Progress toward the historic restart of the Palisades Nuclear Power Plant made a monumental step forward today with the announced close of a $1.52 billion loan from the U.S. Department of Energy’s (DOE) Loan Programs Office (LPO). The announcement took place on site in Covert Township, Michigan, before a large gathering of Holtec associates, skilled trades, community members, government leaders, and other distinguished guests.
Holtec’s Palisades restart is now the first project to receive a loan through the DOE’s Infrastructure Reinvestment (EIR) program, under the Biden-Harris administration’s Inflation Reduction Act. With essential support from the State of Michigan and Holtec, as well as a long-term power purchase agreement in place, this critical financial milestone positions Palisades to be back online by the fourth quarter of 2025.
“This loan funding is not only a critical financial milestone but a bellwether for the vital role that nuclear energy will play in securing our clean energy future,” said Dr. Kris Singh, Founder and CEO of Holtec International, a U.S. innovator in energy technology. “The repowering of Palisades is a testament to our dedication to revitalizing the nuclear industry and ensuring a sustainable, carbon-free energy source for generations to come. It is also a tremendous credit to the strong backing we have received from our partners in the federal government, State of Michigan, local community, and throughout the nuclear industry.”
The Palisades plant, long a cornerstone of Michigan’s energy landscape, is set to return 800 megawatts of clean, safe, and reliable baseload power, contributing significantly to the state’s clean energy goals. Nuclear energy’s unique role in providing carbon-free electricity makes it indispensable to reducing greenhouse gas emissions and stabilizing the energy grid, especially as demand grows in sectors like electric vehicles, data storage, and advanced manufacturing.
Holtec’s focus on safety, reliability, and innovation is reflected in its ongoing restart project work to ensure Palisades continues to meet the highest industry operational standards. Before its scheduled shutdown, Palisades operated in the U.S. Nuclear Regulatory Commission’s highest safety category and was recognized as a top performing plant within the industry. Prior to closure, Palisades completed consecutive record-breaking production runs, which stand as a testimony to the excellent material condition of the plant and its highly trained workforce. Holtec is committed to continuing this legacy of excellence throughout the restart and the plant’s future operation.
Beyond its clean energy contributions, the restart of Palisades is expected to have a transformational impact on the regional economy. The project will create 600 permanent, high-paying jobs in the local community, offering long-term economic stability. Holtec’s commitment to being a union and veteran employer remains a cornerstone of the company’s approach, ensuring that the Palisades workforce is well-supported as the project moves forward.
In addition, as one of the area’s largest taxpayers, an operational Palisades will support local public schools, emergency responders, infrastructure, parks, libraries, senior and veteran resources, and other vital public services.
This restart also lays the groundwork for Holtec’s future initiatives, including the development and deployment of small modular reactors (SMRs) in Michigan. Holtec’s SMR-300 represents the next generation of nuclear technology, offering more adaptable and scalable solutions for the future energy grid. As Holtec leads the charge in deploying these reactors, Michigan is poised to be a global leader in the transition to clean, resilient energy.
Key partnerships at the federal, state, and local levels have been instrumental in making the Palisades restart a reality. Support from the Biden-Harris administration, Governor Gretchen Whitmer, the DOE, U.S. Department of Agriculture, bipartisan members of Michigan’s congressional delegation and state legislature, labor and industry partners, and the local community has been crucial in advancing both the Palisades restart and Holtec’s broader vision for clean energy innovation.
As the restart continues, Holtec remains focused on its mission to provide a cleaner, brighter, and more secure energy future. Palisades will play a critical role in this mission, alongside the company’s innovative SMR technology, which is set to reshape the future of nuclear energy in the United States and beyond.
Source: Holtec
