Constellation (Nasdaq: CEG) CEO Joe Dominguez will urge Congress to authorize and fully fund legislation providing up to $3.5 billion for investments in domestic fuel sources for the nuclear energy industry, citing risks to the environment, energy grid reliability and national security if America's nuclear industry lacks sufficient nuclear fuel in coming years as a result of global disruptions in the supply chain.
In testimony before the Senate Energy and Natural Resources Committee today, Dominguez will discuss how the global pandemic and the unprovoked war in Ukraine have exposed the nation's dependence on foreign suppliers ? dominated by Russia -- for enriched uranium that is converted into fuel for use in nuclear power plants.
The bipartisan Nuclear Fuel Security Act proposed by Sens. Joe Manchin (D-WV) and John Barrasso (R-WY) would direct the U.S. Department of Energy to establish a nuclear fuel program to onshore nuclear fuel production and create a secure supply for the U.S. fleet. Multiple western suppliers have said they could bring additional supply online by 2028, but Congress must act quickly to spur investment.
The nation's largest nuclear operator and largest producer of carbon-free energy in America, Constellation has secured fuel supplies to last through 2028 from a variety of suppliers. But there are not currently enough supplies among the U.S. and its allies to satisfy long-term global demand among the world's nuclear plant operators.
"Constellation stands with Ukraine, and we support U.S. and international efforts to end the war. We have long supported domestic suppliers of uranium, conversion and enrichment as part of our robust risk management strategy to rely on a diversified fuel supply. However, in the world of nuclear fuel, 2028 is tomorrow," Dominguez says. "Congress must authorize and fund a $3.5 billion investment as part of a public-private cost-share partnership with conversion and enrichment providers. It is important that we have both diversity of supply and a diversity of suppliers. We are grateful to Sens. Manchin and Barrasso for convening this hearing and for their continued leadership on energy and national security issues."
Nuclear energy provides more than half of all carbon-free electricity produced in the U.S. and is essential to addressing the climate crisis. It is also the most reliable form of 24/7 energy on the grid, supplying 20 percent of the nation's total electricity and helping to prevent rolling blackouts when extreme weather events driven by climate change have forced fossil power plants offline due to equipment failures and disruptions to fuel supplies.
"Nuclear power is critical to the nation's energy security, environmental security and national security. State and federal policymakers are increasingly recognizing the value of nuclear power," Dominguez says in his prepared testimony. "It is imperative that we work together to urgently reestablish the United States as a world leader in providing conversation and enrichment services."
Dominguez's full prepared testimony is available for download here. A livestream of the hearing will be available at energy.senate.gov beginning at 10 a.m. ET.
Headquartered in Baltimore, Constellation Energy Corporation (Nasdaq: CEG) is the nation's largest producer of clean, carbon-free energy and a leading supplier of energy products and services to businesses, homes, community aggregations and public sector customers across the continental United States, including three fourths of Fortune 100 companies. With annual output that is nearly 90 percent carbon-free, our hydro, wind and solar facilities paired with the nation's largest nuclear fleet have the generating capacity to power the equivalent of 15 million homes, providing 10 percent of the nation's clean energy. We are further accelerating the nation's transition to a carbon-free future by helping our customers reach their sustainability goals, setting our own ambitious goal of achieving 100 percent carbon-free generation by 2040, and by investing in promising emerging technologies to eliminate carbon emissions across all sectors of the economy. Follow Constellation on LinkedIn and Twitter.
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