The US Department of Energy (DOE) Secretary Chris Wright has released of the fifth loan disbursement to Holtec to help fund the restart of the Palisades NPP. This represents $83,234,156 of the up to $1.52bn loan guarantee to Holtec. This is the fifth disbursement of funds from the Loan Programs Office (LPO) since September 2024. To date, $335,112,194 of DOE-guaranteed loan funds have been disbursed to Holtec as it continues to make progress toward plant restart, including Nuclear Regulatory Commission (NRC) approval of a series of licensing and regulatory actions to transition the Palisades plant from decommissioning status back to operations.
The single-unit 800 MWe pressurised water reactor on the shores of Lake Michigan began commercial operation in 1971. In 2016 operator Entergy announced plans to close the plant. In 2021 NRC approved transfer of the licence from Entergy to Holtec in preparation for its decommissioning.
The reactor was removed from service by Entergy in May 2022, and defueled, and its sale to Holtec completed in June 2022. However, Holtec then announced that it was applying for federal funding to allow restart of the plant. Starting in late 2023, Holtec filed several licensing requests that, if approved, could return the plant to operational status.
“Thanks to President Trump, the Department of Energy is working in tandem with our regulatory partners to accelerate the reopening of the Palisades Nuclear Plant and unleash a true American nuclear renaissance,” Secretary Wright said. “These efforts will help reinvigorate our nuclear industrial base, deliver lower energy costs for millions of Americans and strengthen our nation’s energy security.”
Holtec is repairing steam generators at Palisades as the standard procedure for maintaining the units was not followed when the plant went into shutdown. Holtec reaffirmed that it wants to restart the plant in the fourth quarter of 2025.
