A view of the grounds at the Palisades nuclear reactor in Covert Township, Michigan, U.S., August 14, 2024.
The Palisades plant, previously operated by Entergy for over 50 years, was shut down in 2022, two weeks earlier than planned due to a control rod issue. The closure occurred despite a $6 billion federal program to sustain nuclear reactors facing rising operational costs. Nuclear energy, which produces nearly emissions-free power, is seen as vital for meeting growing electricity demands from data centers and artificial intelligence.
Holtec is actively working to restart the plant by the fourth quarter of 2025. The company is currently repairing steam generators, as maintenance protocols were not followed during the shutdown. Holtec stated: “We are committed to ensuring the plant meets all safety and operational standards for a successful restart.”
The U.S. Nuclear Regulatory Commission (NRC) approved Holtec’s request to load fuel into the reactor in July 2025. However, the NRC noted: “There are still several licensing actions under review and requirements that must be met before Palisades can restart under the original operating license, which expires in 2031.”
The initiative follows a broader push to support nuclear energy in the U.S. In May 2025, executive orders were signed to streamline licensing processes for new nuclear projects and reform the NRC’s operations. Additionally, Constellation Energy announced plans in June 2025 to reopen the Three Mile Island nuclear plant in Pennsylvania, with a target restart date in 2027, a year ahead of schedule. The Pennsylvania plant, known for a 1979 partial meltdown, reflects growing efforts to revive nuclear capacity.
The loan guarantee for Palisades, initiated under a prior administration, underscores the strategic importance of nuclear power in meeting clean energy goals. Holtec’s efforts to bring Palisades back online highlight the potential for nuclear energy to contribute to a sustainable energy future while addressing rising electricity demands.
