A US nuclear plant may soon come out of retirement, returning to the grid to feed the nation’s growing energy demand.
NextEra filed a notice with the NRC last week to begin the process of restoring its operating license for Duane Arnold, Iowa’s only nuclear plant, with a potential restart as early as 2028. The plant was taken offline in 2020 after sustaining damage from a powerful windstorm.
With US electricity demand expected to rise nearly 16% by 2029—driven largely by AI and data centers—utilities and policymakers are reconsidering the role of nuclear energy, including recommissioning shuttered plants to address this demand.
It’s aliiiiiiive: NextEra is the latest in a growing trend of nuclear restarts. While new nuclear projects in the US lag behind other parts of the world, including China, Egypt, and Turkey, utilities see decommissioned reactors as a faster, more cost-effective alternative.
- Michigan’s Palisades Nuclear Plant is expected to return to the grid by the end of this year after a three-year hiatus. If successful, it would be the first decommissioned US reactor to restart.
- Three Mile Island (Unit 1) in Pennsylvania, newly dubbed the Crane Clean Energy Center, is awaiting NRC approval. Constellation Energy proposed restarting the unit and has secured a deal to supply Microsoft’s data centers with carbon-free power.
- Between the three projects, 2,235 MW of capacity could be re-added to the grid.
As of June 2024, the US had decommissioned 41 nuclear reactors, the most in the world. While reviving these plants presents significant challenges in capital and competition, The IEA says the benefits could outweigh the costs:
- Job creation: Recommissioning projects generate employment opportunities during both the refurbishment and operational phases.
- Cost-effectiveness and sustainability: Reusing existing infrastructure is often more affordable and environmentally efficient than building new plants.
- Reliable, carbon-free electricity: As energy demand soars, nuclear provides a stable, low-emission power source.
- The global energy race: China is poised to dethrone the US as the world nuclear leader, and maintaining existing infrastructure could keep the US competitive.
With momentum building for nuclear restarts, Duane Arnold’s potential revival signals a shifting energy strategy that could reshape America’s power grid in the years ahead.
