and nuclear policy at energy policy group ClearPath.

The ADVANCE Act is specifically tailored to boost the next generation of reactors being designed now, that are not currently in commercial production in the U.S. Some of these newer designs will be migrating away from water cooling and will use other types of coolants, such as liquid metal or high-temperature gas, which have a range of benefits, such as enhanced safety, allowing reactors to run on different types of fuel, producing less waste and being able to operate at higher temperatures and be sized to suit the needs of users in more settings than a traditional nuclear plant.

In recognition of these so-called fourth-generation reactor models’ unique uses and the urgency of bringing these designs to market, the bill authorizes the Department of Energy to give out financial awards to the first companies to meet specific goals, such as using fuel made from recycled nuclear waste or generating heat that could be used for industrial process heat, rather than electricity production.

Given that the Biden-Harris Administration has just announced steps to bolster the domestic nuclear industry and advance America's Clean Energy Future, it seems highly likely that Biden will sign the legistlation. Meanwhile, the DOE has also just announced that it has allocated an additional $900 million to accelerate the deployment of next-generation small modular reactors.

Together, these actions amount to laying the foundation necessary to help America finally compete with Russia and China. Speaking in support of the legislation Tuesday, Senate Majority Leader Chuck Schumer (D-N.Y.) said the bill would “support job growth, clean energy and leadership while preserving the NRC’s fundamental safety mission.'

Sources

The Huffington Post, "Congress Just Passed The Biggest Clean-Energy Bill Since Biden's Climate Law:It's all on nuclear," by Alexander C. Kaufman June 20, 2024.

DOE Fact Sheet: Biden-Harris Administration Announces New Steps to Bolster Domestic Nuclear Industry and Advance America’s Clean Energy Future, May 29th, 2024.

Office of Nuclear Energy, Enhanced Safety of Advanced Reactors, 2024.

DOE Announces $900 Million to Accelerate the Deployment of Next-Generation Light-Water Small Modular Reactors, June 17, 2024

May 29, 2024

Biden’s Brilliance Advances Nuclear

The Biden-Harris Administration held a summit on Domestic Nuclear Deployment and announced major new steps to bolster the U.S. domestic nuclear industry and advance America’s (and likely the whole world's) clean energy future. This is political leadership, informed by science, industry, policy, practice and realism, at its best. The effects of Biden's brilliance in this area—with his focus on accelerating the deployment of the only energy technology that can compete head to head with fossil fuels—can make a real difference in how quickly and cost-effectively next generation nuclear will get to market and is exactly what we need to finally enable us to move the needle on climate.

According to numerous analyses, the Biden Administration is taking decisive steps to support the construction of large-scale nuclear reactors, crucial for meeting our clean energy goals, as well as supporting the licensing and development of next-generation nuclear power plants. The White House has formed an expert group whose focus and mission will be to work on solving the problems that are cause delays to new projects and thus eliminate, reduce or mitigate industry risks to ensure timely completion of projects and bolster progress towards a carbon-free power sector by 2035 and a net-zero emissions economy by 2050.  The text of the White House Fact Sheet is so perfect, it is better to reprint it than attempt to summarize it.  See the first few paragraphs below, but click the links to go directly to the sources.

For decades, nuclear power has been the largest source of clean energy in the United States, accounting for 19% of total energy produced last year. The industry directly employs nearly 60,000 workers in good paying jobs, maintains these jobs for decades, and supports hundreds of thousands of other workers.  In the midst of transformational changes taking place throughout the U.S. energy system, the Biden-Harris Administration is continuing to build on President Biden’s unprecedented goal of a carbon free electricity sector by 2035 while also ensuring that consumers across the country have access to affordable, reliable electric power, and creating good-paying clean energy jobs. Alongside renewable power sources like wind and solar, a new generation of nuclear reactors is now capturing the attention of a wide range of stakeholders for nuclear energy’s ability to produce clean, reliable energy and meet the needs of a fast-growing economy, driven by President Biden’s Investing in America agenda and manufacturing boom. The Administration recognizes that decarbonizing our power system, which accounts for a quarter of all the nation’s greenhouse gas emissions, represents a pivotal challenge requiring all the expertise and ingenuity our nation can deliver.

The Biden-Harris Administration is today hosting a White House Summit on Domestic Nuclear Deployment, highlighting the collective progress being made from across the public and private sectors. Under President Biden’s leadership, the Administration has taken a number of actions to strengthen our nation’s energy and economic security by reducing – and putting us on the path to eliminating – our reliance on Russian uranium for civil nuclear power and building a new supply chain for nuclear fuel, including: signing on to last year’s multi-country declaration at COP28 to triple nuclear energy capacity globally by 2050; developing new reactor designs; extending the service lives of existing nuclear reactors; and growing the momentum behind new deployments. Recognizing the importance of both the existing U.S. nuclear fleet and continued build out of large nuclear power plants, the U.S. is also taking steps to mitigate project risks associated with large nuclear builds and position U.S. industry to support an aggressive deployment target.

