Nuclear power in Illinois may be getting a new lease on life after the state legislature voted Monday to approve subsidies for two economically-troubled power plants.
The Illinois state Senate voted 37-17 Monday in favor of a bill that provides around $700 million in credits for the Byron and Dresden nuclear power plants. The subsidies, which are spread out over a five year period, should be a much-needed lifeline for the Exelon plants, which the utility company in August said it would shut down.
The bill, which passed in the state House last week on an 83-33 vote, is now headed to Gov. J.B. Pritzker’s (D) desk.
For industry, Illinois’s plant subsidies are music to the ears. Exelon, in a press release Monday, commended the bill’s passage and said it would immediately refuel the Byron and Dresden plants.
The American Nuclear Society (ANS) also welcomed the new subsidies in a Monday statement.
“As the voice for nuclear engineers and scientists, we thank Gov. J.B. Pritzker, the General Assembly, Exelon, and the Climate Jobs Illinois labor coalition for coming together to safeguard Illinois’ environment, economy and power grid,” ANS said. “We urge the governor to quickly sign the bill.”
Maria Korsnick, president and CEO of the prominent trade group Nuclear Energy Institute (NEI), said in a statement Monday that the subsidies “com[e] at a critical time as Illinois looks to achieve its clean energy goals.”
“It is encouraging to see states like Illinois take meaningful steps to value all carbon-free energy sources, including nuclear, as essential tools in addressing the climate crisis,” Korsnick said.
In Washington, the Joe Biden administration is pushing its own infrastructure legislation that would allocate roughly $6 billion to a federal nuclear credits program. If the Biden admin’s subsidies became law, the Department of Energy would “establish a process” to evaluate bids from nuclear plants that post a net operating loss. The infrastructure package cleared the Senate in August, and should get a vote in the House later this month.
Although Byron and Dresden are off the chopping block, nuclear plants across the country are closing at a rapid pace. Michigan’s Palisades plant is slated to shutter early next year. In New York, Indian Point Energy Center went dark at the end of April.
