Geothermal and the Next Era of American Energy

Next-generation geothermal power production just achieved a major milestone: bankable project financing. Years of increasing momentum behind the industry have now translated into the gold standard for private capital: financing for projects based on expected project performance. The upward trend of record federal lease sale revenues, more than $1.5B in private capital raised in the past five years, and an ever-increasing appetite for firm, always-on power are driving tremendous interest across the sector. These developments place the technology on the path to meeting the most ambitious expectations, like those issued by the U.S. Department of Energy, forecasting more than 90 gigawatts of potential generation by 2050. This story of American innovation is alive and well – and only accelerating.

ClearPath joined J.P. Morgan and the Enhanced Geothermal Systems Deployment Coalition (EGS DC) in March to convene policymakers, developers, hyperscalers and legacy oil and gas companies at a pivotal moment for the industry. The takeaway was clear: geothermal is technologically mature–and now policy and capital must keep pace.

Across the discussion, there was broad alignment that geothermal is at an inflection point. The technology is working, and demand is accelerating – particularly from data centers, advanced manufacturing and efforts to bolster American energy security. Oil and gas companies highlight that American drilling expertise is well-equipped to respond to the geothermal revolution, while technology pioneered during the shale revolution and our skilled workforce ensure a strong position as geothermal energy continues to gain steam.

Three challenges came up repeatedly.

First, permitting remains the primary bottleneck. Developers pointed to slow, inconsistent timelines across federal and state processes, particularly on federal lands. While there is strong bipartisan interest in reform, policy has not kept pace with the maturity of the technology. Without faster, more predictable permitting and dedicated revenue sources to process permits, projects will continue to stall before they begin.

Second, grid interconnection is emerging as a parallel constraint. In some cases, geothermal projects can be drilled and developed faster than they can be connected to the grid. Long queue waits and transmission limitations are slowing deployment at exactly the moment when new firm power is most needed. With more than 1,600 MW of new capacity already under contract, this problem will only continue to get worse. This problem is not unique to geothermal, with interconnection queue bottlenecks increasingly becoming a limiting factor in project development, even for existing assets like the nuclear restart at Three Mile Island.

Third, and perhaps most crucial, early-stage risk remains a key factor. While capital is increasingly interested in geothermal, traditional first-of-a-kind skepticism remains. This creates an opportunity for Congress and the Department of Energy to support catalytic, non-dilutive project financing for commercial demonstration projects, finding ways to leverage innovative financing mechanisms to accelerate project deployment. In conjunction, tax credits from the Working Families Tax Cuts Act will offer durable support for geothermal projects that begin construction by 2033. To break through the current valley of death, industry needs stronger risk-sharing mechanisms to support early exploration and first well drilling, whether through public financing tools, insurance structures, or milestone-based support.

At the same time, demand signals are strengthening. Large power buyers are actively looking for clean, firm resources that can meet 24/7 load requirements. Hyperscalers have taken note as both Meta and Google have signed PPAs in recent years. Leading technology companies acknowledge this reality: geothermal is uniquely positioned to meet that need, offering reliability and scalability in a way that complements intermittent generation. What is perhaps most notable is how the narrative around geothermal has shifted, even in just the past few years, as technologies like enhanced geothermal moved from theoretical to advancing steel in the ground. While geothermal offers a zero-emissions source of energy, it is also being framed as a core energy security and competitiveness issue – and a bipartisan one at that.

As power demand rises and global competition intensifies, the ability to deploy reliable, domestic energy at scale is becoming a strategic advantage. American entrepreneurs are ready to answer the call. Now, there is a window of opportunity for Congress to do its part. With targeted action on permitting, interconnection, and early-stage financing, the United States can fully maximize this window to usher in a global geothermal era.

DOE Lights the SPARK for Getting More Out of Our Grid

America’s electric grid is often described as the “world’s largest machine”, yet it is not operating at its full potential. However, new technologies can optimize the performance of the existing grid, creating the opportunity to deliver more power, more efficiently, using assets already in the ground. Letting American energy move with new and optimized existing transmission lines will support our growing economy, enhance grid reliability and bring affordable energy to consumers.

