Potential for Nuclear Energy in America
Every month, families all over the U.S. open their electricity bills with a sense of dread. Prices keep climbing, and often, the only explanation they get is vague references to “the grid.” What’s not commonly discussed is that there’s already a solution in Washington that could genuinely help—and the only barrier is the tax code.
This solution is nuclear energy. It’s the most powerful electricity source available, producing zero emissions, and a single reactor can run reliably for decades. This kind of stable power supply is something solar and wind alone can’t provide. If we really want to achieve energy independence and reduce our electricity costs, nuclear energy has to be part of that equation. The hitch? It’s all about the paperwork.
Congress has implemented a clean energy investment tax credit that covers 30% to 50% of the construction costs for new nuclear projects. In theory, this should be a game changer, but outdated accounting principles require utilities to distribute this credit over the reactor’s 40-year lifespan, which diminishes its value significantly during crucial times like building and setting rates. Additionally, unlike credits for battery storage or other clean energy initiatives, nuclear construction credits can’t be sold or transferred to external investors. This leaves power companies with basically useless values on paper, making it hard to secure the funds necessary to build reactors.
This should not be a partisan issue—and it doesn’t have to be. That’s why I, along with Congressman Jimmy Panetta, a Democrat from California, have introduced the Nuclear Velocity Stabilization Act. Our bill will give nuclear projects the same flexibility from normalization rules as battery storage projects, allowing for the transfer of tax credits to third parties. Essentially, the incentives Congress has already approved would finally reach ratepayers, the ones they were intended to help.
Organizations like the Nuclear Energy Association and Elementl Power have expressed their support, as they see power companies in similar predicaments daily. Potential projects are stalled, waiting for a simple adjustment in the tax code to secure financing. Each year that passes without this correction means more years without new nuclear reactors, fewer jobs created, and savings that don’t align with families’ monthly expenses.
We’re heading into a time where electricity demand is surging due to the expansion of manufacturing and the reshoring of U.S. industry. It’s crucial that we meet this demand with reliable, clean energy sourced from within the country—not just as an option, but as a necessity for our economy and national security. Nuclear energy can achieve this without compromising reliability or giving foreign energy suppliers an advantage.
The Nuclear Velocity Stabilization Act itself won’t build a single reactor, but it would eliminate bureaucratic obstacles that have hindered nuclear construction for years. This is a small change with the potential for substantial benefits: more reactors, more American jobs, and lower utility costs for families who have been waiting too long for relief. Congress should act on this bill promptly.
