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At least 145 records · Page 8

Forest residue harvest optimization: spanning the bridge between plant biology and biorefinery performance

Forestry residues have immense potential as alternative feedstocks to petroleum, yet their inherent complexity remains a major challenge to widespread use. Pairing the temporal rhythms of plant biology with biorefinery performance is critical to industrial-scale biorefinery development. Here, we provide the first report of a techno-economic analysis (TEA) and life cycle assessment (LCA) for a model integrated reductive catalytic fractionation (RCF)–molten salt hydrolysis process for forestry residues varying in tree part, species, and phenophase. All forestry residues resulted in net-negative greenhouse gas (GHG) emissions vs. comparable petroleum feedstocks, with GHG emissions potentially reduced >4.0× through composition-based feedstock selection (e.g., harvesting American beech bark in spring vs. summer). Moreover, American beech twigs/branchlets and bark in leafed and emergence phenophases, respectively, had 7.9× lower predicted phenolic minimum selling prices (MSPs) vs. other feedstocks and MSPs within the current global phenolic market range. Hemicellulose content and RCF yield emerged as key parameters impacting GHG emissions and biorefinery revenue, identifying hardwood twigs/branchlets in the leafed phenophase as optimal biofeedstocks. Biorefinery expenses were dominated by purchased equipment, raw materials, and utility costs, highlighting essential areas for future study. Notably, RCF reactor pressures drove 85–90% of equipment costs, but sensitivity analysis revealed that decreasing the pressure 20% could reduce the phenol MSP 4-fold. Structural carbohydrate dynamics were also investigated using a two-step acid hydrolysis method to resolve tissue- and species-level patterns in biomass composition throughout the year to enable harvest optimization based on TEA/LCA findings. Ultimately, elucidating the impact of biofeedstock dynamics on biorefinery performance enables harvest optimization, informed engineering design, and progress towards an expanded bioeconomy.

Shapiro, Alison J. [University of Delaware, Newark↗

Status Update on the Development of Transducers and Bonding Techniques for Enabling Acoustic Measurements of Damage in Microreactor Components

This report provides an overview of potential sensors and sensor-bonding techniques to enable the online acoustic interrogation of microreactor components and enhance structural health monitoring capabilities. The report focuses primarily on optical fiber–based acoustic sensors and describes initial experimental progress toward the deployment of these sensors for microreactor applications. The general approach is to monitor the resonant frequencies of microreactor components and search for evidence of structural defects that could indicate imminent failure. If properly identified, then the components could be repaired during the next reactor outage to prevent costly unplanned shutdowns. The ability to monitor the structural health of components could also reduce the need for time-consuming visual inspections and reduce staffing to improve microreactor economic viability. Increased sensor density is also one of the first steps to moving toward eventual semiautonomous operation. The expected microreactor conditions in which acoustic sensors must survive are characterized, including temperatures, neutron fluences, thermomechanical strains, and vibrational frequencies. Optical fiber–based acoustic sensors are identified as an attractive candidate for acoustic monitoring because of their high accuracy, immunity to electromagnetic interference, and resiliency in high-temperature, high-radiation environments. Optical fiber–based intrinsic sensors, such as type-II fiber-Bragg gratings and Fabry-Pérot Cavities (FPCs), are particularly attractive for a microreactor environment because of their high temperature stability, and FPCs also enable higher frequency interrogation with a lower sensitivity to radiation-induced drift. This report describes multiple interrogation systems, but the best interrogation system for a given situation will depend on the specific microreactor application, including the desired acoustic vibrational amplitudes, modes, and resonant frequencies. Initial experiments included fabricating three FPCs, tack-welding these FPCs to stainless-steel pipes or rods and performing room-temperature acoustic sensing tests to capture the vibrational frequency content. Peaks were identified in the measured frequency spectra and compared with the theoretical fundamental frequencies obtained from Euler-Bernoulli beam theory. Two of the three FPCs measured vibrational frequencies that generally matched those obtained from theory. Future work will include similar testing on pipes or other microreactor components with intentional flaws to evaluate the ability to determine changes in resonant frequencies. Finally, these tests will be repeated at high temperatures, potentially with an applied thermomechanical stress, to include environmental conditions similar to those for a microreactor application.