A new class of solutions known as Advanced Transmission Technologies (ATTs) can unlock that untapped potential. ATTs can optimize the performance of the existing grid by increasing capacity, improving efficiency and enhancing reliability. Broadly, ATTs represent four technologies: High Performance Conductors; Dynamic Line ratings; Topology Optimization Tools and Advanced Power Flow Controllers. While they are not a substitute for building new transmission, ATTs offer a critical near-term solution to help meet rising electricity demand.

The Department of Energy (DOE) took a significant step to unlock this potential by announcing the Speed to Power through Accelerated Reconductoring and other Key Advanced Transmission Technology Upgrades (SPARK) program. This initiative will provide up to $1.9 billion for ATT deployments that “expand transfer capability, strengthen reliability and resource adequacy.”

Estimated Transmission Capacity Unlocked by Selected Grid-Enhanceing Technologies

Source: ESIG (2025)

What are ATTs?

ATTs include software and hardware technologies that can be deployed in a fraction of the time and cost of conventional transmission solutions. While conventional transmission solutions, like new lines, remain essential for reliability, affordability and meeting energy demand, ATTs offer novel opportunities to meet near-term capacity needs, enhance grid reliability and resilience and keep consumer bills affordable. Below, we explore the technologies that SPARK supports, how they work and where they’ve been successfully deployed to enhance reliability and reduce costs nationwide.

High-Performance Conductors:

How it works

Conductors are the wires strung across transmission towers that contain a core that provides strength and stability, surrounded by materials that conduct electricity. High-performance conductors replace steel cores with lighter materials, such as carbon composite cores, which allow more conductive materials, such as aluminum, to be added. This results in conductors that can carry more power, operate more efficiently and withstand higher temperatures, thereby reducing line sagging that increases wildfire risk.

Deployment case-study

AEP Texas demonstrated the value of this approach in the Lower Rio Grande Valley. Rather than rebuilding two critical transmission lines, the utility reconductored existing infrastructure using energized lines. The project was completed in half the time of a traditional rebuild, saved $43 million upfront, nearly doubled line capacity and reduced energy losses by 30%, saving consumers tens of millions of dollars per year.

Dynamic Line Ratings (DLRs):

How it works

DLR provides real-time information on a power line’s conditions to enable greater utilization of its capacity and promote safe operation. Using sensors, software, or both, companies are providing better forecasts and real-time information on power line capacity and conditions. For example, on hot summer days, grid operators can avoid thermally driven reliability issues by adjusting the amount of power pushed over lines, while on windy or cold days, grid operators can safely push more power over the lines.

Deployment case-study

In 2002, PPL Electric Utilities was the first utility in the country to deploy DLRs on three lines. These deployments unlocked an average 16% more capacity on these lines. While PPL’s initial projections estimated $23 million in savings by 2025, in the first year, one line alone delivered $65 million in savings, highlighting the rapid and tangible benefits of this technology.

Topology Optimization Tools:

How it works

Topology optimization software acts as the navigational system for the grid, automating and accelerating the assessment of new routes for power to flow. Grid operators can use topology optimization as a decision-support tool to find cheaper or safer routes for power to flow to consumers.

Deployment case-study

Alliant Energy and ATC use topology optimization to identify and implement 21 power-flow reconfigurations across their systems in Iowa and Wisconsin. Within 12 months, consumers saved $24 million.

Advanced Power Flow Controllers (APFC):

How it works

APFC technologies are hardware deployed on transmission infrastructure to direct power flows away from congested areas or outages, or just along more efficient routes. These devices are quick to install and modular, allowing them to be redeployed as a utility’s needs change.

Deployment case-study

Central Hudson Gas & Electric and PG&E have both deployed APFCs onto their system to support the integration of new generation and load, respectively. Central Hudson Gas & Electric unlocked 185 MW on its system to bring more power online, while PG&E was able to make more than 100 MW of capacity available for a new data center.

A Critical Tool for a Modern Grid

As electricity demand accelerates, the United States will need to build new infrastructure and better utilize the grid we already have. Advanced transmission technologies offer a cost-effective, near-term way to do just that.

The DOE’s SPARK program positions the U.S. not only as a leader in developing these technologies but also in deploying them at scale. By supporting projects, de-risking new technologies and providing technical assistance, SPARK is helping modernize the grid in ways that enhance reliability, lower costs and strengthen American energy leadership.

Unlocking more from the existing grid is not just an efficiency gain. It is a strategic advantage.

