- DOE to Award $900M to Build Nuclear Reactors
- DOE Approves Conceptual Safety Design Report for Oklo’s Fuel Fabrication Facility
- Last Energy Announces Plans For £300 Million Microreactor Project In Wales
- First SMR Projects Selected by European Industrial Alliance
DOE to Award $900M to Build Gen III+ Small Nuclear Reactors
- The U.S. Department of Energy opened up applications for $900 million in grants to help deploy next-generation modular reactors
- Partially funded through the Bipartisan Infrastructure Law, the money will be used to help companies and utilities build so-called Generation III nuclear plants that are modular and incorporate enhanced safety measures
- Investing in America funding will help catalyze development of generation III+ light-water small modular reactors
- The country will need an extra 700 to 900 gigawatts of zero-emissions energy to meet the Biden-Harris administration’s goal of net-zero emissions by 2050
The Department of Energy (DOE) opened applications for up to $900 million in funding to support the initial domestic deployment of Generation III+ (Gen III+) small modular reactor (SMR) technologies.
DOE plans to use this funding—made possible in part by President Biden’s Bipartisan Infrastructure Law—to spur deployment of advanced reactor technologies and encourage follow-on reactor projects.
The announcement aims to assist the private sector in establishing a credible and sustainable pathway to deploying a fleet of Gen III+ SMRs across the country that reinforces America’s leadership in the nuclear industry. (Image: Microsoft Bing Image Creator)
“Revitalizing America’s nuclear sector is key to adding more carbon free energy to the grid and meeting the needs of our growing economy—from AI and data centers to manufacturing and healthcare,” said U.S. Secretary of Energy Jennifer M. Granholm. .”
“Next-generation nuclear energy will play an important role in building the clean power sector of the future,” said Senior Advisor to the President for International Climate Policy John Podesta.
“President Biden and Vice President Harris made a big bet on America’s energy potential, and this Administration’s investments to jumpstart our nuclear future are paying off in a big way,” said White House National Climate Advisor Ali Zaidi.
DOE estimates the U.S. will need approximately 700-900 GW of additional power generation capacity to reach net-zero emissions by 2050. Nuclear power is a proven option that could be deployed to meet this growing demand.
Utilities are looking to extend the lifespan of current nuclear reactors, planning to uprate reactor capacity, reversing plans to close reactors, and even restarting formerly closed reactors.
At the same time, they are exploring building new reactors to meet the fast-growing demand for carbon-free energy. Designed with a variety of capabilities, sizes, and deployment scenarios in mind, SMRs can be used for power generation, process heat, desalination, and more.
In particular, SMRs offer the potential for greater modularity, more factory-style construction, and the ability to be matched with loads and scaled to meet demand.
Additionally, Gen III+ SMRs may be able to revitalize and leverage the expertise, workforce, and supply chains supporting the existing fleet of large light-water reactor designs, thus providing a near-term path for new nuclear deployments and operation.
DOE Anticipates Offering Funding in Two Tiers
Tier 1: First Mover Team Support, managed by the Office of Clean Energy Demonstrations (OCED), will provide up to $800M for milestone-based awards to support up to two first mover teams of utility, reactor vendor, constructor, and end-users/off-takers committed to deploying a first plan. Also, the projects will facilitate a multi-reactor, Gen III+ SMR orderbook and the opportunity to work with the National Nuclear Security Administration (NNSA) to incorporate safeguards and security by design into the projects.
For Tier 1, teams must include a U.S. utility, reactor technology vendor, and engineering, procurement, and construction (EPC) company with the lead applicant being the utility, end-user/off-taker, a development company, or incorporated consortium.
Tier 2: Fast Follower Deployment Support, managed by the Office of Nuclear Energy (NE), will provide up to $100M to spur additional Gen III+ SMR deployments by addressing key gaps that have hindered the domestic nuclear industry in areas such as design, licensing, supplier development, and site preparation.
Tier 2 funding is sorted into three different categories, for which applicants must be either planned project owners or utilities, or entities looking to improve the capability, capacity, or cost competitiveness of the domestic supply chain for Gen III+ SMRs. Read the solicitation for full eligibility criteria.
