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NRC Proposes Key Changes to Reactor Licensing Regulations

The Nuclear Regulatory Commission’s proposed rule would revise power reactor licensing requirements across construction, siting criteria, quality assurance, license renewal, decommissioning funding and fuel enrichment standards. 

 

On July  1, 2026, the Nuclear Regulatory Commission proposed a significant, comprehensive overhaul of its regulations regarding power reactor licensing. Following the directives of the ADVANCE Act of 2024 and Executive Order 14300, among others, the NRC’s proposed rulemaking seeks to modernize reactor licensing, building upon decades of licensing experience and almost 4,000 years of reactor operating experience as of the end of 2025.

The proposed rule addresses the full scope of NRC reactor licensing, from siting criteria to decommissioning. NRC Chairman Ho Nieh issued a statement that “[t]his proposed rule strips out rigid frameworks and unnecessary conservatism to accelerate the safe deployment of new reactors and expand existing capacity across America.”

Among the most significant rule changes being proposed are:

  1. Changes to the definitions of “Construction” in 10 CFR Part 50 to better focus the requirement to obtain a license on construction that affects safety.
  2. Adds definitions of “design basis event” and “beyond design basis event,” and requires NRC staff to publish guidance to categorize events based on determinate and data-backed criteria. 
  3. Expands the scope of alternatives to the requirements in 10 CFR 50.55a – Codes and Standards, to allow greater flexibility in accomplishing safety objectives without requiring exemptions.
  4. Changes to 10 CFR 50.59 to allow the use of quantitative risk criteria in addressing the “more than minimal increase” criterion and to allow greater flexibility in making changes to methods that now require NRC approval. 
  5. Changes to decommissioning funding assurance to accommodate non-large light water reactors. 
  6. The creation of 10 CFR Part 50, Appendix T, to provide an alternative quality assurance criteria to 10 CFR Appendix B. The new criteria would establish performance based QA criteria that grades requirements relative to the safety and risk impact of the structures, systems and components to which the criteria are applied. The new Appendix would also relax or remove NRC oversight of suppliers and vendors using the same graded approach. 
  7. Elimination of some prescriptive application requirements and add risk-informed and performance based acceptance criteria to 10 CFR Parts 50 and 52. 
  8. Modification of the restrictions applicable to changes during construction under a certified design or manufacturing license under 10 CFR Parts 52 and 53. 
  9. Extension of the duration of a renewed reactor operating license and allow applicants the flexibility to propose alternative risk-informed and performance based criteria for renewal. 
  10. Revision of reactor siting criteria to provide flexibility across multiple reactor designs.
  11. Revision of regulations to accommodate the use of fuels enriched to greater than 5%. 
     

The NRC is requesting comments on the proposed rule by 45 days after the notice appears in the Federal Register.

About Balch & Bingham’s Nuclear Energy Practice

Balch is one of the leading firms in the world in the nuclear arena, recognized for excellence in the Chambers Global 2026 Guide. The firm has been deeply involved in the nuclear power industry in the United States and Europe, representing clients in all aspects of nuclear plant development, including licensing, procurement, and construction activities, as well as in a variety of traditional licensing, enforcement and rulemaking proceedings before the U.S. Nuclear Regulatory Commission (NRC). Our attorneys frequently appear before other federal and state agencies and courts in proceedings critical to the nuclear industry. We also provide counsel regarding the myriad of issues that confront participants in this complex industry.