21 SPECIFIC NUCLEAR REACTORS AND ASSOCIATED PLANTS↗

Values of Recovered Uranium from HALEU Used Nuclear Fuels (Rev. 1)

The value of the recovered uranium (RU) from high assay low-enriched uranium (HALEU) used nuclear fuels was evaluated. Three utilizations of the recovered uranium were considered in this study, which include the cases that RU is used as a fissile material of nuclear fuel, RU is reused in the original advanced reactor after reenrichment, and RU is reused in conventional light water reactors after down-blending. In this study, the RU values were identified by comparing the cost of making a unit mass of fuel with RU versus the fuel cost with the equivalent fresh enriched uranium (EU). A series of bounding analyses for calculating the fuel costs were conducted using several selected reactor types, which include microreactors, advanced thermal reactors, and fast reactors having a burnup of 2 – 165 GWd/t (with residual U-235 content in discharged fuels of 0.8 - 19.6%). This study concludes that RU having a residual U-235 content higher than ~7% would cost less than the fresh EU. The affordability increases as the residual U-235 content in RU increases. For instance, the fuel cost with RU having the residual U-235 content of 19.6% is about 85% cheaper than the fuel cost with the equivalent fresh EU. This study observed that reusing RU after reenrichment in the original microreactor is impractical because the U-235 content in the re-enriched RU fuel would need to be higher than the limit for low-enriched uranium (<20%) to provide the same burnup performance due to parasitic absorption from U-236. It is noted that this study focused on the recovery of uranium only, and the value of other fissile materials (such as Pu) in the used nuclear fuel was not considered even though those are bred significantly in fast reactors. In addition, the impacts of uncertainties in the cost data and the value of RU of TRISO fuels were not evaluated in this study due to the limited information on the cost data uncertainties and the separation cost from TRISO fuels.

11 NUCLEAR FUEL CYCLE AND FUEL MATERIALS↗

A Techno-economic Analysis for Integrating an Electrochemical Reactor into a Lignocellulosic Biorefinery for Production of Industrial Chemicals and Hydrogen

In this study, we present a techno-economic analysis for integrating an electrochemical reactor into a lignocellulosic biorefinery for the purpose of converting biorefinery lignin to higher-value industrial chemicals with co-generation of hydrogen. We consider how the electrochemical reactor impacts the manufacturing costs for producing biofuel and determine a break-even value for the lignin oxidation product stream, which is the minimum lignin conversion product stream value that renders the cost to produce biofuel the same as in the typical biorefinery concept. We conclude that at low extents of lignin conversion, the break-even product stream value is likely too high for the process to be feasible. However, at higher extents of lignin conversion, the break-even product stream value may be between 1.00 and 2.00/kg, depending on capital cost and other manufacturing costs like depreciation. Here the potential markets for the biomass conversion products include resin manufacturing, where the products would compete with petroleum-derived resin precursors.

37 INORGANIC, ORGANIC, PHYSICAL, AND ANALYTICAL CH↗

Influence of functional additives, fillers, and pigments on thermal and catalytic pyrolysis of polyethylene for waste plastic upcycling

