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By Valerie Volcovici
NEW YORK, Oct 7 (Reuters) - The Biden administration is
working on plans to bring additional decommissioned nuclear
power reactors back online to help meet soaring demand for
emissions-free electricity, White House climate adviser Ali
Zaidi said on Monday.
Two such projects are already underway, including the
planned recommissioning of Holtec's Palisades nuclear plant in
Michigan and the potential restart of a unit at Constellation
Energy's ( CEG ) Three Mile Island plant in Pennsylvania, near
the site of the worst nuclear accident in U.S. history.
Asked if additional shuttered plants could be restarted,
Zaidi said: "We're working on it in a very concrete way. There
are two that I can think of."
He declined to identify the power plants or provide further
details about the effort.
Speaking at the Reuters IMPACT conference in New York, Zaidi
said repowering existing dormant nuclear plants was part of a
three-pronged strategy of President Joe Biden's administration
to bring more nuclear power online to fight climate change and
boost production.
The other two prongs include development of small modular
reactors (SMRs) for certain applications, and continuing
development of next generation, advanced nuclear reactors.
Biden has called for a tripling of U.S. nuclear power
capacity to fuel energy demand that is accelerating in part due
to expansion of power hungry technologies like artificial
intelligence and cloud computing.
Last week, the Biden administration said it closed a $1.52
billion loan to resurrect the Palisades nuclear plant in
Michigan, which would take two years to re-open.
Constellation and Microsoft ( MSFT ), meanwhile, signed a
power deal last month to help resurrect a unit of the
Pennsylvania plant, which Constellation hopes will also receive
government support.
Zaidi told the conference that the U.S. Navy on Monday had
requested information to build SMRs on a half dozen bases. "SMR
is a technology that is not a decades-away play. It's one that
companies in the United States are looking to deploy in this
decade," he said.
Zaidi also addressed the woes that have beset a separate
Biden clean energy goal, to bring 30 gigawatts of offshore wind
capacity online by the end of the decade.
The administration shelved offshore wind lease sales this year
in both Oregon and the Gulf of Mexico due to low demand from
companies, as high costs, equipment issues and supply chain
challenges hit other projects.
Zaidi said at least half of the 30GW goal is already under
construction and that some of the early snags provide helpful
learning for future projects.
"I am pretty optimistic about the next of wave of projects
where we will have a domestic supply chain and hopefully better
cost to capital relative to what projects are facing right now,"
he said.