Nuclear Energy

At-a-glance

  • In 2023, nuclear energy provided 19 percent of all U.S. electricity but 47 percent of the nation’s zero-emissions power—more than 10 percent higher than utility-scale wind and solar combined.
  • Federal support in the form of production tax credits (i.e., Section 45U) from the Inflation Reduction Act recognizes the indispensable role existing U.S. nuclear power facilities have in realizing our climate goals.
  • Globally, nuclear power provides around 10 percent of total electricity generation; over the past 50 years, nuclear power has helped to avoid nearly 70 gigatons (Gt) of carbon dioxide emissions. For reference, the world currently emits around 50 Gt of carbon dioxide equivalent emissions every year.
  • At the United Nations COP28 in Dubai (December 2023), 22 nations pledged to triple nuclear power capacity by 2050.

Nuclear’s role in a clean energy future

Nuclear power is the largest source of carbon-free electricity in the United States. Preserving the existing nuclear reactor fleet and developing and deploying the next generation of advanced reactors can assist in the U.S. transition to a low-carbon future.

Ninety-four operational reactors, the largest fleet in the world, help avoid the emission of 437 million metric tons of carbon dioxide each year – the equivalent of taking 95 million typical passenger vehicles off the road. Nuclear also provides stable and steady power, which helps ensure electric grid reliability. Additionally, nuclear is the most energy-dense source of electricity that we have. So, it operates from a very small footprint; therefore, land disturbances can be minimized, preserving trees, farmland, green spaces, and habitats.

A robust nuclear fleet, and the supply chains and technical know-how that sustain it, also provide the groundwork for the next generation of advanced reactors. These reactors promise to be cheaper, longer lasting, and even safer. Maintaining a domestic nuclear industry also contributes to national security, as exported U.S. technologies bring with them U.S. safety standards and non-proliferation safeguards – that is, U.S. technologies deployed overseas come with more safeguards than those of Russia or China.

US Outlook

From 2013 to 2022, dozens of existing U.S. nuclear power plants struggled. Eight power companies retired thirteen reactors, largely for economic reasons, reducing capacity by around 10,500 MW. These U.S. nuclear plants were prematurely retired, primarily due to low wholesale electricity prices caused by excess power generation capacity, low natural gas prices, and low growth in electricity demand. Wholesale power markets do not explicitly reward power sources for being reliable or zero-emitting (or penalize sources that emit pollution). Notably, all the nuclear retirements led to increased fossil fuel-fired generation, increasing carbon emissions.

Beginning in 2016, several states adopted policies to preserve existing nuclear power plants within their borders. More than a dozen reactor closures were averted by these actions:

  • New York, which gets nearly a third of its electricity from nuclear, enacted a clean energy standard (CES) that includes compensating nuclear specifically for its value as a zero-emission energy source.
  • Illinois passed a law in December 2016 to support two (i.e., Quad Cities and Clinton) of its six nuclear power plants with zero-emission credit (ZEC) payments in a similar fashion to New York.
  • Connecticut, which gets nearly 45 percent of its electricity from nuclear, enacted legislation in October 2017 that will permit its only nuclear power plant to participate in a competitive procurement process with other zero-emission electricity sources provided it is deemed to be in the best interest of ratepayers. But first, the operator had to accede to a state examination of the facility’s financial situation.
  • In 2019, New Jersey’s Board of Public Utilities approved a zero-emission credit program to support their nuclear reactors.

With issues gaining prominence in 2017 and bipartisan support in Congress growing, a series of federal actions in support of nuclear power began to materialize:

