Texas joins nationwide competition for a nuclear-powered future

Nuclear facility

August 1, 2025

A nationwide competition is brewing as lawmakers, developers and the public consider nuclear-powered energy facilities as the next step in energy production. With the rise of data centers supporting artificial intelligence (AI) and natural disasters that threaten local grids, energy generation and battery storage are two of the largest priorities for states — and, maybe, the answer lies in nuclear.

The surge in nuclear energy initiatives comes as the federal government introduced several directives to expand energy capacity and generation throughout the nation. The fed’s effort was designed to invigorate America as a global leader in energy production while divesting the nation’s energy resources and future renewable energy commitments. In addition to providing guidance to states and forming advisory councils, the federal government is providing funding to public and private entities looking to get involved in nuclear energy projects, furthering the need for innovative high-powered solutions.

As a proactive measure, Texas is at the forefront of this problem, seeking large-scale solutions to address the state’s emerging energy demands. As the state’s population continues to boom, electrical demand is expected to reach 152 gigawatts by 2030, outpacing what the current grid is capable of handling. Through coordinated legislative strategy combined with substantial funding commitments for energy generation and multiple projects in motion, Texas is leading the charge for nuclear energy as a solution for rising energy demands.

Texas lawmakers answered the call for energy investments during the 89th Legislative Session earlier this year. In June, lawmakers approved House Bill 14 which is designed to develop the state’s budding advanced nuclear industry. This bill establishes the Texas Advanced Nuclear Energy Office (ANEO) alongside a $350 million investment in next-generation nuclear deployment and development.

The ANEO will provide grants, gifts and loans to enable nuclear deployment throughout the state. The $350 million fund will be used to reimburse eligible businesses, nonprofits and government entities through future programs established through the office.

Texas’ goals for a nuclear-powered future mirror similar initiatives around the nation. New York Gov. Kathy Hochul recently published an op-ed outlining the state’s intent to power residents’ future with nuclear energy. Similarly, other states are introducing new legislation, guidance and policy to guide and establish future nuclear deployment efforts.

New York’s nuclear efforts seek to compete with other states and ensure electric power generation, storage and sustainability for years to come. Recent agreements and projects in the state will require a substantial increase in energy generation and storage, supporting projects such as a $100 billion semiconductor campus outside of Syracuse and an effort to create the nation’s largest supercomputer integrated with AI technologies in Buffalo. The state also recently issued a request for proposals seeking to procure one gigawatt of energy storage under the state’s Bulk Energy Storage initiative.

Three states, Utah, Idaho and Wyoming, are collaborating under a memorandum of understanding (MOU) to strengthen regional and multistate efforts that enhance energy policy and nuclear energy innovation. The MOU is designed to create a comprehensive, cooperative framework between the states that integrates advanced energy generation policy and accelerates the development of affordable nuclear energy systems. The three states will individually consider new legislation to guide the planning and development of these expansive facilities.

Other states, such as Arizona and Colorado, are now in the early stages for nuclear energy adoption, reshaping statutes and policies to support new nuclear projects.

Nationwide, lawmakers are evaluating whether to approve and build nuclear energy facilities that reinforce energy resources and expand sustainable energy options. While nuclear energy may be interesting to some states and local governments, the race for states’ nuclear-powered futures has already begun.

Photo by Rob from Pexels

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