[Senate Report 115-251]
[From the U.S. Government Publishing Office]
Calendar No. 418
115th Congress } { Report
SENATE
2d Session } { 115-251
======================================================================
ADVANCED NUCLEAR ENERGY TECHNOLOGIES ACT
_______
May 21, 2018.--Ordered to be printed
_______
Ms. Murkowski, from the Committee on Energy and Natural Resources,
submitted the following
R E P O R T
[To accompany S. 1457]
The Committee on Energy and Natural Resources, to which was
referred the bill (S. 1457) to amend the Energy Policy Act of
2005 to direct the Secretary of Energy to carry out
demonstration projects relating to advanced nuclear reactor
technologies to support domestic energy needs, having
considered the same, reports favorably thereon with an
amendment and recommends that the bill, as amended, do pass.
The amendment is as follows:
Beginning on page 2, strike line 9 and all that follows
through page 4, line 5 and insert the following:
``(1) Advanced nuclear reactor.--The term `advanced
nuclear reactor' means a nuclear fission or fusion
reactor, including a prototype plant (as defined in
sections 50.2 and 52.1 of title 10, Code of Federal
Regulations (or successor regulations)), with
significant improvements compared to the most recent
generation of fission reactors, including improvements
such as--
``(A) additional inherent safety features;
``(B) a significantly lower levelized cost of
electricity;
``(C) lower waste yields;
``(D) improved fuel performance;
``(E) increased tolerance to loss of fuel
cooling;
``(F) enhanced reliability;
``(G) increased proliferation resistance;
``(H) increased thermal efficiency;
``(I) reduced consumption of cooling water;
``(J) the ability to integrate into electric
applications and nonelectric applications;
``(K) modular sizes to allow for deployment
that corresponds with the demand for
electricity; or
``(L) operational flexibility to respond to
changes in demand for electricity and to
complement integration with intermittent
renewable energy.
``(2) Demonstration project.--The term `demonstration
project' means an advanced nuclear reactor operated--
``(A) as part of the power generation
facilities of an electric utility system; or
``(B) in any other manner for the purpose of
demonstrating the suitability for commercial
application of the advanced nuclear reactor.
``(b) Purpose.--The purpose of this section is to direct
the Secretary, as soon as practicable after the date of
enactment of this section, to advance the research and
development of domestic advanced, affordable, and clean nuclear
energy by--
``(1) demonstrating different advanced nuclear
reactor technologies that could be used by the private
sector to produce--
``(A) emission-free power at a levelized cost
of electricity of $60 per mWh or less;
Purpose
The purpose of S. 1457 is to amend the Energy Policy Act of
2005 to direct the Secretary of Energy to carry out
demonstration projects relating to advanced nuclear reactor
technologies to support domestic energy needs.
Background and Need
Civil nuclear power today relies on light water technology
that was originally developed in the 1950s for use in U.S. Navy
submarines. Although there was ample experience in designing,
constructing, and operating these light water reactors, by the
1960s scientists were exploring advanced non-light-water
reactor designs that have potential advantages over light water
reactors in proliferation resistance, thermal efficiency,
reliability, fuel utilization, nuclear waste yields, inherent
safety features, and non-commercial applications. Between 1951
and 1974, the U.S. Atomic Energy Commission (AEC) experimented
on light water and advanced non-light-water nuclear reactors,
taking more than 52 reactors from paper concept to
demonstration at the AEC's National Reactor Testing Station,
which is now the Idaho National Laboratory.
Advanced nuclear technologies face significant challenges
in research, development, demonstration, and commercialization.
Competitor nations are rapidly developing and demonstrating
advanced reactor technologies--especially Russian and China. In
order for today's ascending nuclear developers to succeed in
commercializing their technologies, in a globally relevant
timeframe, significant collaboration between with the
Department of Energy (DOE) and its National Laboratories will
be required. This collaboration will require the federal
government, the research community, and private industry to
establish audacious, yet attainable, advanced reactor goals.