  • The Nuclear Energy Innovation Capabilities Act (NEICA) became law in 2018, and the Nuclear Energy Innovation and Modernization Act (NEIMA) became law in 2019. These acts began the process of supporting new, advanced reactor developers with overcoming financial and regulatory barriers as well as implementing steps toward improving the overall licensing process.
  • The Energy Act of 2020 authorized an advanced reactor demonstration program (ARDP) and established a program to support the availability of fuel for advanced reactors.
  • The Infrastructure Investment and Jobs Act (Bipartisan Infrastructure Law or IIJA) passed in November 2021 and established 60 new U.S. DOE programs, including a $6 billion Civil Nuclear Credit Program to help prevent premature retirement of existing nuclear plants; it also provided additional funding for the ARDP.
  • The Inflation Reduction Act became law in August 2022; it will provide tax credits for clean electricity production from existing and new nuclear power plants. It will also help accelerate an ecosystem for domestic fuel production for advanced reactors.
  • The Price Anderson Act extension continues public protection and imposes liability limitations in the event of a nuclear incident, providing a federal backstop that helps the industry to secure private insurance.
  • The ADVANCE Act passed in June 2024, which will, among other things, better equip the nuclear regulator with tools and staff to meet the anticipated volume of new reactor designs and deployments in the coming decades.

Recent positive developments for nuclear development include:

  • In 2016, TVA brought its Watts Bar 2 unit online (a unit it had halted construction on in 1985), adding 1,150 MW of nuclear capacity in Tennessee.
  • Southern Company’s two-reactor Plant Vogtle expansion was completed in 2024, adding around 2,200 MW of capacity in Georgia. Total plant costs soared to more than $30 billion (from an expected $14 billion), but unit 4, which became operational in March 2024 cost 30 percent less than unit 3, which became operational in July 2023, demonstrating the value of ‘learning-by-doing’ and having the necessary nuclear workforce and supply chains in place.
  • With regard to the existing nuclear fleet, 87 of the 92 operating reactors (exclusive of recently completed Plant Vogtle Unit 3 and 4), have extended their original operating licenses an additional 20 years and can now operate for up to 60 years. Six of those units have received subsequent license renewals (SLRs), which will allow them to operate for 80 years; a further 14 reactors are currently under review by the Nuclear Regulatory Commission. Many other plants are expected to seek SLRs.
  • As part of DOE’s ARDP, X-energy’s first-of-a-kind small modular reactor (SMR) – a high-temperature gas reactor (HTGR) – will be deployed at Dow’s Seadrift facility near Corpus Christi, Texas. The nuclear power plant (320 MWe) will provide clean heat and power for manufacturing a range of materials and reduce the site’s emissions by around 440,000 million metric tons of carbon dioxide per year. Excess clean electricity will be distributed to the South Texas grid, resulting in further emission reductions.
  • Also a recipient of the DOE’s ARDP and a coal-to-nuclear replacement in Kemmerer, Wyoming, TerraPower’s Natrium reactor broke ground in June 2024. The 345 MW sodium-cooled fast reactor (SFR) is expected to be operational as early as 2030.

Overall, the outlook for U.S. nuclear plants, existing and new, has improved significantly in recent years. However, as federal tax credits expire (around 2032) there will likely be more work to do to ensure that nuclear plants stay online providing climate benefits, grid reliability, well-paying jobs, and support the local tax base for rural communities.

Key challenges for the nuclear industry over the next several years include:

  • Capitalizing on the Plant Vogtle skilled workforce, engineering and project management learning, and supply chain development to build additional AP1000 nuclear reactors across the country.
  • Establishing a domestic fuel production capability.
  • Improving regulatory timelines and ability to administer an expected flurry of non-light water reactor designs.
  • Power market redesign to reward generating units for attributes like reliability, resilience (i.e., blackstart capability), and emitting zero carbon dioxide.

Global Outlook

The 2011 nuclear disaster in Japan led some countries to reconsider their nuclear power plans. Japan suspended nuclear operations for most of its fleet, pending strict safety reviews. It has since restarted more than one-third of its operable nuclear power capacity. Germany completed its phase-out of nuclear power in April 2023, and Switzerland decided not to replace its five existing reactors. Many other countries including China, the United States, France, United Kingdom, India, Russia, and South Korea are supportive of nuclear power.

The World Nuclear Association projects that global nuclear capacity could increase by 75 percent in its reference scenario by 2040, while the U.S. Energy Information Administration expects that nuclear power generation will grow by a more modest 19.3 percent, driven primarily by developing countries, especially China and India. Globally, 440 nuclear electric power plants are operable in 33 countries. Sixty-one reactors are under construction, mostly in China, India, Turkey, South Korea and Russia.

