PSEG Nuclear Seeks 20-Year License Extension for New Jersey Power Plants Amid Offshore Wind Push

On April 3, 2024, PSEG Nuclear LLC, the owner of New Jersey's three nuclear power plants, announced its intention to seek federal approval to operate the plants for another 20 years. This move is vital as New Jersey aims to establish itself as a leader in offshore wind energy. The nuclear plants, which currently supply nearly half of the state's electricity, are seen as a crucial backup in case there is insufficient development of wind projects to meet the state's energy needs.

The company has notified the U.S. Nuclear Regulatory Commission (NRC) of its plans to seek renewed licenses for the Salem Generating Station Units 1 and 2, as well as the Hope Creek Generating Station. The extension request is scheduled to be filed in the second quarter of 2027. If approved, the licenses for Salem Units 1 and 2 would be extended to 2056 and 2060, respectively, while the license for Hope Creek station would be extended to 2066, enabling these plants to operate beyond 2050.

Company's Commitment

Charles McFeaters, president and chief nuclear officer of PSEG Nuclear, emphasized the company's commitment to contributing to New Jersey’s clean energy future and serving as a vital economic engine for the local community. He stated, "For more than five decades, the nuclear generating stations in south Jersey have safely generated reliable, always-on carbon-free energy."

Starting this year, a nuclear production tax credit included in the federal Inflation Reduction Act will provide nuclear generators with nine years of financial support through 2032. In addition, New Jersey officials approved a $300 million customer-funded subsidy for the state's nuclear industry in 2019 to support clean energy sources as an alternative to burning fossil fuels.

The company's decision to extend its operating licenses received bipartisan support from New Jersey lawmakers. State Sen. John Burzichelli, a Democrat, highlighted that "Nuclear power is a clean resource that provides reliability and diversity to the state’s supply of energy," while Sen. Michael Testa, a Republican, emphasized the consistent, reliable, and affordable power delivery by South Jersey’s nuclear plants regardless of the weather.