Pyrolysis offers a relatively green and economical method to convert waste plastics into valuable chemicals and fuels without the need for harmful solvents, toxic chemicals, or costly high-pressure reactors. Despite its popularity among chemical upcycling technologies, industrial adoption suffers from feedstock heterogeneity, low-quality products, and catalyst deactivation. Most plastics in our daily lives are formulated with functional additives, fillers, and colorants. These additives remaining in end-of-life waste streams increase feedstock heterogeneity, creating a challenging issue in recycling plastics. Still, the potential impacts of additives on the chemical upcycling of plastics have been poorly understood. In this study, polyethylene compounded with a range of widely used additives (antioxidants, stabilizers, pigments, fillers, slip agents, and flame retardants) was subjected to both thermal pyrolysis and catalytic pyrolysis in different catalyst-to-feedstock contact modes. It showed that many inorganic additives, such as talc, kaolin, CaCO 3 , TiO 2 , carbon black, and zinc stearate, facilitated polymer decomposition during pyrolysis, increasing light hydrocarbons while also promoting aromatic and carbon residue formation. Conversely, antioxidants and stabilizers inhibited depolymerization, favoring heavier hydrocarbons. During catalytic pyrolysis with HZSM-5 zeolite, additives strongly enhanced aromatic and catalytic coke formation, especially when there was direct contact between plastics and catalysts. Although certain additives seem beneficial in the short term by promoting polymer cracking and improving the selectivity of aromatics, the transport of the additives and their degradation products and increased carbon coking can contaminate products, deactivate or modify catalysts, and foul reactors. These findings address a critical knowledge gap in effectively converting waste plastics via a greener route.

42 ENGINEERING↗

REBCO Insert Coils toward High-Field, Large-Bore Magnet for Quantum Physics Research

High-temperature superconducting (HTS) magnets offer a promising solution for generating high magnetic fields efficiently and economically, serving as a vital component in nextgeneration scientific instruments and carbon-neutral power systems, notably in cost-effective compact fusion reactors. These high magnetic fields play a pivotal role in advancing research on quantum materials, particularly in elucidating the intricate electronic states near magnetic phase transitions. Here, this paper delves into the research conducted at the Princeton Plasma Physics Laboratory, which is divided into three phases aimed at overcoming technical hurdles in creating large-bore, high-field HTS magnets for cutting-edge quantum physics research. In Phase 1, we designed, constructed, and tested a compact REBCO solenoidal magnet comprising six double-pancake coils featuring a 41.3-mm inner diameter and a 70.0-mm outer diameter. It adopts a no-insulation approach to ensure electrical and thermal stability. Successful testing in a saturated liquid nitrogen bath confirmed its capability to generate a 0.8-T field at 77 K and 2 T at 65 K, with ongoing integration into liquid helium testing. Building on this experience, Phase 2 involves the design of an HTS insert coil, intended to nest within a 12-T low-temperature superconducting (LTS) outsert to achieve a minimum of 20 T at 4.2 K. The focus of Phase 2 centers on addressing challenges posed by screening-current (SC) effects, particularly the associated stress/strain issues. Employing a numerical model that fully couples the SC and mechanical analysis, we discuss strategies for managing stress to mitigate the effects of SCinduced stress concentrations.

75 CONDENSED MATTER PHYSICS, SUPERCONDUCTIVITY AND↗

Development of a Scalable Risk-informed Predictive Maintenance Cloud-based Strategy at Nuclear Power Plants

The fact that light-water reactor operation and maintenance costs are prohibitively expensive and contribute to the premature decommissioning of nuclear power plants is partly due to how the equipment is monitored. In recent years, cloud computing has emerged as a dominant technology, as its low cost, computing and storage adaptability, and ability to host applications across numerous virtual infrastructures potentially make it a cost-effective alternative to onsite storage and diagnostics. In this paper, a technological assessment is carried out on a provisional cloud deployment architecture for a nuclear power plant predictive monitoring system. This cloud-based monitoring system would enable maintenance and diagnostic analysts and other authorized plant users to remotely monitor equipment functionality, thus enabling early fault detection and effective predictive maintenance practices. To provide data processing and storage, sensor device networking, and database management, the Microsoft Azure cloud platform is utilized as part of the proposed cloud architecture; however, this analysis could be extended to other cloud computing service providers as well. The focus of this paper is on application of cloud resources for enabling predictive maintenance, identification of technological hurdles associated with moving to a cloud-computing-based architecture, and potential benefits from moving to a centralized cloud system.

