Governor Greg Abbott Directs $340 Million to Establish Texas Advanced Nuclear Energy Authority

AUSTIN, Texas — Governor Greg Abbott announced on Monday the allocation of $340 million in state capital from the Texas Energy Fund to establish the Texas Advanced Nuclear Authority (TANA) and fund matching capital grants for commercial microreactor and Small Modular Reactor (SMR) deployments at heavy industrial chemical manufacturing plants, desalination facilities, and Permian Basin oilfield microgrids.

The initiative positions Texas as the national leader in advanced nuclear manufacturing, building on recommendations from the Governor's Advanced Nuclear Working Group to establish a specialized state regulatory ombudsman that streamlines Nuclear Regulatory Commission (NRC) environmental siting and local utility interconnection.

Powering Texas Industry and AI Data Centers with Zero-Carbon Baseload Surging industrial power demand from Gulf Coast chemical plants, Permian Basin electrified drilling rigs, and artificial intelligence data centers is projected to double peak ERCOT electric demand to 150 gigawatts by 2030.

"Texas is the energy capital of the world, and we will lead the next revolution in nuclear power innovation," Governor Abbott said during an announcement at the University of Texas at Austin Nuclear Engineering Teaching Lab. "Advanced nuclear reactors and microreactors provide firm, reliable, carbon-free baseload power that operates continuously regardless of weather conditions. This $340 million investment will establish Texas as the premier global destination for advanced nuclear developers, creating thousands of high-wage jobs and powering our booming economy for decades."

State Funding Allocations The $340 million program includes:

• Industrial SMR Demonstration Grants: $200 million for matching capital grants supporting commercial 50-MW to 300-MW advanced modular reactors co-located with Gulf Coast petrochemical plants.
• Microreactor Remote Power Pilots: $80 million to deploy containerized 5-MW microreactors providing isolated clean power for Permian Basin oilfield electrification.
• Texas Nuclear Workforce and University Consortium: $60 million partnering with Texas A&M and UT Austin to train 1,200 nuclear certified technicians and health physicists.

Energy industry executives, utility regulators, and building trades labor leaders commended the administration's proactive energy strategy, noting that small modular reactors provide reliable high-temperature industrial steam while relieving pressure on the ERCOT grid.