nuclear-news

US federal loan to jumpstart AP1000 reactor supply chain, with initial $17.5 billion

.WNN, 24 June 2026

The US Department of Energy has conditionally committed to USD17.5 billion in loans to finance the purchase of long-lead items for up to 10 Westinghouse AP1000 reactors.

The loans, through the Department of Energy’s (DOE) Office of Energy Dominance Financing, advance last year’s Executive Order on Reinvigorating the Nuclear Industrial Base by supporting the objective of having 10 new large nuclear reactors with complete designs under construction by 2030, the department said.

Long-lead items are typically thought of as heavy forgings and castings for pressure vessels, steam turbines and generators. With a limited number of heavy engineering plants able to make to make such components, these – and other engineered components in the reactor supply chain, as well as items such as control software – often need to be ordered many years in advance of installation work.

Advance purchase of long-lead items is expected to accelerate project deployment timelines by up to three years and create significant supply chain efficiencies, Westinghouse said.

The DOE financing will support up to five loans, each supporting two reactors at a project site. Westinghouse will partner with up to five eligible utilities and energy companies nationwide to procure the long-lead items at a fixed price. Each project will be jointly owned by Westinghouse and a utility or energy company partner, with both required to fully commit USD500 million of project equity – USD1 billion total per project – upfront prior to accessing DOE loan funds. Purchasing for each project will be staggered based on the timing of equity commitments and other relevant factors, DOE said.

US Energy Secretary Chris Wright said: “These conditional loans will play an important role in reviving the supply chain needed for America to once again build large-scale commercial reactors. They will also help accelerate the timeline of building those large-scale reactors by up to three years, lowering construction costs and ensuring the United States is able to deliver on President Trump’s bold and ambitious energy addition agenda.”

Last year, the US government – through the Department of Commerce – announced a strategic partnership with Westinghouse’s owners, Cameco Corporation and Brookfield Asset Management, centred on the construction of at least USD80 billion of new reactors across the USA using Westinghouse nuclear reactor technology………………….. https://www.world-nuclear-news.org/articles/us-federal-loan-to-jumpstart-ap1000-reactor-supply-chain

June 29, 2026 - Posted by Christina Macpherson | business and costs, USA