The U.S. nuclear power industry is experiencing renewed support from the Trump administration, which aims to finance the construction of up to 10 new nuclear power plants. This initiative is a response to increasing energy demands driven by economic growth and advancements in technology, particularly in artificial intelligence. The Energy Department, led by Secretary Chris Wright, emphasizes that this effort is not merely a government subsidy but a necessary step to revitalize an industry that has faced significant regulatory hurdles and political opposition over the past several decades.

Wright has characterized this movement as a nuclear "renaissance," highlighting the need to restore the nuclear sector after years of decline, during which the number of operational reactors in the U.S. decreased from approximately 112 in the early 1990s to just over 90 today. Despite this reduction, nuclear energy continues to supply nearly 20% of the nation's electricity, thanks to technological upgrades and improved efficiencies within existing plants.

The U.S. is at a critical juncture, as 22 reactors across 18 sites are slated for deactivation. The loss of this capacity could lead to increased electricity costs for consumers, potentially impacting living standards. Comparatively, European nations that have decommissioned nuclear facilities in favor of alternative energy sources have faced economic challenges, including a decline in GDP relative to the U.S.

The Energy Department's initiative is positioned against a backdrop of contrasting energy policies in various U.S. states, where blue states often implement stricter regulations that can lead to higher electricity prices compared to red states that adopt more energy-friendly policies. The administration argues that a renewed focus on nuclear energy, alongside other energy sources such as natural gas and emerging technologies like nuclear fusion, is essential for ensuring a stable and affordable energy future for the country.

In parallel, the U.S. Strategic Petroleum Reserve (SPR), established in response to the 1970s oil crisis, serves as the nation's emergency oil supply and is managed by the Department of Energy. The Trump administration has announced plans to gradually refill the SPR, which was partially depleted during the Biden administration's efforts to lower gas prices in response to economic pressures exacerbated by the COVID-19 pandemic and geopolitical tensions following Russia's invasion of Ukraine.

In 2021, President Biden authorized the release of 50 million barrels from the SPR to alleviate high energy prices, which had reached a seven-year high. This was followed by a more extensive release of approximately 300 million barrels over the subsequent years. The Biden administration characterized these actions as necessary to stabilize the economy and address supply chain disruptions.

As a result of these withdrawals, the SPR's levels fell to a 40-year low of 347 million barrels by July 2023, compared to a peak of 727 million barrels in 2009. The Trump administration has criticized these actions, claiming they jeopardized national security and economic stability. A Trump official stated that the depletion of the reserve has led to increased costs and maintenance challenges for the SPR.

The current capacity of the SPR is approximately 700 million barrels, and the Trump administration estimates that refilling it could cost up to $20 billion. The Department of Energy has begun the process of replenishing the reserve, with plans to purchase oil at lower prices than those at which it was sold during the previous administration. Congress will need to approve funding for these refilling efforts.

The Trump administration has indicated a commitment to restoring the SPR to its full capacity, emphasizing the importance of maintaining a robust emergency oil supply for national security purposes. The ongoing political discourse surrounding energy policy highlights the broader implications of energy management and economic stability in the context of U.S. governance.