Michigan, December 3, 2025
The U.S. Department of Energy has awarded Holtec International a substantial federal grant of up to $400 million to support the development of two small modular reactors at the Palisades Nuclear Generating Station in Michigan. This initiative aims to enhance carbon-free energy generation and support Michigan’s clean energy goals by nearly doubling the site’s carbon-free capacity. Additionally, there are plans to restart the existing reactor, which is expected to preserve around 600 jobs and reduce CO2 emissions significantly.
Detroit, MI – The U.S. Department of Energy (DOE) has made a significant investment in Michigan’s energy future by awarding Holtec International a federal grant of up to $400 million. This funding will support the development of two small modular reactors (SMRs) at the Palisades Nuclear Generating Station, a critical initiative aimed at advancing carbon-free energy generation in the United States.
Holtec intends to leverage the Palisades site for the construction of its first two SMR-300 units, each capable of producing a minimum of 300 megawatts of net electric power. This project is projected to nearly double the site’s total carbon-free generation capacity and play a pivotal role in Michigan’s clean energy objectives.
The DOE’s backing of Holtec aligns with broader commitments to revitalize the nuclear industry within the nation while promoting energy independence. The grant not only strengthens the domestic supply chain for nuclear technologies but also supports the introduction of new nuclear generation by the early 2030s.
In a further advancement, Holtec is also focused on restarting the existing 800-megawatt reactor at the Palisades plant, which had ceased operations in 2022. A $1.52 billion loan guarantee from the DOE will facilitate the plant’s restoration and recommissioning—an unprecedented milestone as it marks the first reactivation of a retired nuclear facility in U.S. history.
Located along Lake Michigan, the Palisades Nuclear Plant is poised to deliver clean, reliable baseload power to meet regional energy demands while significantly reducing greenhouse gas emissions. It is anticipated that the project will support or preserve up to 600 high-quality jobs in Michigan and help avoid around 4.47 million tonnes of CO2 emissions annually over a projected 25 years of operation.
Overall, Holtec’s initiatives at Palisades represent a breakthrough in the deployment of small modular reactors in the U.S., promising a cleaner and more resilient energy future.
What is the purpose of the $400 million federal grant awarded to Holtec International?
The grant is intended to support the development of two small modular reactors (SMRs) at the Palisades Nuclear Generating Station in Michigan, contributing to the expansion of clean energy generation in the region.
What are small modular reactors (SMRs)?
SMRs are compact nuclear reactors designed to be manufactured in factories and assembled on-site. They aim to reduce construction time and costs compared to traditional large-scale reactors and can be deployed in various locations, including regions with limited water resources.
How does the Palisades Nuclear Plant contribute to clean energy goals?
The Palisades Nuclear Plant, upon restarting, is expected to provide clean, reliable baseload power, supporting the region’s energy needs and contributing to the reduction of greenhouse gas emissions.
What is the significance of Holtec’s efforts at the Palisades site?
Holtec’s efforts represent a significant step forward in the development and deployment of small modular reactors in the United States, aiming to provide a cleaner, more resilient energy future.
How many jobs will the Palisades project support in Michigan?
The project is projected to support or retain up to 600 high-quality jobs in Michigan, contributing to the local economy.
What are the environmental benefits of restarting the Palisades Nuclear Plant?
The restart of the Palisades Nuclear Plant is anticipated to avoid 4.47 million tonnes of CO2 emissions per year over the projected 25 years of operations, contributing to environmental sustainability.
When is the Palisades Nuclear Plant expected to resume operations?
Holtec plans to restart the existing 800-megawatt reactor at the Palisades plant by the fourth quarter of 2025, subject to regulatory approvals.
What is the significance of the $1.52 billion loan guarantee from the DOE to Holtec International?
The loan guarantee is intended to finance the restoration and resumption of service of the Palisades Nuclear Plant, marking the first recommissioning of a retired nuclear power plant in U.S. history.
How does the DOE’s support for Holtec align with the administration’s energy goals?
The DOE’s support aligns with the administration’s efforts to revitalize the nuclear industry and expand America’s energy dominance, aiming to strengthen domestic supply chains and advance the deployment of new nuclear generation in the early 2030s.
What is the expected impact of the Palisades project on Michigan’s clean energy goals?
The project is expected to nearly double the Palisades site’s total carbon-free generation capacity, significantly contributing to Michigan’s clean energy goals.
What are the potential challenges in restarting the Palisades Nuclear Plant?
Challenges include securing necessary regulatory approvals, conducting extensive inspections and testing, and addressing any technical issues that may arise during the restart process.
How does the Palisades project contribute to reducing greenhouse gas emissions?
