Nuclear Energy Update
Posted: Wed May 28, 2025 8:32 am
On Friday May 23, President Trump signed four comprehensive executive orders intended to jumpstart and streamline U.S. investment in nuclear energy. The directives constitute the most significant nuclear policy and regulatory reform actions taken in decades and set an ambitious agenda to quadruple U.S. nuclear capacity from 100 GW to 400 GW by 2050. Collectively, the executive orders envision sparking a renaissance in U.S. nuclear engineering in support of U.S. national security and geoeconomic exceptionalism. They specifically seek to position U.S. nuclear power as critical infrastructure for U.S. dominance in artificial intelligence (AI), quantum computing, microchip manufacturing, and petrochemical production, among other industries. To achieve this objective, the orders call for rapid deployment of advanced nuclear technologies on fixed deadlines, with specific operational targets for July 2026, September 2028, and December 2030.
The purpose of this note is to briefly summarize each executive order. We then offer brief concluding remarks. An appendix provides some useful facts and figures on the current role of nuclear energy in U.S. electricity generation.
Executive Order: Deploying Advanced Nuclear Reactor Technologies for National Security (“National Security”)
The first executive order identifies the unacceptable risk of allowing mission critical operations to be vulnerable to external threats or grid failures. To address this vulnerability, the order accelerates nuclear deployment at federal sites, mandating a new reactor at a U.S. military base become operational by September 30, 2028 and directing the Energy Department (DOE) to activate advanced reactors at designated sites within 30 months. It classifies AI data centers at DOE facilities as “critical defense infrastructure”, linking nuclear power to technological competitiveness against geopolitical rivals. The order prioritizes fuel supply by releasing 20 metric tonnes of high-assay low-enriched uranium (HALEU) for private projects and authorizes private-sector nuclear fuel recycling at federal sites. By designating the Army as the regulatory authority for military installations, it bypasses traditional Nuclear Regulatory Commission (NRC) oversight. These measures aim to bolster national security while addressing AI’s energy demands and reducing reliance on foreign nuclear resources.
Executive Order: Reinvigorating the Nuclear Industrial Base
(“Industrial Renaissance”)
The second executive order targets rebuilding U.S. nuclear infrastructure, mandating 5 gigawatts of power uprates to existing reactors and 10 “new large reactors with complete designs” under construction by 2030—a stark contrast to only two reactors built since 1978. The strategy spans the entire fuel cycle, leveraging the Defense Production Act to secure domestic uranium procurement and spent fuel management agreements. The Energy Secretary is authorized to establish industry consortia via offtake agreements for fuel supply chains. Workforce development addresses aging labor demographics (60% of industry employees are aged 30 to 60, according to DOE data) through apprenticeships, education grants, and national lab access. Federal loan guarantees and DOE Loan Programs Office funding prioritize reactor restarts, construction completions, and uprates. This comprehensive approach aims to revive domestic nuclear capacity while tackling supply chain vulnerabilities and workforce gaps.
Executive Order: Ordering the Reform of the Nuclear Regulatory Commission
(“Regulatory Reform”)
The third executive order mandates a comprehensive NRC restructuring to accelerate nuclear licensing, slashing approval timelines to 18 months for new reactors and 12 months for renewals (vs. current 10+ years). Key reforms include staff reductions, a 20-member regulatory drafting team, and collaboration with the Department of Government Efficiency (DOGE). The NRC must now prioritize economic benefits and national security alongside safety. This marks a cultural shift from its post-Three Mile Island risk-averse stance. Revisions introduce “science-based radiation limits,” fast-track approval for Defense/Energy Department-vetted reactor designs and streamlined processes for microreactors and modular systems.
Executive Order: Reforming Nuclear Reactor Testing at the Department of Energy
(“Testing”)
The fourth executive order accelerates advanced nuclear reactor testing at DOE facilities, establishing a framework for “qualified test reactors” to become operational within two years of application submission. The Secretary of Energy must issue guidance on reactor criteria within 60 days and implement expedited review procedures within 90 days. A pilot program mandates at least three reactors outside national labs, aiming for criticality by July 4, 2026, to demonstrate advanced reactor viability under DOE oversight. The order expedites or eliminates environmental reviews for testing, potentially using categorical exclusions under the National Environmental Policy Act (NEPA). It clarifies that advanced reactor development under DOE control is research, falling under DOE jurisdiction rather than NRC regulation, reducing regulatory uncertainty and speeding technology development.
Conclusion
President Trump has focused on promoting U.S. energy independence and dominance since his second Inauguration Day (Executive Order: Unleashing American Energy, 20-Jan-2025) and before. These bold orders to promote nuclear energy, at home and among U.S. allies (using U.S. technology), are entirely consistent with that mission and the president’s broader interest in promoting U.S. net exports. The “National Security” executive order instructs the Secretary of State to “aggressively pursue at least 20 new [Section] 123 Agreements [under the Atomic Energy Act of 1954] by the close of the 120th Congress to enable the United States nuclear industry to access new markets in partner countries” and to “aggressively renegotiate [Section] 123 Agreements set to expire within the next decade.”
Notably, the American executive orders happen to land in the same week that Germany’s new conservative government dropped Germany’s long-held opposition to classifying nuclear energy as “green power” in the EU renewable energy taxonomy. This policy shift resolves a longstanding sticking point with pro-nuclear France and perhaps open a door for greater cooperation, trade, and innovation among the G-7 leaderships in Europe and North America.
