Maryville, TN – In a bold move to strengthen the nation’s energy future, Tennessee Governor Bill Lee has committed significant funding to support the development of nuclear energy, positioning the state as a leader in nuclear innovation. During his State of the State address on February 10, 2025, Lee outlined a series of proposals aimed at advancing nuclear technology, workforce training, and regulatory development.
The governor’s proposal includes a $50 million investment for the Tennessee Valley Authority’s (TVA) Clinch River Nuclear Small Modular Reactor (SMR) project. This funding is seen as a vital step toward realizing the project, which has already received an early site permit and is in line to apply for $800 million in federal funding. The Clinch River SMR project, which could potentially be the nation’s first small modular reactor, is poised to play a key role in the future of clean, reliable energy in the U.S.
“We’ve laid the groundwork. We have a willing partner in the White House. Now is the time to develop the Clinch River Site and build the nation’s first small modular reactor on Tennessee soil,” Lee said in his address.
In addition to the $50 million for the SMR project, the governor has pledged a further $10 million to Tennessee’s Nuclear Energy Fund. This fund, established in fiscal 2023-2024, is designed to attract cutting-edge nuclear technology companies to the state. Lee emphasized that East Tennessee has already become a hub for global industry leaders, including companies like Kairos, X Energy, and Orano USA, which has selected Oak Ridge as the site for a new uranium enrichment facility.
“Tennessee’s Nuclear Energy Fund has already grabbed the attention of America’s most innovative energy companies, and more are on their way,” Lee remarked, pointing to Orano USA’s significant investment as a symbol of the state’s growing role in the nuclear sector.
The state’s commitment to nuclear energy extends beyond financial support for businesses. Governor Lee’s budget also includes $2.6 million to develop a regulatory framework for commercial nuclear fusion power, a rapidly emerging technology that could play a crucial role in the global energy landscape. Additionally, $10 million has been earmarked to enhance vocational education programs aimed at developing a skilled nuclear workforce, ensuring that Tennessee remains at the forefront of energy innovation.
To further bolster Tennessee’s position in nuclear research and development, the proposed budget allocates $20 million to the Federal Grant Matching Fund. This fund is designed to support Tennessee universities and businesses in securing research funding from federal agencies, including the National Science Foundation and the Department of Energy.
“Tennessee is a top contributor to our nation’s economy because of our willingness to adapt and welcome emerging industries,” Lee stated, underscoring the state’s reputation for fostering innovation and growth.
Governor Lee’s proposal is a clear signal that Tennessee is committed to securing the nation’s energy future through the development of nuclear technologies, while also preparing the workforce and regulatory infrastructure to support the next generation of energy solutions. With substantial investments in both cutting-edge projects and workforce development, the state is positioning itself as a critical player in the global nuclear energy sector.