46 INSTRUMENTATION RELATED TO NUCLEAR SCIENCE AND ↗

PRO-X Fuel Cycle Transportation and Crosscutting Report: Avoidability Task

As the frequency and quantities of nuclear material shipments escalate internationally to meet the increased demand for small modular (SMR) and advanced (AR) reactors, the risks and costs associated with shipping activities also likely to increase with them. The primary objective of this study is to evaluate possibilities for risk reduction via avoidability—or, avoiding or reducing the need for nuclear shipments, where possible, either by reducing the frequency or quantities of materials contained in shipments.

98 NUCLEAR DISARMAMENT, SAFEGUARDS, AND PHYSICAL P↗

Screening aqueous organic redox couples for spontaneous hydrogen generation on catalysts

Two low-cost redox couples with near neutral or alkaline pH - 7,8-dihydroxyphenazine-2-sulfonic acid (DHPS) and chrome chelated ethylenediaminetetraacetic acid (Cr-EDTA) with ammonia – are identified to generate hydrogen evolution spontaneously on Pt/C catalysts. Cr-EDTA redox couple has two times higher hydrogen evolution rate than that of DHPS, and the charged Cr-EDTA molecules are fully utilized to generate hydrogen gas, while ~ 50% of DHPS molecules are utilized to produce hydrogen spontaneously on Pt/C catalysts. The Cr-EDTA electrolyte enables cost reduction by allowing cheap raw material of Cr and corrosion resistant alloy instead of costly superalloy for catalytic reactor systems. Furthermore, the Cr-EDTA with ammonia as a negolyte for flow batteries was validated to suppress hydrogen evolution side reaction, reach 99% of coulombic efficiency in flow cell operation paired with Fe(CN)6 redox couple near neutral pH.

08 HYDROGEN↗

Nuclear electric propulsion: A better, safer, cheaper transportation system for human exploration of Mars

NASA has completed a preliminary mission and systems study of nuclear electric propulsion (NEP) systems for 'split-sprint' human exploration and related robotic cargo missions to Mars. This paper describes the study, the mission architecture selected, the NEP system and technology development needs, proposed development schedules, and estimated development costs. Since current administration policy makers have delayed funding for key technology development activities that could make Mars exploration missions a reality in the near future, NASA will have time to evaluate various alternate mission options, and it appears prudent to ensure that Mars mission plans focus on astronaut and mission safety, while reducing costs to acceptable levels. The split-sprint nuclear electric propulsion system offers trip times comparable to nuclear thermal propulsion (NTP) systems, while providing mission abort opportunities that are not possible with 'reference' mission architectures. Thus, NEP systems offer short transit times for the astronauts, reducing the exposure of the crew to intergalactic cosmic radiation. The high specific impulse of the NEP system, which leads to very low propellant requirements, results in significantly lower 'initial mass in low earth orbit' (IMLEO). Launch vehicle packaging studies show that the NEP system can be launched, assembled, and deployed, with about one less 240-metric-ton heavy lift launch vehicle (HLLV) per mission opportunity - a very Technology development cost of the nuclear reactor for an NEP system would be shared with the proposed nuclear surface power systems, since nuclear systems will be required to provide substantial electrical power on the surface of Mars. The NEP development project plan proposed includes evolutionary technology development for nuclear electric propulsion systems that expands upon SP-100 (Space Power - 100 kw(e)) technology that has been developed for lunar and Mars surface nuclear power, and small NEP systems for interplanetary probes. System upgrades are expected to evolve that will result in even shorter trip times, improved payload capabilities, and enhanced safety and reliability.