Regardless of whether such cooperation emerges soon or is delayed, the four U.S. executive orders signed on May 23 establish new framework for regulatory reform, capacity expansion, and industrial base revitalization. The orders address longstanding industry concerns about regulatory delays while positioning nuclear energy as critical infrastructure for national security and technological competitiveness. Moreover, the orders’ emphasis on federal site deployment and military applications provides alternative pathways for nuclear technology demonstration that bypass traditional regulatory constraints. This approach may accelerate near-term deployment while providing operational experience for broader commercial applications. The integration of nuclear development with AI infrastructure’s booming power needs reflects contemporary energy demands while establishing nuclear power as essential for maintaining strategic technological advantages.
-----------------------
Natural gas fired power plants are the only near-term solution for AI Data Centers.
The purpose of this note is to briefly summarize each executive order. We then offer brief concluding remarks. An appendix provides some useful facts and figures on the current role of nuclear energy in U.S. electricity generation.
Executive Order: Deploying Advanced Nuclear Reactor Technologies for National Security (“National Security”)
The first executive order identifies the unacceptable risk of allowing mission critical operations to be vulnerable to external threats or grid failures. To address this vulnerability, the order accelerates nuclear deployment at federal sites, mandating a new reactor at a U.S. military base become operational by September 30, 2028 and directing the Energy Department (DOE) to activate advanced reactors at designated sites within 30 months. It classifies AI data centers at DOE facilities as “critical defense infrastructure”, linking nuclear power to technological competitiveness against geopolitical rivals. The order prioritizes fuel supply by releasing 20 metric tonnes of high-assay low-enriched uranium (HALEU) for private projects and authorizes private-sector nuclear fuel recycling at federal sites. By designating the Army as the regulatory authority for military installations, it bypasses traditional Nuclear Regulatory Commission (NRC) oversight. These measures aim to bolster national security while addressing AI’s energy demands and reducing reliance on foreign nuclear resources.
Executive Order: Reinvigorating the Nuclear Industrial Base
(“Industrial Renaissance”)
The second executive order targets rebuilding U.S. nuclear infrastructure, mandating 5 gigawatts of power uprates to existing reactors and 10 “new large reactors with complete designs” under construction by 2030—a stark contrast to only two reactors built since 1978. The strategy spans the entire fuel cycle, leveraging the Defense Production Act to secure domestic uranium procurement and spent fuel management agreements. The Energy Secretary is authorized to establish industry consortia via offtake agreements for fuel supply chains. Workforce development addresses aging labor demographics (60% of industry employees are aged 30 to 60, according to DOE data) through apprenticeships, education grants, and national lab access. Federal loan guarantees and DOE Loan Programs Office funding prioritize reactor restarts, construction completions, and uprates. This comprehensive approach aims to revive domestic nuclear capacity while tackling supply chain vulnerabilities and workforce gaps.
Executive Order: Ordering the Reform of the Nuclear Regulatory Commission
(“Regulatory Reform”)
The third executive order mandates a comprehensive NRC restructuring to accelerate nuclear licensing, slashing approval timelines to 18 months for new reactors and 12 months for renewals (vs. current 10+ years). Key reforms include staff reductions, a 20-member regulatory drafting team, and collaboration with the Department of Government Efficiency (DOGE). The NRC must now prioritize economic benefits and national security alongside safety. This marks a cultural shift from its post-Three Mile Island risk-averse stance. Revisions introduce “science-based radiation limits,” fast-track approval for Defense/Energy Department-vetted reactor designs and streamlined processes for microreactors and modular systems.
Executive Order: Reforming Nuclear Reactor Testing at the Department of Energy
(“Testing”)
The fourth executive order accelerates advanced nuclear reactor testing at DOE facilities, establishing a framework for “qualified test reactors” to become operational within two years of application submission. The Secretary of Energy must issue guidance on reactor criteria within 60 days and implement expedited review procedures within 90 days. A pilot program mandates at least three reactors outside national labs, aiming for criticality by July 4, 2026, to demonstrate advanced reactor viability under DOE oversight. The order expedites or eliminates environmental reviews for testing, potentially using categorical exclusions under the National Environmental Policy Act (NEPA). It clarifies that advanced reactor development under DOE control is research, falling under DOE jurisdiction rather than NRC regulation, reducing regulatory uncertainty and speeding technology development.
Conclusion
President Trump has focused on promoting U.S. energy independence and dominance since his second Inauguration Day (Executive Order: Unleashing American Energy, 20-Jan-2025) and before. These bold orders to promote nuclear energy, at home and among U.S. allies (using U.S. technology), are entirely consistent with that mission and the president’s broader interest in promoting U.S. net exports. The “National Security” executive order instructs the Secretary of State to “aggressively pursue at least 20 new [Section] 123 Agreements [under the Atomic Energy Act of 1954] by the close of the 120th Congress to enable the United States nuclear industry to access new markets in partner countries” and to “aggressively renegotiate [Section] 123 Agreements set to expire within the next decade.”
Notably, the American executive orders happen to land in the same week that Germany’s new conservative government dropped Germany’s long-held opposition to classifying nuclear energy as “green power” in the EU renewable energy taxonomy. This policy shift resolves a longstanding sticking point with pro-nuclear France and perhaps open a door for greater cooperation, trade, and innovation among the G-7 leaderships in Europe and North America.
Regardless of whether such cooperation emerges soon or is delayed, the four U.S. executive orders signed on May 23 establish new framework for regulatory reform, capacity expansion, and industrial base revitalization. The orders address longstanding industry concerns about regulatory delays while positioning nuclear energy as critical infrastructure for national security and technological competitiveness. Moreover, the orders’ emphasis on federal site deployment and military applications provides alternative pathways for nuclear technology demonstration that bypass traditional regulatory constraints. This approach may accelerate near-term deployment while providing operational experience for broader commercial applications. The integration of nuclear development with AI infrastructure’s booming power needs reflects contemporary energy demands while establishing nuclear power as essential for maintaining strategic technological advantages.
-----------------------
Natural gas fired power plants are the only near-term solution for AI Data Centers.