State officials outline funding, strategy for $350M advanced nuclear energy expansion

Texas is planning one of the largest nuclear energy pushes in the nation as a new state office is providing updates on the $350 million initiative. 

The passage of House Bill 14 in 2025 marked a major turning point in Texas’ efforts to catalyze and dominate the nuclear energy industry. The Texas Advanced Nuclear Energy Office (TANEO) provided an update on how funding will be distributed and strategic plan progress at its most recent meeting. 

The $350 million appropriated to the Texas Advanced Nuclear Development Fund (TANDF) will directly support next-generation nuclear deployment and development across three funding programs: 

• Project Development and Supply Chain Reimbursement Program (PDSCRP). 
• Advanced Nuclear Construction Reimbursement Program (ANCRP). 
• Completion Bonus Grant Program (CBGP). 

The PDSCRP will deliver awards to develop nuclear infrastructure within the state, emphasizing efforts that prioritize manufacturing capacity and the fuel supply chain. Up to $12.5 million will be available per grant, providing recipients with state aid for expense needed to initially develop advanced nuclear projects. 

The ANCRP will similarly apply to eligible expenses associated with projects that build advanced nuclear infrastructure or services. The program will help derisk capital exposure while procuring long lead time components, construction and regulatory activities. Up to $120 million will be available per award for participants that have a permit or license docketed with the Nuclear Regulatory Commission (NRC). 

The CBGP will assist with costs required to complete operational advanced nuclear reactors that are interconnected with the Electric Reliability Council of Texas (ERCOT) power grid. The Public Utility Commission of Texas (PUCT) will coordinate with TANEO to determine grant amounts on a per megawatt basis according to each reactor’s generation capacity. Unlike the other two programs, the CBGP has not been appropriated any funding yet. 

TANEO released a projected date – no later than Dec. 1, 2026 – for a report on the office’s strategic plan designed to advance its goals, purposes and objectives. As part of its planning efforts, the office will establish advisory committees specializing in different aspects of the nuclear energy industry to inform and refine the process. 

Photo by Trougnouf, CC BY 4.0 <https://creativecommons.org/licenses/by/4.0>, from Wikimedia Commons