Clark, John S.↗

Adaptive Fault Current-Limiting Control of MMC for Protection of Multiterminal HVDC Systems: Preprint

For the development of multi-terminal high voltage DC (MTDC) transmission, it is critical to design the protection system that can selectively isolate the faulty area from the healthy part of the dc grid using DC circuit breakers (DCCBs) while ensuring continuous operation of converter stations in the healthy part. However, because of the lack of fault current blocking capability in half-bridge (HB) modular multilevel converters (MMCs), when a dc fault occurs, the rising fault currents can quickly reach the blocking threshold within a few milliseconds and disrupt the operation of MMCs in the healthy part. Large DC reactors are often considered in series with DCCBs to reduce the rate of rise of fault currents and prevent blocking of MMCs in the healthy part of the grid. However, large DC reactors can prohibitively increase the cost of the system, particularly when they are considered in an offshore environment, for instance in offshore wind projects. Large dc reactors can also introduce stability issues and create post-fault oscillations. This paper presents an adaptive fault current limiting control method for MMCs to avoid their blocking and enable continuous operation of MTDC systems. It contains two parts: The first part is based on circulating current feedforward control that emulates virtual reactors in each arm of an MMC, which is immediately activated when the fault current starts to increase, to reduce the rate of rise of the fault current; the second part is triggered when the fault current exceeds a preset threshold by temporarily bypassing the SMs, serving as a complement to the fault current limiting effect of the first part. Both parts do not require fault detection signal and they are activated automatically during faults. Simulation case studies of a four-terminal bipolar MMC-HVDC system are presented to demonstrate the effectiveness of the proposed control methods.

active fault current limiting↗

Transformational challenge reactor design characteristics

The Transformational Challenge Reactor (TCR) program was conceived with the goal to reduce costs and time frames associated with advanced reactor deployment by leveraging developments in advanced manufacturing, advanced materials, data science, and rapid prototyping and testing. The final deliverable of the TCR program was to be an operational test of a novel reactor design. The TCR core design incorporates a dense tri-structural-isotropic/SiC fuel form and volumetrically efficient yttrium hydride moderator, both of which were manufactured and characterized under the TCR program. The TCR is a 3 MW{sub th} He-cooled experimental nuclear reactor designed to reach a total integrated burnup of less than 24 effective full-power hours to keep the radioactive source term to a very low level. TCR design process revealed a positive moderator coefficient; however, the negative doppler coefficients for the fuel and thermal expansion of fuel, moderator, and core support plate yield an overall negative reactivity coefficient. Calculated fuel element temperatures and stresses are well within safety margins. The maximum hypothetical accident (i.e., de-pressurized loss of forced cooling) yields only a modest increase in reactor temperatures that are all within safety margins. This paper summarizes the high-level TCR design characteristics, which were derived from neutronics, thermohydraulics, thermomechanics, and safety analyses.

21 SPECIFIC NUCLEAR REACTORS AND ASSOCIATED PLANTS↗

Non-destructive structural characterization of graphite components using mechanical resonance and deep learning

