Biden Admin Providing Loan To Restart Nuclear Power Plant

(USNewsBreak.com) – Currently, the United States includes 54 nuclear power plants with a total of 93 nuclear power reactors among its power-generating plants. Many of them have become outdated or have reached the end of their lives through design limitations, prompting the government to invest in the facilities to bring them back to maximum operating power. Some experts consider nuclear power superior because it produces energy without generating harmful greenhouse gas emissions. Now, the Biden Administration is working to get the plants back in working order.

On Wednesday, the Department of Energy announced that “through its Loan Programs Office,” it was offering a “conditional commitment of [a loan guarantee] up to $1.52 billion” to Holtec Palisades. The plant would use the money to restore and resume service at the Palisades Nuclear plant in Covert Township, Michigan. The facility went offline in May 2022. The loan will help keep the plant running until at least 2051, providing it meets the licensing approvals set forth by the US Nuclear Regulatory Commission.

Biden administration will lend $1.5B to restart Michigan nuclear power plant, a first in the US https://t.co/QIn60DVDUi

— The Associated Press (@AP) March 27, 2024

Michigan Governor Gretchen Whitmer (D) said the move will fund “the first successfully restarted nuclear power plant in American history,” according to the announcement. She acknowledged that it will have a significant impact on the regional economy, retaining up to 600 jobs in the state, and if it goes through, could create up to 1,000 jobs every 18 months when the facility undergoes maintenance and refueling. The plant’s restart will also help Michigan lead the efforts in “the future of clean energy.”

The loan guarantee is part of the Biden Administration’s Investing in America agenda, which seeks to expand affordable clean energy resources. It had previously finalized an award of $1.1 billion through the Civil Nuclear Credit Program to fund the Diablo Canyon Power Plant. California had initially proposed closing the plant but reversed course when faced with the potential of not having enough electricity to power homes during hot summer days.