Projected World Nuclear Generation (Billion kWh)

Nuclear Energy Basics

The main use of nuclear energy is for electricity generation, with limited use on board marine vessels and spacecraft. In October 2023, there was 387 GW of operating nuclear power capacity in 33 countries. This generated about 10 percent of total global electricity without direct greenhouse gas emissions.

Global Installed Nuclear Capacity

Nuclear power is generated using nuclear fission, which occurs when a neutron strikes the nucleus of a very heavy atom of an element that can sustain a chain reaction, splitting the atom and releasing energy in the form of heat and radiation. The energy released in the fission of one gram of uranium is equivalent to the energy released by combusting three tons of coal. Under precise, controlled conditions, the nuclear fission process occurs as a continuous chain reaction that releases heat in useful amounts to create steam, which turns a turbine to produce electricity.

The United States makes up about 26 percent of the world’s total nuclear generation capacity. In 2016, 99 nuclear reactors at 65 plants in 31 states provided about 20 percent of total U.S. electricity (around 769 billion kilowatt-hours).

Global Nuclear Electricity Operational Capacity (GW) Over Time

Recent retirements of U.S. nuclear reactors have led to increased fossil fuel-fired generation, increasing carbon emissions.

Nuclear Reactors

All operating U.S. nuclear power plants are light water reactors — so-called because they use ordinary water to produce electricity, as opposed to heavy water (known as deuterium oxide) reactors used in Canada. There are two types of light water reactors. In a pressurized water reactor, the water passing through the reactor core is kept under pressure so that it does not turn to steam but rather is used to exchange heat with a separate water loop to create steam that powers a turbine-generator. With this design, most of the radioactivity stays in the reactor area. In a boiling water reactor, the water heated in the reactor vessel turns directly into steam to power the turbine-generator. The United States has 63 pressurized water reactors and 31 boiling water reactors.

Nuclear reactors are often classified in terms of their reactor generation, or stage of reactor technology development:

  • Generation I: Prototypes and first commercial plants developed in the 1950s and 1960s. Very few still operate.
  • Generation II: Commercial reactors built around the world in the 1970s and 1980s.
  • Generation III/III+: Simpler, usually smaller reactors developed in the 1990s and 2000s. They feature passive safety systems, which do not require operator actions or electronic feedback to shut down safely in an emergency. Gen III reactors have been built in China and are under construction in the United States.
  • Generation IV: Advanced reactor designs anticipated for commercial deployment by 2030 and expected to have revolutionary improvements in safety, cost, and proliferation resistance as well as the ability to support a nuclear fuel cycle that produces less waste.

Nuclear reactors are often classified in terms of their reactor generation, or stage of reactor technology development:

  • Generation I: Prototypes and first commercial plants developed in the 1950s and 1960s. Very few still operate.
  • Generation II: Commercial reactors built around the world in the 1970s and 1980s.
  • Generation III/III+: Simpler, usually smaller reactors  developed in the 1990s and 2000s. They feature passive safety systems, which do not require operator actions or electronic feedback to shut down safely in an emergency. Gen III reactors have been built in China, and are under construction in the United States.
  • Generation IV: Advanced reactor designs anticipated for commercial deployment by 2030 and expected to have revolutionary improvements in safety, cost, and proliferation resistance as well as the ability to support a nuclear fuel cycle that produces less waste.

Nuclear Fuel

Uranium is a naturally occurring heavy metal whose most common isotope is the U-238, which is not capable of sustaining a nuclear chain reaction. Nuclear power plants predominantly use U-235, an isotope of uranium that can sustain such a reaction, as their fuel. To get the natural uranium into a useable fuel, it undergoes several processes.