As compared to conventional nuclear reactors, microreactors have the potential to significantly reduce construction timelines and capital costs, decreasing the barriers for advanced nuclear reactor technologies. However, the lower power output of these microreactors (typically < 20 MWe) creates challenging economics if operation and maintenance costs cannot be sufficiently reduced. The compact size of these designs presents an opportunity for comprehensive in-situ structural health monitoring to provide real-time feedback in order to reduce operational costs associated with maintenance and downtime. Many microreactor concepts use graphite for both in-core neutron moderation and as a structural material, which has typically required some form of periodic and laborious inspection. This report provides a description and assessment of recent work with graphite to couple acoustic-based experimental measurements and characterization with machine learning models to mature structural health monitoring capabilities and generate benefits for the nuclear microreactor industry. With resilient embedded sensors in development in other programs funded by the US Department of Energy’s Office of Nuclear Energy and elsewhere, the work described herein builds upon previously funded efforts to mature non-destructive testing technology that relates measured vibrational signatures to structural changes, using a combination of new experimental measurements and machine learning processing. Building on past successful demonstrations of predictive workflows to identify structural changes in a hexagonal stainless steel test article with excellent acoustic propagation, we first performed baseline characterization on graphite samples with canonical geometries to ensure compatibility and confidence in the applied techniques for a material with distinctly different mechanical properties. In contrast to efforts in previous years, we worked exclusively with unidirectional vibration data that is more comparable to those expected from the existing embedded sensor technologies which are suitable for deployment in a reactor setting. Established acoustic and modern machine-learning-based characterization approaches were applied to the resulting datasets from these simple geometries. Both approaches were found to be highly capable of detecting even small geometric irregularities amongst nominally identical samples. As such, we then moved to testing these approaches for detection of artificial local stress perturbations introduced into a more complex geometry: a hexagonal block with drilled holes. A main outcome of this work is that a generalizable ML workflow can be used to detect and predict the characteristics of small artificial anomalies in a graphite component with a relevant geometry. While this work was performed using surficial vibration data, we expect the approach to be flexible and viable for other monitoring scenarios, such as those with different arrangements or types of sensor arrays. As compared to previously funded efforts, an existing ML workflow based on neural networks was enhanced through the addition of recently developed Fourier neural operators. As applied to previously collected and new vibration datasets, prediction accuracies of anomaly characterizations were greatly improved with minimal added computational cost. As trained on small durations of vibration data (tens of seconds) collected over a realistic number of locations, the model was able to reliably determine the presence of a subtle stress anomaly and begin to provide location estimates. Such an approach is likely to be viable for more relevant reactor damage scenarios for graphite components, such as progressive crack growth or creep.

36 MATERIALS SCIENCE↗

Development concept for a small, split-core, heat-pipe-cooled nuclear reactor

There have been two main deterrents to the development of semiportable nuclear reactors. One is the high development costs; the other is the inability to satisfy with assurance the questions of operational safety. This report shows how a split-core, heat-pipe cooled reactor could conceptually eliminate these deterrents, and examines and summarizes recent work on split-core, heat-pipe reactors. A concept for a small reactor that could be developed at a comparatively low cost is presented. The concept would extend the technology of subcritical radioisotope thermoelectric generators using 238 PuO2 to the evolution of critical space power reactors using 239 PuO2.

Lantz, E.↗

Autonomous Operations for Advanced Reactors Utilizing Supervisory Control

Automation is a critical tenet of reactor plant operations as reliance on nuclear energy increases. Nuclear power plants require a large workforce which does not scale with output; that is, the cost per megawatt increases as reactor output becomes smaller. The economic viability of advanced reactors, particularly small modular reactors (SMRs) and microreactors, requires a significantly reduced onsite workforce. The logical solution is establishing a systematic process of elimination of reliance on human operators, and to the extent possible, replacing these actions with automated functions. In this paper, we propose a method for such transformation to establish a robust technical basis to enable transition to autonomy. Our method is based on finite state automata (FSA)—also known as finite state machines (FSMs). Relying on this method allows us to exploit the rich set of mathematical proofs available in the field of regular languages. FSA are one of the mathematical tools to model discrete event systems (DES). These properties are applied to produce an automated startup controller for the Massachusetts Institute of Technology Research Reactor (MITR). The startup procedure is captured in terms of discrete changes from one state to another while an independent supervisory control system directs the sequence of states and alerts a human in the event of an abnormal operation. First, the design and behavior of the MITR rod control system were modeled in Simulink. Then, the startup procedure was applied to the rod control system and the DES performed a startup by procedurally withdrawing rods to the subcritical position. The simulation also stops rod motion in response to an uncontrollable event and restarts rod motion once the event has been cleared.