Contract Eligibility Criteria
This solicitation makes available approximately $900 million in federal funds for projects that will create a credible and sustainable pathway to fleet-level deployment of Gen III+ SMRs. Gen III+ SMRs can provide around-the-clock electricity or process heat to meet the increasing demand for clean, reliable, firm electricity generation or process heat required by U.S. industries.
In particular, SMRs offer the potential for modularity, factory construction, and scalability to meet demand. Additionally, Gen III+ SMRs may be able to revitalize and leverage the service and supply chain infrastructure supporting the existing fleet of light water reactor designs, thus providing a near-term path for new nuclear deployments.
However, a demonstration project is critical to overcoming the first-of-a-kind commercial adoption challenges for Gen III+ SMR technology, including:
Cost Reliability – Delivered cost of recent reactor projects, including cost-overruns and project non-completion, has constrained nuclear energy relative to competing baseload technologies, such as natural gas.
Resource Maturity – Multiple factors have hindered adoption including:
- Capital Flow – Delays and non-completion of past nuclear projects has resulted in capital flow constraints, where the return of capital and return on capital are on time horizons that inhibit investors and significantly impact an owner’s credit rating.
- Project Development, Integration, and Management – There is no leading constructor for new nuclear projects and the lack of integrated project delivery models has constrained prior projects.
- Manufacturing and Supply Chain – The current domestic nuclear supply chain faces severe bottlenecks on long-lead procurements for major project components. This lack of resilience in capacity, capability, and cost competitiveness is forcing procurements overseas.
- Workforce – The limited number of nuclear-qualified workers, such as welders and plant operators, presents a challenge to scaling nuclear deployments.
Licensing Uncertainty – The risk of licensing new technologies, including the timeframe and cost associated with receiving NRC approval of new nuclear designs, drives hesitancy for potential adopters.
Funding applications will be selected based on the expectations and details described throughout this solicitation. Priority will be given to projects with (1) the highest probability of a successful deployment, (2) the greatest potential to develop a Gen III+ SMR orderbook, and (3) the greatest potential contribution to the resilience of the domestic nuclear industry.
Application Information
Applications are due on January 17, 2025, at 5pm ET. For more information, visit the Gen III+ SMR engagement webpage Applicants may wish to register for the informational webinar on October 22, 2024 here.
Questions about the solicitation may be directed to Gen3PlusSMR@hq.doe.gov. Questions about navigating OCED eXCHANGE may be directed to OCED-ExchangeSupport@hq.doe.gov.
Learn more about how OCED, NE, and the Department’s updated Pathways to Advanced Nuclear Commercial Liftoff support the research, development, demonstration, and deployment of technologies that will help the U.S. nuclear sector support our nation’s ambitious goal of a net-zero emissions by 2050.
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DOE Approves Conceptual Safety Design Report for Oklo’s Aurora Fuel Fabrication Facility
The U.S. Department of Energy (DOE) the conceptual design for Oklo Inc.’s Aurora Fuel Fabrication Facility. The new facility will be located at Idaho National Laboratory (INL) and will help turn used material recovered from DOE’s former EBR-II reactor into usable fuel for its advanced nuclear power plant. Oklo anticipates the first commercial Aurora powerhouse will be deployed in 2027.
Fuel for Aurora
The Conceptual Safety Design Report was first submitted earlier this year to DOE’s Idaho Operations Office, which is responsible for the nuclear safety and regulatory authority for the project. The approval of the design concept is an important step in demonstrating advanced fuel recycling technologies.
The Aurora powerhouse is a liquid-metal-cooled fast reactor that is designed to operate on both fresh high-assay low-enriched uranium (HALEU) and used nuclear fuel. The new facility will fabricate fuel using HALEU sourced from EBR-II.
(EBR-II HALEU Fuel. Image: INL)
Oklo has been granted access to 5 metric tons of HALEU as part of a cooperative agreement with INL that was competitively awarded in 2019. The newly fabricated fuel will be used to power the initial Aurora powerhouse reactor core at INL. DOE will retain ownership of the HALEU both during and after its use.
What’s Next?
Oklo will continue to work with INL to complete the facility design and obtain DOE approval before the start of construction.
Last month, Oklo finalized agreements with DOE to begin site characterization of their preferred location for the Aurora powerhouse reactor to support their combined license application to the U.S. Nuclear Regulatory Commission.