Uranium is mined using various methods. Most U.S. uranium mines use in situ leaching (ISL), where dissolved uranium is pumped to the surface with the groundwater. After mining, uranium ore is milled and leached with acid, resulting in a concentrated uranium oxide powder referred to as yellowcake. Power plant operators usually purchase yellowcake and then contract for it to be enriched by a third party. Nearly all uranium enrichment is supplied by facilities in the United States, France, Great Britain, Germany, the Netherlands, and Russia.

After enrichment, the uranium is fabricated into ceramic fuel pellets and loaded into tubes called fuel rods. A fuel assembly used in the reactor core of a nuclear power plant consists of a square or circular bundle of fuel rods. For more information, see Stages of the Nuclear Fuel Cycle and World Nuclear Organization.

When a nuclear reactor’s fuel is spent, or no longer capable of supporting an adequate chain reaction, the fuel must be replaced. Typical reactor refueling intervals vary from 12 to 24 months. Spent nuclear fuel consists mostly of depleted uranium (up to 96 percent) mixed with certain highly radioactive elements—namely, fission products (e.g., cesium and strontium) and elements such as plutonium and americium. The decay heat and radiotoxicity of spent nuclear fuel is dominated by the fission products for roughly the first hundred years and then by the other elements for thousands of years afterward.

In 2016, owners and operators of U.S. civilian nuclear power reactors purchased the equivalent of 50.6 million pounds (25,000 tons) of uranium, most of which was imported.

Fuel Cycles

The conventional, once-through fuel cycle (the current U.S. approach) involves nuclear reactors that use enriched uranium as fuel and then discharge spent nuclear fuel for disposal. There are two alternative fuel cycles—a single-pass recycle option and a fully closed fuel cycle that would use anticipated advanced technology.

The single-pass recycle option (currently used in France) involves reprocessing spent nuclear fuel to separate fissile uranium and plutonium from other nuclear waste. This material can then be recycled for future fuel fabrication, which reduces the volume of nuclear waste requiring disposal but not necessarily the decay heat and radiotoxicity of the waste. A Massachusetts Institute of Technology study concluded that this single-pass recycle option costs more than a once-through cycle, and that the waste management benefits from a closed fuel cycle do not outweigh the attendant safety, environmental, and security considerations and economic costs.

In a proposed fully closed fuel cycle, spent nuclear fuel could be reprocessed with the separated uranium, plutonium, and other long-lived radioisotopes recycled as fuel. This could reduce the long-term burden on the final nuclear waste repositories by reducing long-term decay heat and radioactivity. However, it would not eliminate the need for long-term disposal because there are long-lived fission products and wastes from processing operations that will still require permanent geological disposal. A fully closed fuel cycle, however, requires advanced fast burner reactors that are not yet commercially available. In theory, spent nuclear fuel from these fast reactors could be repeatedly reprocessed until all the useable fuel was fissioned while also converting nearly all the uranium in the fuel cycle to useful fuel.

Unique Challenges

While nuclear power emits no greenhouse gases, it has unique challenges, including how prevent the release of radioactivity from a damaged reactor. Since the dawn of the nuclear age in the 1950s, the global nuclear energy industry has experienced three serious nuclear reactor accidents – most recently in 2011 at Fukushima Daiichi in Japan – and several fuel cycle facility incidents.

Another challenge is how to store radioactive waste in the form of spent fuel rods. France reprocesses the plutonium from spent fuel rods with uranium, which can be used again in nuclear reactors. The United States does not reprocess spent fuel, in part due to concerns about nuclear weapons proliferation from the plutonium waste, and the cost of reprocessing compared to the once-through fuel cycle. Currently, spent fuel rods are stored onsite at nuclear power plants, initially in specially designed pools that cool the waste for several years, and later in dry storage containers. The long-term storage of these wastes is a major public policy issue.

Globally, there is concern about the spread of nuclear weapons, also known as nuclear proliferation. Many technologies and materials associated with civilian nuclear energy can be adapted and used to make nuclear weapons. Organizations like the International Atomic Energy Agency monitor nuclear programs around the world to ensure safety, security, and transparency. Six reactor technologies have been chosen for future development by the Generation IV International Forum for being resistant to the diversion of materials for weapons proliferation.