79–010 

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; 

2 

‘‘(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 nonlight-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 reVerDate Sep 11 2014 02:02 May 23, 2018 Jkt 079010 PO 00000 Frm 00002 Fmt 6659 Sfmt 6602 E:\HR\OC\SR251.XXX SR251
3 

quire 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; apVerDate Sep 11 2014 02:02 May 23, 2018 Jkt 079010 PO 00000 Frm 00003 Fmt 6659 Sfmt 6602 E:\HR\OC\SR251.XXX SR251
4 

plying 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. 

5 

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 earlystage 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.— 

6 

‘‘(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 

7 

(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 costcompetitive 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 

8 

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. 

* * * * * * * 

Æ