This is a special guest editorial from Katusa Research.
The U.S. nuclear power industry is about to experience its biggest shift in decades. The White House plans to announce new executive orders that could make the Nuclear Regulatory Commission (NRC) largely powerless. These orders let the Department of Energy (DoE) and Department of Defense (DoD) skip the NRC’s strict rules. This will speed up the construction of new nuclear power plants.
For over 5 decades, the NRC has been the main government agency overseeing nuclear plant safety and licensing. But many experts and industry leaders say the NRC’s complicated rules and slow approvals have stopped new nuclear plants from being built.
The NRC’s licensing process has grown from a simple 50-page document to an overwhelming 1,100 pages. The last approved reactor needed about 12,000 pages of paperwork. It also had millions of supporting documents.
Because of these heavy rules and outdated 1970s standards, the NRC hasn’t approved any new nuclear plant designs since 1978. Former NRC Commissioner Jeffrey Merrifield said the agency “doesn’t know when to stop” with new regulations. This is a major reason why new nuclear projects struggle to move forward.
Why Both Political Parties Support Nuclear Energy
For the first time since President Nixon, both Democrats and Republicans agree on supporting nuclear power. Democrats want nuclear energy to help fight climate change and reach net-zero carbon goals. Republicans see it as vital for U.S. energy independence and creating new jobs.
Nuclear power is key to 3 big goals for the U.S.:
- Nuclear Exports. The U.S. can regain leadership in exporting nuclear technology, which is expected to be a $1.9 trillion global market by 2050. Currently, China and Russia control two-thirds of this market.
- National Security. Nuclear power supports the supply chain for nuclear weapons and is crucial for defense.
- Energy Security. Nuclear energy offers a reliable, self-sufficient power source, helping reduce dependence on foreign energy.
Because of these reasons, Congress has passed multiple laws over the past decade to force the NRC to update and speed up its licensing process. But progress has been slow.
Other countries like Canada and the UK have already updated their nuclear approval systems. Canada is investing heavily in next-generation nuclear technology to amplify its clean power supply.
In 2024, the U.S. Congress passed the ADVANCE Act, which pushes the NRC to modernize. It aims to make reviews for advanced nuclear reactors simpler and faster. Still, the NRC has struggled to implement these changes.
Power Shift to the Department of Energy and Defense
The new executive orders will shift power away from the NRC and give more control to the Department of Energy and the Department of Defense. Both agencies strongly support nuclear energy and have large budgets to back new projects.
In 2022, the DoE started a $6 billion Civil Nuclear Credit Program. It aims to extend the life of current reactors and support new types of nuclear reactors. It’s also giving $1.5 billion to reopen the Palisades nuclear plant—the first such reopening in U.S. history. The DoE’s former secretary, Jennifer Granholm, said the U.S. needs to triple its nuclear reactors by 2050.
The DoD also uses nuclear power for its massive energy needs and owns mobile nuclear reactors. It can take risks that private companies cannot and has a budget that could fund enough nuclear power to cover 85% of U.S. electricity demand.
The DoD and DoE plan to team up and invest in advanced nuclear reactors. They aim to connect a new reactor to the grid in 3 years.
Why This Could Be a Historic Moment
These moves could kickstart a nuclear renaissance in the U.S., similar to the scale of the Manhattan Project during World War II. The government has signed contracts with companies to build advanced reactors by 2029. Billions of dollars in funding are expected to flow to this sector.
Experts believe this push will lower the cost of nuclear energy by about 60%, making it more competitive with other power sources. This could open new doors in uranium mining, nuclear fuel production, infrastructure, and nuclear tech investment.
What This Means for Private Nuclear Companies
The expected executive orders could be a game changer for private companies working on nuclear technology. Startups and energy developers have struggled for years. They deal with long delays, high costs, and complex paperwork to get approval for new nuclear reactors. Some applications have taken more than 10 years and cost hundreds of millions of dollars before a single shovel hits the ground.
With the NRC pushed aside, companies might finally have a faster path to approve and build new designs. This is key for startups creating advanced nuclear reactors and small modular reactors (SMRs). SMRs are smaller, safer, and easier to build than traditional plants.
Now, instead of waiting for NRC approval, companies may be able to work directly with the DoE or the DoD. These agencies are more supportive and flexible. They already have funding programs, partnerships with developers, and a goal to build advanced reactors quickly.
Private firms like TerraPower, X-energy, and Oklo have been waiting for years to move forward. Under the new system, these companies could see faster permits, more government contracts, and easier access to funding. They may even get a chance to work on national defense or grid reliability projects led by the DoE or DoD.
This shift could spark a wave of innovation, job creation, and clean energy development across the country. If it works, it could also encourage more investors to put money into nuclear startups—knowing the government is serious about getting projects built.
The Clock Is Ticking
With the new executive orders expected soon, the nuclear industry and investors have limited time to prepare for this wave of change. Many believe this could be one of the most important energy transitions in decades and offer profitable opportunities for those ready to act.
