Nuclear Preservation
How the Nuclear Production Tax Credit Ensures American Energy Reliability and Security
The U.S. has the potential to realize our energy and security goals, reducing reliance on foreign countries while meeting the rising energy demand from AI and data centers. But America’s energy security depends on the strength of our nuclear fleet.
Nuclear power is the most reliable source of electricity, running around the clock to power homes, businesses, and critical infrastructure. As electricity demand grows, nuclear ensures a stable, always-on supply of energy.
The fastest, most cost-effective way to expand nuclear energy capacity in the United States is by investing in our existing nuclear fleet. Increasing output at existing plants, extending reactor operations, and restarting recently closed facilities can add thousands of megawatts to the grid in just a few years – the equivalent of three new large-scale reactors – while the U.S. works to build a fleet of new nuclear power plants.
However, the future of America’s existing nuclear industry depends on the nuclear production tax credit (45U) and the clean energy production tax credit (45Y). New nuclear power will also be dependent on the financial and business stability provided by these policies. This foundational Federal support will be needed as states explore investing in new nuclear projects.
The nuclear production tax credit has made a major difference. Before the nuclear production tax credit, 13 reactors closed for economic reasons. As a result of these tax credits, the Crane Clean Energy Center in Pennsylvania will reopen, adding 835MW of electricity to the grid and creating 3,400 direct and indirect jobs. Two more recently shuttered nuclear plants may also be restarted.