ClearPath Partners With the Political Climate Podcast

This episode was recorded live in Utah on March 12, 2026. Click here to listen.

ClearPath is partnering with the Political Climate, “Washington’s most influential energy policy podcast.” Hosted by Julia Pyper, Brandon Hurlbut and former FERC Chairman Neil Chatterjee, the show brings together energy policy leaders for candid, in-depth discussions.

What to expect:

The latest episode was recorded live in Utah, with former Rep. Ryan Costello (R-PA) and Rep. Mike Levin (D-CA), covering AI data centers, electricity affordability and the Middle East;
ClearPath CEO Jeremy Harrell makes the case that private sector-driven solutions are the key to tackling energy security and emissions;
Future episodes will highlight advanced nuclear, permitting reform and grid reliability; and
The podcast is available on Apple Podcasts, Spotify and Amazon Music.

Winning the energy debate means showing up where the conversation is happening. This partnership will help cultivate meaningful dialogue with policymakers, advocates and industry leaders shaping U.S. energy policy.

Conservation Innovation Grants: Putting American Farmers First through Fertilizer Innovation

Republicans Have the Playbook for Energy Prices (The Hill)

This op-ed was originally published by The Hill on February 27, 2026. Click here to read the entire piece.

Congress has entered 2026 on the back of some big wins. Enacting the Working Families Tax Cuts, passing permitting modernization through the House, and advancing legislation to strengthen our electrical grid has created a clear playbook to lower energy costs and further American energy dominance.

As the representative of Colorado’s 8th District — home to one of the highest energy-producing counties in the U.S. — Congressman Evans is proud to be one of the first freshmen in 14 years placed on the House Energy and Commerce Committee. This seat has given him the opportunity to both introduce and advocate for commonsense policies that will continue to make energy a winning issue for Republicans in 2026.

In the Working Families Tax Cuts, Republicans passed tax incentives that allow innovators to do what they do best — develop cutting-edge technologies that provide reliable clean power to millions. In the Trump administration’s executive orders, new nuclear energy is surging forward, with the potential to power millions of homes and a new wave of American manufacturing with safe, affordable and reliable energy.

Over the last year, gas prices have fallen to their lowest point since 2021, providing tangible relief to everyday Americans. The same thing can happen for energy prices. The Republican trifecta in Washington has a chance to keep building on conservative energy wins and scale new generation, invest in modern infrastructure to build new energy projects, and grow domestic industry and supply chains.

Supporting the development and deployment of all types of energy — from advanced nuclear and enhanced geothermal to solar, wind, storage, and natural gas with carbon capture — is a good first step toward providing safe, reliable and affordable energy. Congress has an opportunity to help take new, innovative technologies from lab to market. Leveraging public-private partnerships with the National Labs, including the National Lab of the Rockies, through Rep. Evans’ latest bipartisan legislation; the Energy Threat Analysis Center Act, along with the Department of Energy’s Office of Energy Dominance Financing tool, present additional opportunities to build breakthrough technologies here in America.

Click here to read the full article

Biochar 101: Technology, Markets and Applications

Put American Jobs First and Take U.S. Energy Global (The National Interest)

This op-ed was originally published by The National Interest on January 30, 2026. Click here to read the entire piece.

To outcompete China in global energy markets, the United States must modernize export finance to back American workers, innovation, and energy leadership abroad.

If America does not lead the future of energy technologies, China will. Think about financing major energy and infrastructure projects in emerging markets. This is an enormous challenge for American firms, and today, China fills that gap. Recent ClearPath analysis finds that since 2015, China has financed at least $446 billion in global energy infrastructure and exports, nearly 10 times what the United States has invested. How do they do it? They cheat. China offers massive subsidies, and its banks often rely on predatory lending practices that discourage market competition and disadvantage American firms.

Thankfully, the Trump administration has put energy security firmly at the center of US foreign policy, ranging from efforts to promote American nuclear technologies abroad to strengthening partnerships to secure our critical mineral supply chains. The key to energy dominance is simple: innovate here, build here, and sell everywhere. To deliver, Washington must unleash private sector innovation and sharpen America’s competitive edge. Not by trying to match subsidies from the likes of China, but by using targeted financing tools to de-risk projects, attract private capital, and create favorable market conditions. The United States can empower its innovators and manufacturers to lead in global markets and support American jobs.

