US teams invited to apply for USD900 million of SMR deployment support
The US Department of Energy has opened applications for funding to support the initial domestic deployment of Generation III+ small modular reactor technologies. Up to USD800 million will go to two "first-mover" teams, with USD100 million to address so-called gaps that have hindered plant deployments.
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The Department of Energy (DOE) estimates the USA will need some 700-900 GWe of additional clean, firm power generation capacity to reach net-zero emissions by 2050, and nuclear power is a proven option that could be deployed to meet this growing demand. As well as looking to operating life extensions, reactor capacity uprates, reversing plans to close reactors, and even restarting formerly closed reactors, utilities are "are earnestly exploring building new reactors to meet the fast-growing demand for carbon-free energy", the agency said. Small modular reactors (SMRs) can be used for multiple applications included power generation, process heat, desalination, and Generation III+ (Gen III+) SMRs "may be able to revitalise and leverage the expertise, workforce, and supply chains supporting the existing fleet of large light-water reactor designs, thus providing a near-term path for new nuclear deployments and operation", it said.
According to the solicitation documentation, a Gen III+ SMR is defined as a nuclear fission reactor that uses light water as a coolant and low-enriched uranium fuel, with a single-unit net electrical power output of 50-350 MWe, that maximises factory fabrication approaches, and the same or improved safety, security, and environmental benefits compared with current large nuclear power plant designs.
The funding aims to assist the private sector in establishing a "credible and sustainable pathway" to deploying a fleet of Gen III+ SMRs that "advances environmental protection and community benefits, creates new, good-paying, high-quality jobs, and reinforces America’s leadership in the nuclear industry".
The funding will be offered in two tiers. Tier 1 - First Mover Team Support - is managed by the DOE Office of Clean Energy Demonstrations and will provide up to USD800 million for milestone-based awards to support up to two first mover teams of utility, reactor vendor, constructor, and end-users/off-takers committed to deploying a first plant while facilitating a multi-reactor, Gen III+ SMR orderbook and working alongside the US National Nuclear Security Administration to incorporate safeguards and security by design into the projects. Teams who wish to apply for Tier 1 funding must include a US utility, reactor technology vendor, and engineering, procurement, and construction (EPC) company.
Tier 2 - Fast Follower Deployment Support - is managed by the DOE Office of Nuclear Energy, and will provide up to USD100 million to spur additional Gen III+ SMR deployments by addressing key gaps that have hindered the domestic nuclear industry in areas such as design, licensing, supplier development, and site preparation.
"Revitalising America's nuclear sector is key to adding more carbon free energy to the grid and meeting the needs of our growing economy - from AI and data centres to manufacturing and healthcare," Secretary of Energy Jennifer Granholm said.
The funding is created by the Consolidated Appropriations Act of 2024 and uses funds from Bipartisan Infrastructure Law. The deadline for applications is 17 January 2025.
