Dive Brief:
- The Texas Advanced Nuclear Energy Office, or TANEO, on Wednesday began accepting applications for up to $350 million in state funding for projects that will help bring about a “nuclear renaissance” in the Lone Star State.
- Applications are due May 14 ; the office will select recipients in July. A wide range of development activities are eligible for reimbursement through a pair of funding mechanisms in House Bill 14, which Texas Gov. Greg Abbott, R, signed last year.
- “We must boost our state's advanced nuclear capacity," Abbott said in a statement. "Texas is streamlining the nuclear regulatory environment and making investments to spur a flourishing nuclear energy ecosystem.”
Dive Insight:
TANEO launched in 2025, continuing work that began with a Public Utility Commission of Texas working group that explored how to attract advanced nuclear reactors to the state. The commission released a report recommending the state fund advanced nuclear projects similar to how it has incentivized new gas generation.
Texas voters in 2023 authorized the Texas Energy Fund to provide low-interest loans to developers of new gas power, an effort that is helping spur construction of multiple gigawatts of capacity.
The state wants to bring generating capacity online as quickly as possible to meet growing demand from data centers and other new loads. The Electric Reliability Council of Texas is forecast to see annual electricity load averages grow 10% between 2025 and 2027, the U.S. Energy Information Administration said last month.
The TANEO funding mechanisms include an Advanced Nuclear Construction Reimbursement Program and a Project Design and Supply Chain Reimbursement Program.
Expenses eligible for reimbursement through the construction program include expenses associated with the Nuclear Regulatory Commission’s review of construction permit or license applications; procurement and development of long-lead components; and construction activities, including the manufacturing and testing of an advanced nuclear project.
Businesses, nonprofit organizations and government entities that “have — or reasonably expect to have — a docketed construction permit or license application” with the U.S. Nuclear Regulatory Commission on or before Dec. 1, 2026, can apply to the construction grant program, according to the fund’s web site.
The design and supply chain program will cover expenses associated with technology development, including university technology development; feasibility studies; site planning; NRC early site permit work; licensing fees; preparation of the NRC construction permit or license application; fuel processing, manufacturing, and fabrication activities; and other activities. Eligible applicants include businesses, nonprofits and governmental entities and higher education institutions.
