“There are major gaps in our nuclear fuel cycle infrastructure that leave the United States heavily dependent on foreign sources of enriched uranium,” said Acting Assistant Secretary for Nuclear Energy Mike Goff. “By leveraging authorities in the Defense Production Act, DOE is able to take swift action to bring all parties to the table to accelerate our path toward a more secure and independent energy future.”
The United States currently imports nearly all uranium concentrate used in civilian nuclear reactors, leaving its supply chain exposed to geopolitical risks. Russia maintains a monopoly on the commercial production of fuel for advanced reactors, while China continues to scale its nuclear fleet and expand enrichment capacity. These dependencies present both an energy security risk and a vulnerability to price volatility in global commodity markets.
The Defense Production Act provides a unique mechanism to convene industry stakeholders under voluntary agreements that are protected from certain antitrust constraints. By using this tool, DOE can accelerate domestic uranium production, enrichment, and fabrication capabilities—processes essential not only for existing nuclear reactors but also for next-generation small modular reactors (SMRs) and advanced designs.
DOE’s action is further driven by concerns over grid reliability. In July, the Department published a resource adequacy report projecting that power outage risks could increase 100-fold by 2030 if replacement generation capacity does not keep pace with load growth. Much of this growth is tied to the expansion of data centers and artificial intelligence workloads, which require 24/7 reliable baseload power. Nuclear energy, already the nation’s largest source of carbon-free electricity, is increasingly viewed as critical to meeting this demand while maintaining decarbonization targets.
The DPA Consortium will be structured around voluntary agreements across the nuclear supply chain, covering:
The first meeting of the DPA Consortium is scheduled for October 14, 2025. Companies wishing to participate must submit requests to DOE explaining their role in the fuel cycle and designating representatives. Multiple participants from a single company may be registered, but membership requires DOE approval.
While the consortium will operate independently from ongoing federal procurement programs for low-enriched uranium (LEU) and high-assay low-enriched uranium (HALEU), its discussions are expected to inform future allocations and long-term procurement strategies.
The DPA Consortium builds on recent legislative and regulatory steps. The Prohibiting Russian Uranium Imports Act of 2024 banned new imports of Russian uranium products beginning in 2028, creating urgency for domestic enrichment alternatives. Congress also repurposed $2.72 billion from the Civilian Nuclear Credit Program to support enrichment capacity, though industry experts have warned that the investment is only a starting point.
Utility commissions in states like North Carolina and Virginia have highlighted the need to integrate advanced nuclear into long-term planning. Duke Energy’s 2024 Integrated Resource Plan cited AI data centers and electrification as key drivers of projected demand growth, while regulators urged the company to move quickly on advanced nuclear deployment given long construction timelines.
These developments underscore DOE’s concern that without immediate coordination, the U.S. risks missing a narrow window to restore its nuclear fuel supply chain before demand spikes.
DOE issued an interim final rule codifying procedures for implementing voluntary agreements under Section 708 of the Defense Production Act. The rule establishes standards for industry participation, oversight mechanisms, and public access to records, while granting limited antitrust immunity for actions taken under approved plans of action.
DOE Secretary Chris Wright signed off on the rule on August 20, emphasizing that voluntary coordination is essential to rebuilding the nuclear industrial base. While immediate actions will focus on convening industry and setting goals, the longer-term impact may reshape how the U.S. sources, processes, and deploys nuclear fuel.
As nuclear power regains prominence in the U.S. energy mix, the DPA Consortium could become a cornerstone for ensuring energy independence and supporting the broader nuclear renaissance. With demand from AI and electrification adding urgency, the consortium represents both a defensive measure against foreign dependency and a proactive strategy to scale domestic capabilities.
