U.S. government backs Michigan nuclear plant restart to meet energy demand

The U.S. Energy Department has approved a $1.52 billion loan to help reopen the Palisades nuclear plant, aiming to address growing electricity demand with low-carbon energy. Some would like to see the resources put into renewables instead.

Brad Plumer reports for The New York Times.

In short:

The Palisades nuclear plant in Michigan, which closed in 2022, will be refurbished and reopened by Holtec International with the help of a $1.52 billion federal loan.
Rural energy providers will receive $1.3 billion in grants to support buying power from Palisades and investing in renewable energy projects.
The restart comes as nuclear power gains renewed interest due to its ability to provide continuous low-carbon energy.
The Michigan chapter of the Sierra Club characterized the plan as "foolhardy and costly," advocating for the use of less expensive renewable energy sources instead.

Key quote:

“The restart of Palisades offers a practical, long-term solution to electric reliability in our state.”

— Eric Baker, chief executive of Wolverine Power Cooperative

Why this matters:

As demand for electricity rises, reliable, low-carbon energy sources are essential for reducing emissions while meeting the needs of growing sectors such as electric vehicles and data centers. But nuclear energy also comes with safety concerns and generates radioactive waste.

www.nytimes.com

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