Additionally, the Act introduces a new definition of “fusion machine” into the Atomic Energy Act, formally separating fusion from nuclear energy and its attached licensing consequences. This change should make it easier to license fusion energy systems in the United States.
A brief description of the key ADVANCE Act provisions is below:
1. Support for New Reactors
- Fees for advanced nuclear reactor application review. Section 201 sets a lower hourly rate for NRC advanced nuclear reactor applications. Additionally, mission-indirect program support and agency support expenses that would otherwise be charged to the applicant are excluded from the fee base.
- Demonstrations on DOE sites or critical national security infrastructure. Section 204 removes from the NRC fee base the costs associated with pre-application activities and application reviews of early site permits on DOE sites or critical national security infrastructure.
- Advanced nuclear fuel concepts. Section 404 directs the NRC to establish an initiative to enhance preparedness and coordination to qualify and license advanced nuclear fuel.
- Micro-reactor regulation. Section 208 directs the NRC to develop risk-informed and performance-based strategies and guidance to license and regulate micro-reactors within 18 months of the enactment of the ADVANCE Act.
- Advanced nuclear reactor prizes. Section 202 authorizes the Secretary of Energy to award a financial prize to eligible entities to which the NRC issues an operating license for an advanced nuclear reactor under 10 CFR Part 50 or 52. Award categories include the first NRC-licensed advanced nuclear reactor to reach certain milestones, such as using isotopes derived from spent nuclear fuel or depleted uranium.
- Advanced manufacturing and construction. Section 401 requires the NRC to submit a report to Congress on manufacturing and construction for nuclear energy projects, including cost estimates, proposed budgets, and proposed time frames for implementing risk-informed and performance-based regulatory guidance.
2. International Engagement and Deployment
- Foreign ownership. Section 301 states that the restrictions on issuing reactor licenses to foreign entities, as outlined in the Atomic Energy Act sections 103d and 104d, do not apply foreign entities that are owned, controlled, or dominated by:
- the government of a country that is a member of the Organization of Economic Cooperation and Development, or the Republic of India;
- a corporation that is incorporated in one of those countries; or
- a citizen or national of one of those countries.
Certain exclusions still remain, and the NRC still must determine that a license would not be inimical to the common defense and security or the health and safety of the public.
- Coordination of export and innovation activities. Section 101 consolidates within the NRC all coordination for nuclear reactor import and export licensing and various international regulatory coordination matters. This section also authorizes the NRC to establish a new branch, the International Nuclear Reactor and Innovation Branch, within the NRC’s Office of International Programs.
- Export license notification. Under section 103, the NRC must notify Congress if it issues certain export licenses to any country that has not concluded and ratified the IAEA Additional Protocol or ratified or acceded to the amendment to the Convention on the Physical Protection of Nuclear Material.
- Part 810 generally authorized destinations. Under section 105, the Secretary of Energy must review and update the process for determining generally authorized status and revisit the list of generally authorized countries in Appendix A every five years.
3. NRC Streamlining
- NRC mission. Under section 501, the NRC must update its mission statement to include that licensing and regulation of nuclear energy activities be “conducted in a manner that is efficient and does not unnecessarily limit the benefits of . . . nuclear energy technology to society.”
- Strengthening the NRC workforce. Section 502 authorizes the Chairman of the NRC to appoint up to 140 additional merit-based positions outside of the General Schedule pay classification. The Commission may also provide a hiring and/or performance bonus to an employee who demonstrates exceptional performance.
- Brownfield sites. Section 206 directs the NRC to submit a report to Congress on the regulations, guidance, or policy necessary to license and oversee nuclear facilities at brownfield sites. Within two years, the NRC must also develop and implement strategies to license and oversee reactors at brownfield sites or initiate a rulemaking to do so.
Other notable provisions include:
- Fusion energy definition. Section 205 amends the Atomic Energy Act to clearly differentiate fission and fusion by inserting a new definition of “fusion machine.” This change designates fusion as creating by-product material, thereby putting fusion into a different regulatory category than advanced nuclear.
- Spent nuclear fuel and high-level radioactive waste. Section 403 requires the Secretary of Energy to submit biennial reports to Congress on the status of spent fuel and high-level radioactive waste storage, including current and projected costs spent by the Department of Energy.
- Technical correction. Section 601 changes the financial test in the definition of “research and test reactor,” fixing a technical error introduced by the Nuclear Energy Innovation and Modernization Act.
In summary, the ADVANCE Act introduces significant changes that could change how nuclear and fusion energies are licensed and deployed. Recently, the NRC announced that it will hold periodic public meetings on its implementation of the ADVANCE Act. The NRC will post meeting information at least 10 days in advance on the Public Meeting Schedule page of its website. Nuclear lawyers should pay close attention to the NRC and the DOE activities over the next couple of years, including these meetings, to see how the ADVANCE Act is implemented and what effect it might have on the future of nuclear energy.