Alignment between the three sectors will send a strong and
coherent signal that the U.S. is serious about re-establishing
global leadership in nuclear technology.
DOE has unique authorities under the Atomic Energy Act. The
DOE is responsible for maintaining nuclear research
capabilities, knowledge, and a skilled workforce through
support of nuclear research and development activities.
Legislative History
S. 1457 was introduced by Senators Flake and Booker on June
28, 2017. The Subcommittee on Energy conducted a hearing on S.
1457 on October 3, 2017.
An identical bill, H.R. 5260, was introduced by
Representative Higgins in the House of Representatives on March
13, 2018, and referred to the Science, Space, and Technology
Committee.
The Committee on Energy and Natural Resources met in open
business session on March 8, 2018, and ordered S. 1457
favorably reported, as amended.
Committee Recommendation
The Senate Committee on Energy and Natural Resources, in
open business session on March 8, 2018, by majority voice vote
of a quorum present, recommends that the Senate pass S. 1457,
if amended as described herein.
Committee Amendment
During its consideration of S. 1457, the Committee adopted
an amendment to the bill. The amendment modifies section 2(a)
to clarify the definition of ``advanced nuclear reactor''
contained in the new section 640(a)(1) to the Energy Policy Act
of 2005 (Public Law 109-58). The amendment further modifies the
new section 640(b)(1)(A) to include the levelized cost of
electricity and lower the amount to $60 per megawatt-hours or
less. The amendment is further described in the section-by-
section analysis.
Section-by-Section Analysis
Section 1. Short title
Section 1 sets forth a short title.
Section 2. Advanced Nuclear Reactor And Development Goals
Section 2(a) amends subtitle B of title VI of the Energy
Policy Act of 2005 (Public Law 109-58) by adding at the end a
new section 640 titled ``Advanced Nuclear Reactor Research and
Development Goals.''
The new section 640(a) provides for definitions of relevant
terms.
The new subsection (b) states the purpose of the section.
The new subsection (c) requires the Secretary to enter into
one or more agreements to carry out at least four advanced
nuclear reactor demonstration projects prior to September 30,
2028. This subsection also specifies requirements for carrying
out the demonstration projects, including design diversity and
cost-effectiveness; applying the cost-share requirements
contained in section 988 of the underlying Act; identifying
potential sites with the private sector; and aligning specific
activities with priorities.
The new section 640(d) directs the Secretary to establish
goals for advanced nuclear reactor-related research that
support the program's objectives; coordinate with private
industry to advance design demonstrations; and ensure that
research activities and programs meet certain requirements.
Section 2(b) amends the table of contents of the Energy
Policy Act of 2005.
Cost and Budgetary Considerations
The Congressional Budget Office estimate of the costs of
this measure has been requested but was not received at the
time the report was filed. When the report is final, it will be
available at www.cbo.gov.
Regulatory Impact Evaluation
In compliance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee makes the following
evaluation of the regulatory impact which would be incurred in
carrying out S. 1457.
The bill is not a regulatory measure in the sense of
imposing Government-established standards or significant
economic responsibilities on private individuals and
businesses.
No personal information would be collected in administering
the program. Therefore, there would be no impact on personal
privacy.
Little, if any, additional paperwork would result from the
enactment of S. 1457, as ordered reported.
Congressionally Directed Spending
S. 1457, as reported, does not contain any congressionally
directed spending items, limited tax benefits, or limited
tariff benefits as defined in rule XLIV of the Standing Rules
of the Senate.
