The Federal Energy Regulatory Commission this week approved NextEra Energy’s (NYSE:NEE) application to restart the Duane Arnold nuclear power plant in Iowa by year-end 2029, UtilityDive.com reported Wednesday.
NextEra (NYSE:NEE) shuttered the 600 MW plant in 2020 because it could not compete financially, as natural gas and renewable energy were cheaper sources of electricity generation, but nuclear has become more valuable thanks to surging power demand and large new tax breaks from the federal government.
The company could bring Duane Arnold back online by the end of 2028, but it asked FERC for an additional year for the plant to return to service in the event of delays in obtaining equipment or repairs at the plant.
NextEra (NEE) is one of the largest U.S. owners of renewable electricity generation, but subsidies for wind and solar power are going away in the One Big Beautiful Bill enacted in July, and CEO John Ketchum said on the company’s latest earnings conference call that Duane Arnold can be “one of many ways that we have to continue to grow the business in the future.”
The company, which expects to spend $50M-$100M this year to recommission Duane Arnold, said it is talking with potential customers that could buy production from the restarted plant.