Texas has made significant strides in safer nuclear energy development.
With existing nuclear capacity and a growing interest in advanced nuclear technologies, Texas is positioning itself as a leader in nuclear power. As a clean source of electricity with zero emissions, nuclear energy offers substantial benefits for industries such as chemicals and manufacturing.
Currently, Texas is home to two nuclear power plants with a combined installed capacity exceeding 5,000MW. They generate around 10% of the state’s total electricity, ensuring reliable baseload power to meet Texas’ growing energy demands.
In 2023, Texas Gov. Greg Abbott formed the Advanced Nuclear Reactor Working Group to evaluate Texas’ ability to lead in nuclear power. The group is studying the feasibility of adding five new nuclear plants, with the potential for more in the future. Four subgroups have been established to focus on state and federal policy, regulatory issues, education and supply chain development. A comprehensive report with strategies to advance nuclear energy is expected to be presented to Gov. Abbott at the end of 2024.
Texas is also looking toward the future with Small Modular Reactors (SMRs). These scalable units are seen as a game changer for the energy sector. A demonstration project featuring SMRs is planned for completion by 2030. Dow Chemical’s collaboration with X-energy to develop an SMR at its Seadrift complex, with construction starting in 2026, further marks a milestone in integrating nuclear power into the industrial landscape.
Research into next-generation nuclear technologies is gaining momentum. Abilene Christian University is exploring molten salt reactors as a coolant, with operations expected to begin by 2025. These projects highlight Texas’ commitment to fostering innovation and technical expertise in nuclear energy.
The development of nuclear energy presents opportunities for Texas’ chemical industry. SMRs offer a reliable and carbon-free energy source. Dow’s Seadrift project exemplifies the chemical sector’s engagement in nuclear advancements to secure clean power for energy-intensive operations.
With nuclear energy contributing $1.4 billion to Texas’ gross domestic product in 2022, the economic impact may further benefit the chemical industry through regional growth and supply chain synergies. Technological advancements, like molten salt reactors, could also drive new innovations applicable to chemical manufacturing.
The expansion of nuclear energy is spurring workforce development. Texas is investing in skills critical to both the nuclear and chemical industries, such as welding and pipefitting. This focus on job creation and training will meet the labor demands of upcoming nuclear projects.
Increased nuclear capacity could enhance energy security for the chemical industry by diversifying Texas’ energy portfolio. By reducing reliance on volatile fossil fuel markets, nuclear power may offer the stability and reliability required for uninterrupted operations across industrial sectors.
Challenges remain, particularly with permitting. Described as a "valley of death" by a state regulator during UT Energy Week in Austin last March, the permitting process is seen as a key obstacle. Policymakers will likely explore ways to protect investments and streamline regulatory processes to overcome this hurdle.
The Texas Legislature is expected to play a key role in advancing nuclear energy policy. Lawmakers may review and update policies to accommodate SMRs and other advanced nuclear technologies. Regulatory reforms, aimed at speeding up the permitting process, will be crucial in addressing current bottlenecks.
For the chemical industry, nuclear expansion offers new opportunities for cleaner and more reliable energy sources, while economic growth and workforce development will benefit all sectors involved. Texas’ progress in nuclear energy, though promising, should be approached with optimism and caution. Nuclear energy is a valuable part of a broader strategy to secure cleaner, more reliable power for Texas industries, but it is just one piece of the solution to the state’s energy challenges.
For more information, visit texaschemistry.org