Oklo has also received previous DOE support through several GAIN vouchers to advance its Aurora powerhouse design, along with additional funding to demonstrate recycling technologies through ARPA-E. Learn more about our GAIN program.
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Last Energy Announces Plans For £300 Million Microreactor Project In Wales
- Commercial discussions have begun with ‘range of local industrial customers’
(NucNet) US startup Last Energy plans to build a £300M (€359M, $391M) micro nuclear project in Wales to supply local industrial customers, the company said on Tuesday.
Last Energy UK, a subsidiary of Washington-based Last Energy, said it would not require any public funding for the project on a former coal plant site in Bridgend, south Wales, which could be generating power in 2027.
The company said it was in commercial discussions with a range of local industrial customers and that power purchase agreements were expected to underpin the finances of the project.
It said it has begun site surveys and the planning process to build the plants on a vacant site that housed the coal-fired Llynfi Power Station, about 40 km west of the Welsh capital Cardiff, from 1951 to 1977.
Last Energy’s plants will deliver power to mid-size manufacturers throughout the region, providing 24/7 baseload power and putting the local economy on a path toward industrial decarbonization.
The company plans to source at least 10% of its needs from South Wales suppliers, translating to a £30 million local economic investment (not including business rates collected by Bridgend County) and at least 100 local full-time jobs.
Last Energy’s flagship product is the PWR-20, a 20 MW micro-nuclear power plant based on established pressurized water reactor (PWR) nuclear technology. It uses standard PWR fuel.
According to Last Energy, the “plug and play” PWR-20 combines proven nuclear technology with modular construction to deploy on time and on budget. The company says it has non-binding commercial agreements for 80 units throughout Europe, most of which will be developed throughout the UK.
Last Energy UK chief executive officer Michael Jenner said Last Energy’s emphasis on mass-manufacturability allows it to deliver significantly smaller plants in under 24 months with purely private financing.
Last Energy said previously it has been in contact with the UK Office of Nuclear Regulation (ONR) regarding licensing under the generic design assessments (GDA) process. However, so far the firm has not announced completion of any of the key milestones of the GDA nor an expected date for completion of it. The process is expensive and can take up to four years to complete.
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First SMR Projects Selected by European Industrial Alliance
(WNN) The European Commission has selected nine small modular reactor projects – including two lead-cooled fast reactors – in the initial round of applications to form Project Working Groups under the European Industrial Alliance on SMRs.
The European Commission (EC) launched an Industrial Alliance dedicated to SMRs in February this year, aiming to facilitate the development of SMRs in Europe by the early 2030s.
The Alliance works through working groups to improve the conditions for the development and deployment of SMRs, including rebuilding the supply chain for nuclear power. The activities aim to support specific SMR projects and accelerate their deployment on the European market.
The EC said the initial membership call elicited responses from more than 300 stakeholders, encompassing SMR technology designers, utilities, energy-intensive users, supply chain companies, research institutes, financial institutions, and civil society organizations. The alliance members and its governing board were formally confirmed at the inaugural General Assembly in Brussels on 29-30 May.
In pursuit of tangible project outcomes, in June the Alliance launched a call for SMR projects wishing to be considered for the Alliance’s Project Working Groups (PWGs). Subsequently, the governing board, with the assistance of the Alliance secretariat, conducted a review and assessment of the 22 applications received.
Following the second meeting of the governing board – held on 7 October – the first batch of SMR projects that would constitute the PWGs under the Alliance have been selected. They include:
- EU-SMR-LFR project (Ansaldo Nucleare, SCK-CEN, ENEA, RATEN);
- CityHeat project (Calogena,Steady Energy);
- Project Quantum (Last Energy); European LFR AS Project (Newcleo);
- Nuward (EDF);
- European BWRX-300 SMR (OSGE);
- Rolls-Royce SMR (Rolls-Royce SMR Ltd);
- NuScale VOYGR SMR (RoPower Nuclear SA); and
- Thorizon One project (Thorizon).
“Each of these projects will have the opportunity to constitute a PWG involving all partners interested in collaboration with the project,” the EC said.
The EC said most of the other projects that applied in the first assessment round and were not selected in the first batch of SMR projects will have the opportunity to submit a new application in the next round, which is expected to be organized in the second quarter of 2025.
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