Executive Communications
The testimony provided by the Department of Energy at the
October 3, 2017, hearing on S. 1457 follows:
Testimony of Deputy General Counsel Bernard McNamee, U.S. Department of
Energy, Before the U.S. Senate Committee on Energy and Natural
Resources Subcommittee on Energy
Nuclear energy is a key part of our diverse energy mix,
providing essential reliability and resiliency services for our
grid. Early-stage research into advanced reactors, including
advanced small modular reactor technologies (SMRs), is a key
part of the DOE's goal to enable the development of safe, clean
and affordable nuclear power options. The Department recognizes
the potential transformational value that advanced SMRs can
provide to the Nation's economic, energy security and
environmental outlook.
s. 1457, advanced nuclear energy technologies act
Nuclear energy is clean, reliable, and safe, but the
nuclear power industry needs to continue to innovate.
Advanced reactors, including small modular reactors, hold
great promise as a clean, reliable, and secure power source for
our nation. The Department recognizes that advanced reactors
face challenges to ultimately achieving commercialization.
Accordingly, the Department plans to partner with nuclear
technology developers, including those involved with existing
fleet, small modular reactor and other advanced reactor
designs, in cost-shared early-stage research and development.
In addition to cost-shared early-stage research and
development, as well as specific funding opportunities, the
Administration supports prioritized investments in nuclear
energy research infrastructure to enable private sector
innovation.
Changes in Existing Law
In compliance with paragraph 12 of rule XXVI of the
Standing Rules of the Senate, changes in existing law made by
the original bill, as reported, are shown as follows (existing
law proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, existing law in which no change is
proposed is shown in roman):
ENERGY POLICY ACT OF 2005 (PUBLIC LAW 109-58)
* * * * * * *
SECTION 1. SHORT TITLE; TABLE OF CONTENTS
* * * * * * *
TITLE VI--NUCLEAR MATTERS
* * * * * * *
Subtitle B-General Nuclear Matters
* * * * * * *
Sec. 639. Conflicts of interest relating to contracts and
other arrangements.
Sec. 640. Advanced nuclear reactor research and development
goals.
* * * * * * *
SEC. 639. CONFLICTS OF INTEREST RELATING TO CONTRACTS AND OTHER
ARRANGEMENTS.
Section 170A b. of the Atomic Energy Act of 1954 (42 U.S.C.
2210a(b)) is amended--
(1) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively, and indenting
appropriately;
(2) by striking ``b. The Commission'' and inserting
the following:
``b. Evaluation.--
``(1) In general.--Except as provided in paragraph
(2), the Nuclear regulatory commission''; and
(3) by adding at the end the following:
``(2) Nuclear regulatory commission.--Notwithstanding
any conflict of interest, the Nuclear Regulatory
Commission may enter into a contract, agreement, or
arrangement with the Department of Energy or the
operator of a Department of Energy facility, if the
Nuclear Regulatory Commission determines that--
``(A) the conflict of interest cannot be
mitigated; and
``(B) adequate justification exists to
proceed without mitigation of the conflict of
interest.''.
SEC. 640. ADVANCED NUCLEAR REACTOR RESEARCH AND DEVELOPMENT GOALS.
(a) Definitions.--In this section:
(1) Advanced nuclear reactor.--The term ``advanced
nuclear reactor'' means a nuclear fission or fusion
reactor, including a prototype plant (as defined in
sections 50.2 and 52.1 of title 10, Code of Federal
Regulations (or successor regulations)), with
significant improvements compared to the most recent
generation of fission reactors including improvements
such as--
(A) additional inherent safety features;
(B) a significantly lower levelized cost of
electricity;
(C) lower waste yields;
(D) improved fuel performance;
(E) increased tolerance to loss of fuel
cooling;
(F) enhanced reliability;
(G) increased proliferation resistance;
(H) increased thermal efficiency;
(I) reduced consumption of cooling water;
(J) the ability to integrate into electric
applications and nonelectric applications;
(K) modular sizes to allow for deployment
that corresponds with the demand for
electricity; or
(L) operational flexibility to respond to
changes in demand for electricity and to
complement integration with intermittent
renewable energy.
