Pillar 4 Overview
As electricity demand in the United States continues to rise—due to the push for energy independence, the proliferation of energy-intensive AI applications, the electrification of vehicles, and a revitalized manufacturing sector—it is imperative for the nation to sustainably utilize and expand its energy sources. This includes advancing cutting-edge energy technologies (e.g., fission and fusion), and enhancing U.S. energy infrastructure through innovation and accelerated commercialization (e.g., small modular reactors and Generation IV reactors).
Under Pillar 4, we have identified five specific recommendations.
The U.S. power sector is under mounting pressure to meet the growing demand for electricity. This includes rapidly increasing demand for electricity to scale energy-intensive AI applications and the data centers that power them, as well as increased automation, vehicle electrification, and the reshoring of critical manufacturing. At the same time, decarbonization of the power sector is a national and global priority to combat climate change, but solar and wind energy would have to grow substantially and rapidly to achieve a carbon-free electricity sector by 2035. However, because they cannot deliver base-load power, energy storage and back-up generation would be needed.
Nuclear energy offers a pathway to carbon free base-load power now, and the potential for U.S. leadership in global nuclear energy markets. Generation IV reactors could be deployed within the decade. They are economically competitive, safe, and produce minimal waste. Small modular nuclear reactors are factory-built-and-assembled plug-and-play modules that we could use in a variety of configurations.
A U.S. Department of Energy analysis on a coal-to-nuclear transition—siting a nuclear reactor at the site of a recently retired coal power plant— found that hundreds of these coal sites had the basic characteristics needed to be considered able to host an advanced nuclear reactor. Based on the nuclear technology choices and sizes evaluated to replace a large coal plant of 1,200 MWe generation capacity, nuclear overnight costs of capital could decrease by 15 percent to 35 percent when compared to a greenfield construction project through the reuse of infrastructure from the coal facility. This could help restore some of the jobs and regional economic activity lost with coal plant closures.
Some barriers must be overcome to expand nuclear energy in the United States. Licensing, and the scale and pace of deployment would have to ramp up substantially; costs per kilowatt would have to be reduced dramatically but scaling deployment is expected to drive substantial cost reductions; supply chains for reactor components, fuel fabrication, and high-assay low-enriched uranium would need to grow substantially; 375,000 additional technical and non-technical workers will be needed to support deployment and operations; and a solution will be needed to deal with spent nuclear fuel.
The federal government is taking steps to accelerate nuclear energy development and deployment. This includes the bipartisan Advanced Nuclear for Clean Energy Act, which calls on the Nuclear Regulatory Commission to reduce regulatory costs for companies seeking to license advanced nuclear reactors, to develop a pathway for timely licensing of microreactors and nuclear facilities at brownfield and retired fossil fuel energy generation sites, as well as accelerating other licensing review for siting and constructing reactors, streamlining the NEPA environmental review process, and developing a regulatory framework for fusion technology. In October 2024, the U.S. Department of Energy opened applications for up to $900 million in funding to support the initial domestic deployment of Generation III+ small modular reactor technologies.
This includes rapid development and implementation of initiatives to:
To achieve energy abundance, security, and sustainability, the United States must adopt a holistic energy strategy that incorporates all of its domestic energy sources, both traditional (like oil, natural gas, and coal) and renewable (such as wind, solar, and nuclear), while ensuring they are used in the most sustainable and environmentally responsible ways possible. This approach is vital to meeting the nation’s growing energy demands, maintaining economic competitiveness, and achieving long-term climate goals.
By promoting energy efficiency across industries, residential sectors, and transportation, the U.S. can reduce energy consumption, lower costs, and minimize greenhouse gas emissions, all while fostering innovation and creating new job opportunities. The industrial sector, which accounts for a large portion of the U.S. energy consumption, can achieve significant savings through the adoption of energy-efficient manufacturing technologies and processes. Technologies such as advanced heat recovery, smart motors, and LED lighting can reduce energy consumption while improving productivity. Additionally, the government plays a crucial role in establishing energy efficiency standards. By rewarding companies that meet and exceed these standards with financial bonuses and tax relief, the United States can create a competitive market that accelerates energy efficiency innovation across industries.
To address the energy sector's growing demand for skilled workers, the government should partner with private companies, labor unions, and educational institutions to create comprehensive training programs. These partnerships can ensure that the workforce is trained in the latest energy technologies, from renewable energy systems to advanced nuclear reactors. Collaboration between universities, trade schools, and energy companies will be key to developing a talent pipeline capable of meeting future energy demands. Additionally, throughout these training programs, there should be support for displaced workers in traditional energy industries, providing reskilling opportunities and new 87 employment pathways in clean energy sectors.
