New laws offer nuclear industry incentives for existing power plant uprates

This year, the U.S. nuclear industry received a much-needed economic boost that could help preserve operating nuclear power plants and incentivize upgrades that extend their lifespan and power output.

Signed into law in 2022, the Inflation Reduction Act offers production tax credits (PTCs) for existing nuclear power plants and either PTCs or investment tax credits (ITCs) for new carbon-free generation. These credits could make power uprates—increasing the maximum power level at which a commercial plant may operate—a much more appealing option for utilities.