(2) Demonstration project.--The term ``demonstration
project'' means an advanced nuclear reactor operated--
(A) as part of the power generation
facilities of an electric utility system; or
(B) in any other manner for the purpose of
demonstrating the suitability for commercial
application of the advanced nuclear reactor.
(b) Purpose.--The purpose of this section is to direct the
Secretary, as soon as practicable after the date of enactment
of this section, to advance the research and development of
domestic advanced, affordable, and clean nuclear energy by--
(1) demonstrating different advanced nuclear reactor
technologies that could be used by the private sector
to produce--
(A) emission-free power at a levelized cost
of electricity of $60 per mWh or less;
(B) heat for industrial purposes or synthetic
fuel production;
(C) remote or off-grid energy supply; or
(D) backup or mission-critical power
supplies;
(2) developing goals for nuclear energy research
programs that would accomplish the goals of the
demonstration projects carried out under subsection
(c);
(3) identifying research areas that the private
sector is unable or unwilling to undertake due to the
cost of, or risks associated with, the research; and
(4) facilitating the access of the private sector--
(A) to Federal research facilities; and
(B) to the results of research funded by the
Federal Government.
(c) Demonstration Projects.--
(1) In general.--During the period beginning on the
date of enactment of this section and ending on
September 30, 2028, the Secretary shall, to the maximum
extent practicable, enter into 1 or more agreements to
carry out not fewer than 4 advanced nuclear reactor
demonstration projects.
(2) Requirements.--In carrying out demonstration
projects under paragraph (1), the Secretary shall--
(A) seek to include diversity in designs for
the advanced nuclear reactors demonstrated
under this section, including designs using
various primary coolants;
(B) seek to ensure that--
(i) the long-term cost of electricity
or heat for each design to be
demonstrated under this subsection is
cost-competitive in the applicable
market; and
(ii) the cost-competitiveness of each
design to be demonstrated under this
subsection is verified by an external
review of the proposed design;
(C) enter into cost-sharing agreements with
partners in accordance with section 988 for the
conduct of activities relating to the research,
development, and demonstration of private-
sector advanced nuclear reactor designs under
the program;
(D) work with private sector partners to
identify potential sites, including Department-
owned sites, for demonstrations, as
appropriate; and
(E) align specific activities carried out
under demonstration projects carried out under
this subsection with priorities identified
through direct consultations between
(i) the Department;
(ii) National Laboratories;
(iii) traditional end-users (such as
electric utilities);
(iv) potential end-users of new
technologies (such as petrochemical
companies); and
(v) developers of advanced nuclear
reactor technology.
(d) Goals.--
(1) In general.--The Secretary shall establish goals
for research relating to advanced nuclear reactors
facilitated by the Department that support the
objectives of the program for demonstration projects
established under subsection (c).
(2) Coordination.--In developing the goals under
paragraph (1), the Secretary shall coordinate, on an
ongoing basis, with members of private industry to
advance the demonstration of various designs of
advanced nuclear reactors.
(3) Requirements.--In developing the goals under
paragraph (1), the Secretary shall ensure that--
(A) research activities facilitated by the
Department to meet the goals developed under
this subsection are focused on key areas of
nuclear research and deployment ranging from
basic energy to full-design development, safety
evaluation, and licensing;
(B) research programs designed to meet the
goals emphasize--
(i) resolving materials challenges
relating to radiation damage or
corrosive coolants; and
(ii) qualification of advanced fuels;
(C) activities are carried out that address
near-term challenges in modeling and simulation
to enable accelerated design and licensing;
(D) related technologies, such as
electrochemical processing or fuel recycling
that could reduce nuclear waste volumes or half
lives, are developed;
(E) infrastructure, such as a versatile fast
neutron source or molten salt testing facility,
to aid in research are constructed;
(F) basic knowledge of non-light water
coolant physics and chemistry is improved; and
(G) advanced manufacturing and construction
techniques and materials are investigated to
reduce the commercialization cost of advanced
nuclear reactors.
* * * * * * *
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