This was clearly articulated by the leadership of the Export-Import Bank (EXIM) as its new Chairman, John Jovanovic, is organizing the Bank around four strategic priorities: 1) putting American jobs first, 2) advancing US energy dominance, 3) ensuring supply chain security, and 4) clearing a path for industries of the future. These are pragmatic and yet inspiring goals that the American public can rally behind to win the global energy markets race. As Chairman Jovanovic put it, “Time is our biggest enemy and every day we come to work with a sense of urgency to support American workers, manufacturers and our nation’s economic security.”

Click here to read the full article

2026: A Clear Path for American Energy Dominance

Let America Innovate, Build, and Sell

America’s energy landscape is being reshaped at an unprecedented pace. A new wave of energy demand from data centers, advanced manufacturing, LNG exports, electrification and the reality of aging energy infrastructure are driving an intense need for more power. At the same time, global competition is intensifying. To keep energy costs down, reshore American manufacturing and lead the world in an AI-driven future, we must build more and strengthen the energy system to deliver reliable, affordable, secure power. This is essential to our national, economic and energy security.

To win in the new era of energy demand and global competitiveness, ClearPath’s 2026 priorities follow a simple playbook: let America innovate, build and sell.

Scale Innovation and Technology

America’s success is driven by the ability to accelerate innovative technologies from the lab to the market, strengthening energy security at home and around the world. The key ingredients to this success are a robust research and development (R&D) framework across technologies, targeted investments in clean, firm technologies like advanced nuclear, fusion, enhanced geothermal and support for innovation in industrial materials needed for infrastructure. Congress has an opportunity to advance these policies by:

Enacting comprehensive geothermal legislation that modernizes leasing and permitting frameworks as described in our December 2025 Geothermal Report.
Reauthorizing DOE’s expiring programs for industrial manufacturing that President Trump signed into law as part of the Energy Act of 2020.
Providing dedicated DOE RD&D programs to support concrete and asphalt as well as chemicals and refining innovation.
Enacting next-generation pipeline legislation to support innovations that modernize pipeline infrastructure integrity, efficiency and development.
Expanding the 45X tax credit to include manufacturing for other clean energy supply chain components, like advanced nuclear fission, fusion, advanced conductoring and geothermal components.

Modernize Permitting and the Grid

To let America build, we need a permitting process that is predictable, efficient and fair, combined with a strong grid that can meet rising demand with affordable, reliable and secure power.

Comprehensive permitting reform that delivers certainty and speed while preserving environmental safeguards begins with:

Modernizing the National Environmental Policy Act (NEPA);
Reforming NEPA judicial review and litigation practices;
Increasing transparency through digital tools; and
Providing permit certainty once permits have been issued.

The House’s December 2025 bipartisan passage of the SPEED Act and ePermit Act addressing NEPA and transparency issues respectively is a good first step. Permitting reform goes beyond updating NEPA. Statutes like the Clean Water Act (CWA) should be reviewed to eliminate unnecessary delays, which the House addressed by passing the Permit Act in December 2025. The Senate has the opportunity to build on this progress and deliver a bipartisan deal that clarifies the scope of NEPA, updates the CWA, reduces frivolous project litigation risk and ensures legal certainty to lawfully granted permits.

A reliable, affordable and resilient grid is the foundation of our economy, national security and way of life. Investments in the grid are not just energy policy, they are economic and national security imperatives that will drive American growth for decades. Modernizing America’s grid starts by:

Leveraging Innovation: Deploy new technologies to optimize the existing grid, like advanced conductors, dynamic line ratings and updated software and hardware for grid control. Strategic incentives and more robust information sharing can also help more quickly derisk technology.
Speeding Up Interconnection: Maximize the use of existing interconnection capacity. Prioritize cost-effective upgrades. Streamline the interconnection queue process by focusing first on areas with reliability needs or existing transmission capacity to enhance efficiency and bring more projects online faster.
Building More Transmission: Every energy source relies on transmission. Meeting growing energy demand requires improved federal permitting processes, reduced litigation risks and stronger coordination among states on new transmission lines and regional grid planning. A modernized federal backstop authority, used only as a last resort, can help ensure critical transmission projects are completed.
Ensuring Fair Cost Allocation: Consumers must be protected by ensuring that project costs are paid by those who receive reliability and economic benefits, not by customers who receive little or no benefit.

