Nuclear Energy Breakthrough: The ADVANCE Act Will Accelerate American Leadership

In a major boost for nuclear energy innovation and deployment in the United States, the United States Senate has passed the ADVANCE ACT(Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy) (ADVANCE). This comprehensive legislation, once signed by President Biden, is set to bring domestic nuclear energy regulations into the 21st century, accelerate innovation, and solidify American leadership in nuclear energy.

While the ADVANCE Act encompasses a wide range of measures, there are three provisions that nuclear advocates and proponents of clean energy should be particularly excited about:

1. Enabling Demonstration of Advanced Nuclear Reactors on DOE Sites

One of the most significant provisions of the ADVANCE Act is the removal of the Nuclear Regulatory Commission’s (NRC) fees associated with pre-application activities and review of early site permits on Department of Energy (DOE) sites or critical national security infrastructure. This move recognizes that compliance costs are among the most expensive parts of the NRC application process, often presenting a significant barrier to innovation.

Bringing first-of-a-kind technologies to market is a long and arduous process and often requires the help of the federal government, especially in the early stages of innovation. DOE, particularly the Idaho National Laboratory (INL), plays a crucial role in working with developers to scale up first-of-a-kind advanced reactor designs. INL is currently working with advanced reactor developer Oklo to create its novel Aurora microreactor design, and Curio to build a reprocessing facility for spent fuel. The lab is also set to complete the MARVEL microreactor in 2025—a sodium-potassium-cooled reactor that will generate 85 kilowatts of thermal energy and provide the prototype for startup microreactor company Aalo.

In the past, INL has also worked with NuScale, whose VOYGR reactor was the first advanced reactor design to be certified by the NRC. 

By eliminating certain fees at DOE sites, the ADVANCE Act reduces the financial burden on advanced reactor companies and lowers barriers to innovative breakthroughs. 

2. Advanced Nuclear Reactor Prizes

The ADVANCE Act amends the Nuclear Energy Innovation and Modernization Act (NEIMA) to authorize the Secretary of Energy to award financial prizes to eligible entities that receive an operating license from the NRC for various categories of advanced nuclear reactors. 

While the federal government has several programs to provide support to startups, these cash prizes are designed to incentivize and accelerate innovation by helping companies bridge the "valley of death" – the critical phase when a startup begins operating without revenue, relying solely on initial invested capital. These prizes can attract investors and expedite the commercialization process, ultimately driving the development of cutting-edge nuclear technologies.

These prizes will be awarded to: 

• The first advanced nuclear reactor for which the NRC issues a license;

• An advanced reactor that uses isotopes derived from spent nuclear fuel or depleted uranium as fuel and is the first advanced nuclear reactor that the NRC issues a license;

• An advanced reactor that is a nuclear-integrated energy system composed of two or more co-located or jointly operated subsystems of energy generation, energy storage, or other technologies, in which not fewer than 1 subsystem is a nuclear energy system and the purpose is to reduce greenhouse gas emissions in both the power and the nonpower sectors, and to maximized energy production and efficiency;

• An advanced reactor that operates flexibly to generate electricity or higher temperature process heat for nonelectric applications and is the first advanced reactor for the NRC to issue a license; or

• The first advanced reactor for which the NRC grants approval to load nuclear fuel pursuant to the technology-inclusive regulatory framework.
  

3. Foreign Ownership Reforms

The ADVANCE Act addresses the long-standing foreign ownership restrictions in the Atomic Energy Act of 1954, which prohibited issuing reactor licenses to certain foreign corporations and entities. The new legislation provides an exception for entities owned, controlled, or dominated by the governments, corporations, or citizens of countries that are members of the Organization for Economic Cooperation and Development (OECD) or the Republic of India.

This reform opens the door for allied nations like South Korea, a leader in nuclear energy construction and innovation, to own and operate nuclear power plants in the United States. Increased competition in the industry will undoubtedly drive down costs and promote technological advancements, benefiting both the nuclear sector and the broader energy landscape. This reform also puts nuclear energy on the same playing field as solar, wind, and natural gas, whose projects in the U.S. can already be owned and operated by foreign companies. 

By addressing regulatory barriers, providing financial incentives, and fostering international collaboration, the ADVANCE Act represents a significant step forward in unleashing the full potential of nuclear energy as a clean, reliable, and secure source of power for the future.