The U.S. government has launched an ambitious program to accelerate the development and construction of advanced nuclear reactors by private firms, aiming to activate at least three test reactors by July 4, 2026. This initiative, established under the Trump administration, marks a significant shift, moving primary regulatory oversight for these pilot projects from the Nuclear Regulatory Commission (NRC) to the Department of Energy (DOE), with the NRC serving in a consulting capacity.
The program is primarily driven by anticipated surges in electricity demand, particularly from artificial intelligence data centers, and has already attracted substantial private investment. However, critics have voiced concerns regarding potential impacts on safety, environmental protection, and public transparency due to the accelerated timeline and changes to established regulatory processes.
The core objective is to have at least three nuclear test reactors operational by July 4, 2026, coinciding with the United States' 250th anniversary.
Program Establishment and Objectives
In May, former President Donald Trump convened a meeting with U.S. nuclear power industry executives. During this discussion, Joseph Dominguez, CEO of Constellation Energy (which operates approximately 25% of existing U.S. nuclear reactors), highlighted regulatory and permitting delays as key impediments to new nuclear plant development.
Following this meeting, the administration initiated a program specifically designed to accelerate the construction of advanced nuclear reactor designs developed by private companies. An executive order formally assigned oversight of commercial test reactors to the DOE, mandating the Energy Secretary to approve a minimum of three reactors under this program, with the goal for them to achieve criticality by the specified July 4, 2026, deadline.
Regulatory Framework and Oversight Shift
Historically, the Nuclear Regulatory Commission (NRC), established in 1975, has held primary responsibility for the safety oversight of commercial reactors. Under the new Reactor Pilot Program, the Department of Energy's (DOE) Office of Nuclear Energy leads the initiative, with the NRC transitioning to a consulting role.
The DOE's Office of Nuclear Energy sought academic assistance in November, requesting volunteers to help expedite safety reviews due to anticipated resource constraints. The DOE confirmed that approximately 30 subject matter experts are reviewing proposals, and preliminary design reviews for four projects have already occurred, with initial approvals expected early next year. The DOE has affirmed its commitment to maintaining high safety standards throughout this accelerated process.
A memorandum of understanding between the NRC and DOE outlines a framework for the NRC to establish an expedited pathway for approving advanced reactor designs that have received authorization and testing from the DOE. The NRC has indicated it would leverage the DOE's safety analysis for commercial licensing rather than duplicating the work.
Policy Changes and Associated Concerns
The Trump administration has exempted new experimental nuclear reactors from the National Environmental Policy Act (NEPA), which previously required disclosure of potential environmental impacts and accident consequences. The DOE justified this change by citing the inherent safety features and passive safety systems of advanced reactor designs.
Concurrently, the DOE revised internal environmental, safety, and security rules without public disclosure. These revisions, which occurred during the fall and winter, affect departmental orders governing reactor operations, safety systems, environmental protections, site security, and accident investigations. Analysis indicates that over 750 pages were removed from earlier versions of these documents, reducing the content to approximately one-third of its original length. Key modifications include:
- Reduced security requirements for reactors.
- Loosened protections for groundwater and the environment.
- Increased allowable radiation exposure for workers before triggering an official accident investigation.
- Removal of the "As Low As Reasonably Achievable" (ALARA) standard for radiation exposure.
- Elimination of the requirement for a Cognizant System Engineer for critical safety systems.
- Removal of the mandate to use "best available technology" for protecting water supplies from radioactive material discharge.
- Consolidation of seven security directives (over 500 pages) into a single 23-page order.
- Softened language regarding radioactive discharges, changing "prohibited" to "should be avoided" in certain contexts.
"The tight deadline, combined with perceived political pressure and a lack of transparency, could compromise safety, potentially leading to incidents involving radioactive material." - Allison Macfarlane, former NRC chairman
Critics have raised significant concerns regarding these policy changes and the program's overall approach. Allison Macfarlane, a professor at the University of British Columbia and former NRC chairman under President Barack Obama, cautioned that the tight deadline, combined with perceived political pressure and a lack of transparency, could compromise safety, potentially leading to incidents involving radioactive material.
