The U.S. Department of Energy selected the Tennessee Valley Authority’s application for a $400 million grant to develop a small modular reactor at the Clinch River Site in East Tennessee, Governor Bill Lee announced December 2, 2025. The Clinch River Site is described as one of the only federally approved, undeveloped nuclear sites in the country. Tennessee included up to $50 million in its 2025 state budget to accelerate SMR construction and support TVA’s grant application.
What it means
The DOE award positions the Clinch River Site for development of what the announcement describes as the nation’s first small modular reactor. Tennessee created its Nuclear Energy Fund in 2023 with a $70 million investment aimed at attracting advanced nuclear technology companies and building a nuclear industry base in East Tennessee; the state credits that fund with drawing $7.3 billion in total investment and nearly 2,000 new jobs to Tennessee since its creation. Companies recruited since the fund’s creation include Orano, Type One, BWXT Enrichment, Oklo, and Radiant Industries. The Lee administration also established the Tennessee Nuclear Energy Advisory Council through Executive Order 101.
Key facts
- $400 million — DOE grant awarded to TVA for SMR development at the Clinch River Site
- $50 million — state budget allocation (up to) in 2025 to accelerate SMR construction and support TVA’s DOE application
- $70 million — total invested in Tennessee’s Nuclear Energy Fund since its 2023 creation
- $7.3 billion — total investment brought to Tennessee since the Nuclear Energy Fund’s creation, according to the Governor’s office
- Nearly 2,000 — new jobs brought to Tennessee since the Nuclear Energy Fund’s creation, according to the Governor’s office
- Companies recruited to Tennessee’s nuclear ecosystem: Orano, Type One, BWXT Enrichment, Oklo, Radiant Industries
- Clinch River Site described as one of the only federally approved, undeveloped nuclear sites in the country
- Tennessee Nuclear Energy Advisory Council established by Executive Order 101
Source: Office of the Governor of Tennessee (tn.gov), news release, December 2, 2025