In May, U.S. President Donald Trump signed an executive order directing independent nuclear regulatory agencies to ease regulations and expedite the approval process for nuclear reactors and power plants, aiming to boost the U.S. nuclear energy industry.
According to reports from outlets like The Wall Street Journal, the order seeks to address the issue of excessive regulation in the nuclear sector. However, the construction of nuclear reactors in the U.S. has stagnated for years, making it unrealistic to rapidly develop nuclear power to meet the demands of the artificial intelligence (AI) industry.
The executive order significantly shortens the approval process for the U.S. Nuclear Regulatory Commission, primarily for defense and AI-related facilities. It permits the maximum deployment of small modular reactors and advanced nuclear reactors at federal sites, intending to revitalize the U.S. nuclear industry, including the nuclear fuel cycle, and enhance support for new reactor technologies. The goal is to quadruple nuclear energy production in the U.S. over the next 25 years and to have three experimental reactors operational by next Independence Day.
The Wall Street Journal noted that nuclear reactor construction in the U.S. has nearly stalled over the past few decades, with only two reactors in Georgia expected to become commercially operational in 2023 and 2024. Before this, there had been no new reactors in operation since 2016, and efforts to build new plants face challenges such as shortages of raw materials and insufficient funding. Energy analyst Schurman from the Beacon Policy Research Institute stated that the ideal solution for U.S. power supply is to equip large data centers with dedicated small modular reactors, but the U.S. is no longer building nuclear power plants.
The vice president of Uranium Energy emphasized the urgent need for regulatory reform in the nuclear sector. "The U.S. must maintain regulatory independence and uphold a culture of nuclear safety, but if we continue to operate as we did decades ago, success will be elusive. The approval timeline for reactors should be reduced from 8-10 years to within two years."
Sprott Asset Management CEO highlighted that the Trump administration is shifting its energy policy focus away from clean energy sources like solar and wind, with some incentives for renewable energy, including nuclear, being cut or eliminated. "This will lead some public utility companies and energy firms to lose interest in nuclear energy and gradually shift towards fossil fuels."
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