46 - INSTRUMENTATION RELATED TO NUCLEAR SCIENCE AN↗

Modeling of Combined Lead Fast Reactor and Concentrating Solar Power Supercritical Carbon Dioxide Cycles to Demonstrate Feasibility, Efficiency Gains, and Cost Reductions

Solar power has innate issues with weather, grid demand and time of day, which can be mitigated through use of thermal energy storage for concentrating solar power (CSP). Nuclear reactors, including lead-cooled fast reactors (LFRs), can adjust power output according to demand; but with high fixed costs and low operating costs, there may not be sufficient economic incentive to make this worthwhile. We investigate potential synergies through coupling CSP and LFR together in a single supercritical CO 2 Brayton cycle and/or using the same thermal energy storage. Combining these cycles allows for the LFR to thermally charge the salt storage in the CSP cycle during low-demand periods to be dispatched when grid demand increases. The LFR/CSP coupling into one cycle is modeled to find the preferred location of the LFR heat exchanger, CSP heat exchanger, sCO 2 -to-salt heat exchanger (C2S), turbines, and recuperators within the supercritical CO 2 Brayton cycle. Three cycle configurations have been studied: two-cycle configuration, which uses CSP and LFR heat for dedicated turbocompressors, has the highest efficiencies but with less component synergies; a combined cycle with CSP and LFR heat sources in parallel is the simplest with the lowest efficiencies; and a combined cycle with separate high-temperature recuperators for both the CSP and LFR is a compromise between efficiency and component synergies. Additionally, four thermal energy storage charging techniques are studied: the turbine positioned before C2S, requiring a high LFR outlet temperature for viability; the turbine after the C2S, reducing turbine inlet temperature and therefore power; the turbine parallel to the C2S producing moderate efficiency; and a dedicated circulator loop. While all configurations have pros and cons, use of a single cycle offers component synergies with limited efficiency penalty. Using a turbine in parallel with the C2S heat exchanger is feasible but results in a low charging efficiency, while a dedicated circulator loop offers flexibility and near-perfect heat storage efficiency but increasing cost with additional cycle components.

14 SOLAR ENERGY↗

Material Accountancy for Molten Salt Reactors: Challenges and Opportunities

The large upfront capital costs associated with new nuclear facilities is a substantial barrier to future growth. Facility retrofits to accommodate effective nuclear security can be expensive, particularly in facilities with large inventories of bulk nuclear material. The recent and sustained interest in advanced nuclear power presents the opportunity to implement material control and accountancy (MC&A) measures in the design phase to lower the possibility of costly retrofits.

22 GENERAL STUDIES OF NUCLEAR REACTORS↗

Effects of the U.S. inflation reduction act on SMR economics

The U.S. Inflation Reduction Act (IRA) of 2022 provides a wide array of tax credits and other incentives for low-carbon energy. The technology-neutral clean generation production tax credit (PTC) (Section 45Y of the U.S. Internal Revenue Code) and the technology-neutral investment tax credit (ITC) (Section 48E) lower the net cost of new electricity generation projects with zero or negative greenhouse gas emission rates. We evaluate the impact of the IRA legislation—specifically the PTC and ITC—on the cost-competitiveness of small modular reactors (SMRs). We use the Argonne Low-carbon Energy Analysis Framework (A-LEAF) model to calculate the capacity factor of an SMR with a range of hypothetical variable operating and maintenance (O&M) costs in the Electric Reliability Council of Texas (ERCOT) electricity market. We selected ERCOT for market modeling because of its competitive structure, available data, and extensive use in prior literature. We use a discounted cash flow model to calculate the SMR’s net present value based on the market prices and capacity factors from A-LEAF, hypothetical ranges of capital and variable O&M costs, and other input parameters, with or without the IRA tax credits. We determine the SMR owner’s optimal choice of PTC or ITC for the hypothetical ranges of capital and variable O&M costs. We also evaluate potential shifts in the SMR owner’s optimal choice of PTC or ITC based on historical patterns of nuclear capital cost overruns in the United States. We also assess the sensitivity of our results to longer PTC period and electricity prices from the New England market, which tend to be higher than electricity prices in ERCOT. We find that even with the IRA tax credits, only SMRs with low capital and variable O&M costs would be economically feasible in the low-price ERCOT market scenario modeled. A longer PTC period and higher-price market such as New England, however, would significantly expand the economic feasibility of SMRs in the United States.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