To help drive reactor deployment while ensuring ratepayers and project stakeholders are better protected, theAdministration is announcing today the creation of a Nuclear Power Project Management and Delivery working group that will draw on leading experts from across the nuclear and megaproject construction industry to help identify opportunities to proactively mitigate sources of cost and schedule overrun risk. Working group members will be made up of federal government entities, including the White House Office of Domestic Climate Policy, the White House Office of Clean Energy Innovation & Implementation, the White House Office of Science and Technology Policy, and the Department of Energy.  The working group will engage a range of stakeholders, including project developers, engineering, procurement and construction firms, utilities, investors, labor organizations, academics, and NGOs, which will each offer individual views on how to help further the Administration’s goal of delivering an efficient and cost-effective deployment of clean, reliable nuclear energy and ensuring that learnings translate to cost savings for future construction and deployment.

The United States Army is also announcing that it will soon release a Request for Information to inform a deployment program for advanced reactors to power multiple Army sites in the United States. Small modular nuclear reactors and microreactors can provide defense installations resilient energy for several years amid the threat of physical or cyberattacks, extreme weather, pandemic biothreats, and other emerging challenges that can all disrupt commercial energy networks.  Alongside the current defense programs through the Department of the Air Force microreactor pathfinder at Eielson AFB and the Office of the Secretary of Defense (OSD) Strategic Capabilities Office (SCO) Project Pele prototype transportable microreactor protype, the Army is taking a key role in exploring the deployment of advanced  reactors that help meet their energy needs. These efforts will help inform the regulatory and supply chain pathways that will pave the path for additional deployments of advanced nuclear technology to provide clean, reliable energy for federal installations and other critical infrastructure.

Additionally, the Department of Energy released today a new primer highlighting the expected enhanced safety of advanced nuclear reactors including passive core cooling capabilities and advanced fuel designs. Idaho National Laboratory is also releasing a new advanced nuclear reactor capital cost reduction pathway tool that will help developers and stakeholders to assess cost drivers for new projects.

Continue reading the White House announcement here:   "Fact Sheet: Biden-⁠Harris Administration Announces New Steps to Bolster Domestic Nuclear Industry and Advance America’s Clean Energy Future,"  May 29, 2024.

February 28, 2024

The Atomic Energy Advancement Act Clears the House



The Atomic Energy Advancement Act, which aims to accelerate the deployment of nuclear energy technologies, such as advanced nuclear reactors, was passed by the otherwise highly polarized House of Representatives by the overwhelmingly bipartisan vote of 365 to 36. The bill directs the Nuclear Regulatory Commission (NRC) "To advance the benefits of nuclear energy by enabling efficient, timely, and predictable licensing, regulation, and deployment of nuclear energy technologies."

In particular, the Atomic Energy Advancement Act (HR 6544) gives the Nuclear Regulatory Commission one year to update the mission statement of the Commission to specifically ensure that the licensing and regulation of nuclear energy activities be conducted in a manner that "does not unnecessarily limit: (A) the potential of nuclear energy to improve the general welfare; and (B) the benefits of nuclear energy technology to society. This is a welcomed shift, as previously, the NRC acted as though their only mandate was "zero accidents." When that translates to zero licensed reactors, that makes us all far less safe because the alternative is the use of deadly fossil fuels.  The NRC must now balance these clear priorities! 

Representative Jeff Duncan of South Carolina applauded the passage of the HR 6544 saying: “The Atomic Energy Advancement Act restores American leadership in nuclear energy and technology which is critical to our economic and national security. I’m proud to lead the most significant update to nuclear energy policy in the United States in over a generation.”

Rep. Diana DeGette, a Democrat from Colorado, who co-led the bill with Rep. Jeff Duncan (R-S.C.), released the following statement celebrating its passage: “Tackling the climate crisis means we must modernize our approach to all clean energy sources, including nuclear. From enhancing our energy supply chain to recruiting a highly trained and skilled workforce, this bill makes critical updates to improve safety and ensure our nuclear regulations are up-to-date, pushing us closer to a carbon-free energy future.”

“Nuclear energy is not a silver bullet, but if we’re going to get to net zero carbon emissions by 2050, it must be part of the mix,” DeGette continued. “As this bill heads to the Senate, I look forward to continuing to work with my colleagues in the House and Senate to find bipartisan solutions to address our clean energy needs.”

This House bill must now be reconciled with the Senate’s ADVANCE Act (S.1111), which passed in 2023 and was very similar. Once they are reconciled and passed again, the bill can be signed by President Biden.

The Hill, "House approves bipartisan bill aimed at bolstering nuclear energy," by Rachel Frazin, February 28, 2024.
Also see Congress.gov: The Atomic Energy Advancement Act (H.R. 6544).

Rep. Diana DeGette, "DeGette celebrates passage of her bill to improve nuclear energy safety and modernize regulation," Feb. 28, 2024.

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