Pilot program to streamline U.S. nuclear development

By EPN Staff

The U.S. Department of Energy (DOE) unveiled a pilot initiative aimed at revolutionizing advanced nuclear reactor testing.

The program allows private developers to build and operate “Qualified Test Reactors” (QTRs) under DOE authority, rather than going through the conventional Nuclear Regulatory Commission (NRC) licensing path.

The initiative targets at least three reactors reaching criticality, or performing sustainably, by July 4, 2026.

Why it matters

This initiative represents a notable shift in how the federal government supports next-generation nuclear technology. By streamlining the regulatory pathway, the DOE seeks to reduce the time and cost associated with developing and testing new reactor designs.

This approach is billed as a way to:

• Attract greater private investment by offering developers more flexibility and clearer timelines.
• Support national energy and climate goals by promoting the deployment of clean, dispatchable power and reducing reliance on foreign nuclear fuel supply chains.
• Unlock new innovation in nuclear energy and enabling earlier-stage testing while maintaining oversight and safety standards.

The bigger picture

This pilot is rooted in Executive Order 14301, issued on May 23, 2025, directing the DOE to harness its Atomic Energy Act authority to expedite testing outside national labs.

It leans on a regulatory gray area, classifying privately developed reactors for R&D rather than commercial power generation, sidestepping NRC licensing while still ensuring safety oversight.

Qualified Test Reactors must satisfy four key criteria:

• Mature design capable of supporting near-term development.
• Clear fuel plan, including fabrication and disposition.
• Financial viability and supply chain readiness.
• Operational readiness, including staffing and site control

The DOE expects selected applicants to shoulder all development costs along with preparing complete technical volumes, including design maturity, fuel logistics, test plans, schedules, and safety compliance.

A DOE industry briefing on June 25 emphasized that while the department would assist via site access and technical support, the primary responsibility for funding, fuel, site selection and execution lies with developers.

“Everyone in this room and everyone that is going to apply has the eyes of history and the American people on them,” said DOE senior legal adviser Seth Cohen.

Additional context

• Application timeline: Initial applications are due July 21, 2025; further submissions will be accepted on a rolling basis. DOE plans to announce selections on August 25.
• Oversight mechanism: The DOE will use Other Transaction Agreements (OTAs) to formalize partnerships, aiming for flexibility while preserving intellectual property rights.
• Environmental reviews: Projects remain subject to the National Environmental Policy Act (NEPA), although expedited review processes are being implemented.
• Alignment with broader policy: This effort complements separate NRC reforms, mandating licensing under 18 months for new and slightly longer for existing reactors. It is part of a cohesive strategy to quadruple U.S. nuclear capacity by 2050.