Interest in new reactor deployments and existing reactor life extensions is surging, encouraged by production and investment tax credits from the Inflation Reduction Act and led by electricity demand from tech companies. Last week alone saw Google and Amazon investing in Kairos Power’s fluoride salt–cooled reactor and X-energy’s high-temperature, gas-cooled reactor, respectively. On October 16, the DOE’s Office of Clean Energy Demonstrations issued a solicitation to award $900 million to support the initial domestic deployment of light water–cooled small modular reactor technologies.

Ken Petersen
president@ans.org

With all that is happening in the industry these days, the nuclear fuel supply chain is still a hot topic. The Russian assault in Ukraine continues to upend the “where” and “how” of attaining nuclear fuel—and it has also motivated U.S. legislators to act.

Two years into the Russian war with Ukraine, things are different. The Inflation Reduction Act was passed in 2022, authorizing $700 million in funding to support production of high-­assay low-enriched uranium in the United States. Meanwhile, the Department of Energy this January issued a $500 million request for proposals to stimulate new HALEU production. The Emergency National Security Supplemental Appropriations Act of 2024 includes $2.7 billion in funding for new uranium enrichment production. This funding was diverted from the Civil Nuclear Credits program and will only be released if there is a ban on importing Russian uranium into the United States—which could happen by the time this column is published, as legislation that bans Russian uranium has passed the House as of this writing and is headed for the Senate. Also being considered is legislation that would sanction Russian uranium. Alternatively, the Biden-Harris administration may choose to ban Russian uranium without legislation in order to obtain access to the $2.7 billion in funding.

Officially established on November 15, 2021, with the signing of the $1.2 trillion Infrastructure Investment and Jobs Act—aka the Bipartisan Infrastructure Law, or BIL—the Department of Energy’s Civil Nuclear Credit Program was designed to give owners/operators of commercial U.S. reactors the opportunity to apply for certification and competitively bid on credits to help support the continued operation of economically troubled units. Finally, the federal government, and not just certain farsighted state governments, would recognize nuclear energy for its important grid reliability and decarbonization attributes.

“Right now, our country is deficient in nearly every aspect of the fuel cycle. This must change and it must change quickly,” said Sen. Joe Manchin (D., W.V.), chairman of the Senate Committee on Energy and Natural Resources (ENR), as he opened a Full Committee Hearing to Examine the Nuclear Fuel Cycle on March 9. “Whether it is uranium mining, milling, conversion, enrichment, nuclear fuel fabrication, power generation, or nuclear waste storage and disposal, there is much work to be done, starting with conversion and enrichment. Simply put, Russia dominates the global market, representing nearly half of the international capacity for both processes.”