Edwin Lyman, director of nuclear power safety at the Union of Concerned Scientists, noted that the program's comparative opacity differs from standard NRC processes and expressed concerns that it could increase public risk if reactors are sited near populated areas without adequate emergency planning. Lyman also stated that current test reactor designs are primarily theoretical and argued that the absence of real-world experience necessitates more rigorous safety and environmental reviews, asserting that all nuclear reactors carry a potential for severe accidents regardless of size. Heidy Klaaf, chief AI scientist at the AI Now Institute, questioned the feasibility of adequately assessing new and untested designs within such a tight timeframe. Former NRC Chair Christopher Hanson stated that secretly relaxing standards is not conducive to public trust. The DOE maintains that safety standards will be upheld and that the revised rules continue to protect the public and environment.
Industry Perspectives and Technological Advances
Proponents of the program, such as Isaiah Taylor, founder and CEO of Valar Atomics, describe it as necessary for the nuclear industry's advancement. Independent nuclear consultant Nick Touran suggested that smaller reactor designs inherently present a lower worst-case scenario for accidents compared to larger, conventional designs. Jordan Bramble, CEO of Antares, supported the DOE pathway for prototype reactors, citing the agency's long history of building experimental reactors in government labs and its established safety review processes. Both Valar and Antares aim to have their test reactors operational by the July 4, 2026, deadline.
New advanced small modular reactor (SMR) designs from companies like TerraPower and Oklo utilize sodium-cooled reactors, which transfer heat more efficiently and operate at lower pressure, potentially reducing containment requirements and construction costs. Other technological advancements include air-cooled chimney systems for enhanced safety during shutdowns, molten-salt energy storage to provide dispatchable electricity, and nuclear fuel recycling to extend uranium reserves.
Growing Energy Demand and Investment
The growth of Artificial Intelligence (AI) is projected to significantly increase electricity demand, with large data centers in the U.S. expected to increase energy consumption by approximately 130% by 2030, according to the International Energy Agency. This surging demand has spurred interest in nuclear power among technology companies like Amazon, Google, and Meta, which seek low-carbon energy sources.
The sector has attracted over $6 billion in private equity, venture capital, and public funds in recent years, with investments from figures such as Peter Thiel and Marc Andreessen. The White House aims to increase U.S. nuclear capacity from 100 gigawatts to 400 gigawatts by 2050.
Specific Project Developments
In 2022, the NRC rejected a combined license application from Oklo, a nuclear startup, due to "significant information gaps." Following the executive order and the new DOE program, Oklo CEO Jacob DeWitte commented on the program's potential to accelerate permitting. Energy Secretary Chris Wright was a member of Oklo's board of directors until his confirmation in February. In August, Oklo was among the 11 advanced reactor projects selected for the Reactor Pilot Program, including a test version of the design previously rejected by the NRC. Oklo has stated its selection was through competitive opportunities, affirmed its ongoing safety analyses, and indicated its intent to pursue NRC licensing for its first operational Aurora reactor.
Other projects advancing include:
- Meta partnered with TerraPower and Oklo for approximately 4 gigawatts of SMR projects, including for its planned Prometheus AI mega campus in Ohio.
- TerraPower is constructing its first 345-megawatt SMR plant, the Kemmerer Power Station, in Wyoming, with completion expected by 2030.
- Oklo plans to begin construction on initial reactors in Pike County, Ohio, this year, targeting operation by 2030. Oklo is also building the Aurora Powerhouse test reactor with the Department of Energy’s Idaho National Laboratory, projected for 2027 or 2028.
- Antares Nuclear received preliminary safety approval for its Mark-0 demonstration reactor in Idaho.
- Kairos Power is building a demonstration reactor in Tennessee and has a deal to supply 500 megawatts to Google by 2035.
- Amazon supports x-Energy, which plans 5 gigawatts of SMR power by 2039.
- Westinghouse is building 10 AP1000 reactors (1.1 gigawatts each) by 2030.
The consensus within the industry is that both small and large reactors will play important roles in meeting future energy demands.
Future Regulatory Pathways
The memorandum of understanding between the NRC and DOE suggests a pathway where the NRC would leverage the DOE's safety analysis for commercial licensing, rather than conducting a full, independent review for advanced reactor designs that have received DOE authorization and testing.
Former NRC Chairman Allison Macfarlane has expressed reservations about the NRC solely relying on the DOE's analysis for the potential commercial deployment of numerous small reactors, stressing the necessity for the NRC to conduct its own independent review to ensure public safety. The DOE has maintained that safety standards will be upheld regardless of the specific regulatory body involved.