The Department of Energy said on Tuesday it is awarding Holtec its third loan reimbursement worth $46.7 million to support the company’s efforts to restart the Palisades nuclear plant.
The loan comes as another installment of the DOE’s $1.52 billion loan guarantee for the restart of Palisades, an 800 megawatt plant in Michigan. Last month, Holtec received its second phase of DOE’s loan, worth nearly $57 million, and its first one in January 2025.
The loan guarantee from DOE’s Loan Programs Office was announced in September 2024.
“In advancing President Trump’s commitment to meet our growing demand for affordable, reliable and secure electricity, America needs to utilize all forms of energy that grow our economy, create new jobs, and secure energy independence,” Secretary of Energy Chris Wright said in DOE’s Tuesday press release. “With projects like the Palisades Nuclear Plant, the Energy Department is working to ensure America’s nuclear renaissance is just around the corner.”
The Nuclear Regulatory Commission (NRC) staff expects to issue its final decisions for the licensing actions for the Palisades plant by July 31, 2025, according to the NRC website. Holtec has previously said that the Palisades operations could restart by August 2025.
Contingent on the NRC’s licensing approval, the Palisades nuclear plant has the opportunity to be the first U.S. commercial plant to restart its operations after previously shutting down, said the DOE.
The Palisades plant was originally operated by Entergy but was shut down in May 2022. Holtec purchased the Palisades plant the following month, with the original intention of decommissioning it. Holtec soon pivoted to restarting it instead.