The restart of the Palisades Nuclear Plant is anticipated to avoid 4.47 million tonnes of CO2 emissions per year over the projected 25 years of operations, contributing to environmental sustainability.
What is the timeline for the construction of the two SMR-300 units at Palisades?
The construction permit application for the two SMRs is targeted for 2026, shortly after the existing Palisades plant returns to service, with commissioning of the first unit expected by mid-2030.
How does the Palisades project support the local community in Covert Township, Michigan?
The project is projected to support or retain up to 600 high-quality jobs in Michigan, contributing to the local economy and providing long-term economic stability.
What is the significance of Holtec’s partnership with Hyundai Engineering & Construction for the Palisades project?
The partnership aims to construct two small modular reactors at the Palisades site, marking a significant step in the development and deployment of SMRs in the United States.
How does the Palisades project align with the DOE’s goals for nuclear energy in the U.S.?
The project aligns with the DOE’s goals to advance the deployment of new nuclear generation in the early 2030s, strengthen domestic supply chains, and support the revitalization of the nuclear industry in the U.S.
What are the expected benefits of deploying small modular reactors at the Palisades site?
Deploying SMRs at the Palisades site is expected to provide clean, reliable baseload power, support the region’s energy needs, and contribute to the reduction of greenhouse gas emissions.
What is the significance of the Palisades Nuclear Plant in Michigan’s energy landscape?
The Palisades Nuclear Plant has been a cornerstone of Michigan’s energy landscape, and its restart and expansion with SMRs are expected to play a critical role in the state’s clean energy future.
How does the Palisades project contribute to the United States’ clean energy goals?
The Palisades project contributes to the United States’ clean energy goals by providing a significant source of carbon-free electricity, supporting the reduction of greenhouse gas emissions, and advancing the deployment of advanced nuclear technologies.
What are the potential economic impacts of the Palisades project on Michigan?
The project is projected to support or retain up to 600 high-quality jobs in Michigan and is anticipated to have a transformational impact on the regional economy, providing long-term economic stability.
What is the expected timeline for the restart of the Palisades Nuclear Plant?
Holtec plans to restart the existing 800-megawatt reactor at the Palisades plant by the fourth quarter of 2025, subject to regulatory approvals.
How does the Palisades project align with the administration’s energy policies?
The Palisades project aligns with the administration’s energy policies by supporting the revitalization of the nuclear industry, expanding America’s energy dominance, and advancing the deployment of new nuclear generation in the early 2030s.
What are the environmental benefits of restarting the Palisades Nuclear Plant?
The restart of the Palisades Nuclear Plant is anticipated to avoid 4.47 million tonnes of CO2 emissions per year over the projected 25 years of operations, contributing to environmental sustainability.
FAQ Section
- What is the purpose of the $400 million federal grant awarded to Holtec International? The grant is intended to support the development of two small modular reactors (SMRs) at the Palisades Nuclear Generating Station in Michigan, contributing to the expansion of clean energy generation in the region.
- What are small modular reactors (SMRs)? SMRs are compact nuclear reactors designed to be manufactured in factories and assembled on-site. They aim to reduce construction time and costs compared to traditional large-scale reactors and can be deployed in various locations, including regions with limited water resources.
- How does the Palisades Nuclear Plant contribute to clean energy goals? The Palisades Nuclear Plant, upon restarting, is expected to provide clean, reliable baseload power, supporting the region’s energy needs and contributing to the reduction of greenhouse gas emissions.
- What is the significance of Holtec’s efforts at the Palisades site? Holtec’s efforts represent a significant step forward in the development and deployment of small modular reactors in the United States, aiming to provide a cleaner, more resilient energy future.
- How many jobs will the Palisades project support in Michigan? The project is projected to support or retain up to 600 high-quality jobs in Michigan, contributing to the local economy.
- What are the environmental benefits of restarting the Palisades Nuclear Plant? The restart of the Palisades Nuclear Plant is anticipated to avoid 4.47 million tonnes of CO2 emissions per year over the projected 25 years of operations, contributing to environmental sustainability.
- What is the expected timeline for the restart of the Palisades Nuclear Plant? Holtec plans to restart the existing 800-megawatt reactor at the Palisades plant by the fourth quarter of 2025, subject to regulatory approvals.
| Feature | Details |
|---|---|
| Grant Amount | $400 million |
| Project Type | Two small modular reactors (SMRs) |
| Energy Capacity | 300 megawatts each |
| Job Creation | Up to 600 high-quality jobs |
| CO2 Emissions Reduction | 4.47 million tonnes per year |
| Expected Restart Date | Fourth quarter of 2025 |
Deeper Dive: News & Info About This Topic
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