Taxpayer dollars are fueling a wave of nuclear ambition across the US, driven by expansive clean energy goals, concerns over grid reliability, and increasing power demand. State legislatures are rolling out grants, tax incentives, and clean energy designations to attract nuclear projects.
State-level initiatives supporting nuclear energy have surged in recent years. According to the Nuclear Energy Institute, 25 states enacted legislation in 2024 to promote advanced nuclear technologies, and additional pro-nuclear bills have been introduced in 2025.
Here’s a breakdown of nuclear initiatives by region:
Everything’s bigger in Texas: Texas Gov. Greg Abbott wants the Lone Star State to be “No. 1 in advanced nuclear power,” and legislators are picking up the baton. A new bill proposes a $2B fund to support nuclear construction, provide grants for reactor deployment, and advance R+D.
The move makes sense for Texas, where demand growth for energy is driven in part by data centers. ERCOT, the state’s grid operator, projected late last year that energy demand may exceed supply as early as summer 2026.
The old guard: In the Northeast, longtime clean energy leaders New York and New Jersey—both of which have restrictions on building new nuclear power—have introduced legislation to support advanced nuclear development.
- New York: Gov. Kathy Hochul launched a Master Plan for Responsible Advanced Nuclear Development. The plan emphasizes market interest assessments, interstate coordination, and standardized reactor designs to reduce costs.
- New Jersey: State representatives introduced a bill last year offering tax credits and grants for advanced nuclear facility development.
Revival in the Rust Belt: Lawmakers in the Midwest are positioning nuclear as a critical element of the region’s industrial future.
- Indiana: Legislation will allow utilities to expedite cost recovery for SMRs, reversing a ban that protected ratepayers from inefficient projects.
- Minnesota: Senate Bill 468 seeks to lift the ban on nuclear power plant construction, paving the way for advanced SMRs.
- Michigan: Legislators are considering subsidies and tax incentives for nuclear reactor development, as well as new funding for workforce training in the industry.
Down south: Texas isn’t the only Southern state pushing to revive nuclear energy and attract new business.
- Tennessee: In 2024, the state allocated an additional $10M to its nuclear supply chain stimulus program, bringing the total to $60M.
- Kentucky: A new Nuclear Energy Authority, backed by a $20M budget, will support nuclear energy studies and initiatives.
- Florida: House Bill 1645 required the Public Service Commission to assess the feasibility of advanced reactors and SMRs, paving the way for future nuclear projects.
Westward expansion: States including California and Washington have already supported nuclear expansion; now, Colorado is following suit.
- Colorado:House Bill 25-1040, signed into law this year, adds nuclear energy to the state’s definitions of “clean energy,” making projects eligible for public funding under clean energy programs.
