Texas officials released a 78-page plan on Monday on how the state intends to attract a fleet of nuclear power plants to Texas to bolster the state’s electricity grid.
Since Winter Storm Uri swept below freezing temperatures across the state in February 2021, Texas officials have been working to improve the reliability of the energy grid. In 2023, Gov. Greg Abbott asked the Texas Advanced Nuclear Reactor Working Group to investigate the issue and make recommendations to state leaders.
One key recommendation in the plan is that Texas should offer energy companies low-interest loans that cover constructing nuclear power plants. This mirrors the Texas Energy Fund, which we discussed in Money Talks and was created to encourage the construction of natural gas-fueled power plants. Another key initiative in the plan is to appoint a Texas Nuclear Permitting Officer to help navigate the arduous permitting process, which can drag on for years.
Nuclear energy is one topic nationwide that has seen renewed interest because it's reliable and carbon free energy. Texas is the latest state to join a growing number of states eager to add nuclear power. Michigan leaders are working to restart the shuttered Palisades, Michigan nuclear reactor.
In September, Microsoft inked a 20-year power purchase agreement (PPA) with Constellation Energy to restart Unit 1 at the Three Mile Island Nuclear Station (see photo below). This reactor has been offline since 2019, when it was closed for economic reasons. The most serious accident in U.S. nuclear history occurred at the plant’s Unit 2 on March 28, 1979, when the reactor partially melted down. Unit 1’s operations were separate and not impacted by that incident.
