Governor introduces legislation to spur small “micro” nuclear reactors in state

Gov. Mike Dunleavy introduced legislation Feb. 1 that would streamline the state’s process for approval of siting for small nuclear reactors.

Senate Bill 177 would facilitate use in Alaska of “micro-reactors,” a new generation of very small reactors now under development in U.S. national energy laboratories.

Sen. Click Bishop, R-Fairbanks, now Senate Finance cochair, sponsored similar legislation in 2018. The bill did not pass but hearings were held.

The U.S. Air Force is now planning a 5-megawatt micro-reactor at Eielson Air Force Base, and Copper Valley Electric Assoc. is working on a plan for a larger 30-megawatt unit at Valdez.

Microreactors are defined as units generating up to 50 megawatts in the federal infrastructure bill, which has sections intended to advance the new technology.

The small reactors are considered safer than conventional reactors because they involve self-regulating “passive” cooling systems and are designed to be extracted and replaced when fuel is spent, functioning essentially like a battery.

“Passive safety means that in the case of an unexpected event, like an earthquake, heat cannot melt down the fuel or compromise the fuel containment system,” according to information distributed by the governor’s office.

“Also, new nuclear fuel systems cannot melt in a reactor and can withstand extreme temperatures and stresses well beyond the threshold of current nuclear fuels,” the materials saidDunleavy’s bill specifically would exempt microreactors from a requirement in current state law for the Legislature to approve the siting of a nuclear facility.

It would also exempt microreactors from state requirements for extensive ongoing study requirements. Those would still apply to large reactors generating more than 50 megawatts.

“For communities seeking more options to end their dependence on diesel and heating oil, we want to ensure that our statutes give them the opportunity to explore what many experts believe may be a generational leap forward in terms of clean, reliable, and cost-effective off-grid power.” Unlike traditional nuclear technology, microreactors are subject to new safety requirements that allow them to operate with minimal human oversight, thus removing the possibility of human error, and operate without fear of a meltdown thanks to modern passive cooling systems and newer, accident-tolerant fuel types, the governor’s office said.

The units operate more like a battery than a traditional reactor

A microreactor can be delivered to a remote site, provide electricity and district heating (a centralized heating system for communities) for over a decade, and then be returned to the manufacturer for replacement along with all generated waste, according to information from the governor’s office.

If they prove feasible, microreactors would be ideal for remote industrial sites like mines. They also have the advantage of being able to supply heat for space-heating as well as power generation.

Power generation costs with the new micoreactor technology are estimated to range from 9 to 33 cents per kilowatt hour, depending on the scale of the project. This is a price range that compares favorably with the cost of diesel-generation of power in rural Alaska communities.

Two other alternative energy bills sponsored by the governor, these dealing with geothermal energy, are in House Bill 135 and Senate Bill 104, both introduced in 2021. These are “companion” bills, the same bill in both House and Senate, and making technical changes in state statutes to encourage geothermal energy development.

HB 135 moved from House Energy to House Finance last week; SB 104 has been in Senate Finance since last May. With the bills postioned in the finance committees of both bodies of the Legislature they are at an advanced stage, making it very likely one would pass this year

Essentially, the legislation lengthens the terms for geothermal leases to five years and doubles the acreage that can be held under a lease to 100,000 acres.

The legislation also expands the definition of geothermal to include “warm” (80 degrees C) water resources as well as “hot” (120 degrees C) to include the many warm springs known in the state, such as those at Chena Hot Springs near Fairbanks, where the Chena Hot Springs resort generates power and heats buildings including greenhouses from the warm spring located there..