In addition to ensuring a strong grid, modernized and reliable pipeline infrastructure for U.S. LNG and carbon dioxide transportation is critical to letting American energy move.

Lead in the Global Market

American energy dominance is built on a foundation where U.S. technologies, materials and standards lead in global markets. Congress’ reauthorization of the U.S. Development Finance Corporation (DFC) in the December 2025 National Defense Authorization Act (NDAA) will help unlock private capital for strategic energy and industrial projects abroad. In 2026, Congress can further enhance America’s global market leadership by:

Reauthorizing and enhancing the Export-Import Bank of the United States (EXIM) to strengthen its ability to pursue large-scale, American-made energy infrastructure projects, including advanced nuclear. EXIM’s charter is set to expire at the end of 2026. Three ways to strengthen EXIM include: establishing a National Interest Account that modernizes EXIM’s risk assessment framework, raising the Bank’s default rate cap and expanding the list of eligible energy technologies under its China and Transformational Exports Program (CTEP) to better focus EXIM’s investments on national strategic objectives.
Establishing a framework for Energy Security Compacts (ESCs), as proposed by the DOMINANCE Act, to create the coordinated, whole-of-government approach needed to bolster U.S. energy exports, enhance national security and provide alternatives to Chinese and Russian energy investments in strategic partner nations. ESCs would create long-term agreements with clear, measurable outcomes targeting energy security and infrastructure. They would also enhance coordination across federal authorities and multiply capabilities at EXIM, DFC, the U.S. Trade and Development Agency (USTDA), the Millennium Challenge Corporation (MCC) and the Department of Energy (DOE). ESCs could also help foster bilateral partnerships that focus on joint energy and critical minerals security priorities centered on American foreign policy goals.

In order for America to lead the world and strengthen its economy and national security, we need policies designed for speed, certainty and scale. We look forward to working to secure effective, durable solutions to let America innovate here, build here and sell everywhere.

Accelerating Nuclear Energy Through Interstate Collaboration

The United States is entering an era of rapidly growing power demand, driven by a manufacturing boom and the adoption of advanced technologies such as artificial intelligence. To keep up with this heightened demand, companies are seeking to deploy more generation to ensure electricity availability, reliability and affordability. In response, power utilities and state governments are beginning to treat nuclear power as essential infrastructure.

While some state governments enacted bans or limitations on nuclear power in recent decades, many have already begun to reverse course in order to compete in the energy race. Increasingly, state governments are exploring how to work together to create the conditions for successful and timely deployment of new nuclear reactors.

Deploying a fleet of new nuclear power plants is a tall order, which makes coordinating the resources of multiple states an attractive option. However, doing so requires navigating a highly complex legal and regulatory landscape as well as the physical infrastructure of the U.S. power grid. The concept of an “interstate compact” itself opens legal questions related to the Compact Clause. In practical terms, any collaboration will need to account for market and regulatory differences, or even the lack of appropriate physical infrastructure. Overcoming these challenges will require careful negotiation to find a model capable of pushing nuclear deployment forward. This piece reviews U.S. power system management and offers suggestions on how to construct interstate agreements effectively to accelerate these deployments.

The U.S. Power System

The Advantage of State Compacts for Nuclear Deployment

Collaborative efforts between states to deploy new nuclear, through interstate agreements called compacts, are not a new concept. Hundreds of compacts are used to address various policy issues. These agreements allow states to utilize resources efficiently by sharing expertise, financial resources, supply chains or other means, depending on the policy issue.

Utah, Idaho and Wyoming signed a tri-state agreement to support nuclear energy deployment last year. Collaboration on nuclear energy is particularly fitting for these states because they share energy infrastructure, have similar energy profiles and face comparable geographic constraints:

Idaho is home to Idaho National Laboratory (INL), bringing a wealth of nuclear knowledge and expertise to the table.
Wyoming has the largest uranium ore reserves in the U.S. and is the site of TerraPower’s Natrium reactor demonstration project.
Utah solidified its commitment through strategic cooperation agreements with private companies like Holtec International, a nuclear equipment supplier and reactor designer, and Hi Tech Solutions, a nuclear services provider, to create a “Nuclear Energy Ecosystem.”

With utilities across the West joining different markets, including in Utah, Idaho and Wyoming, there is potential to increase the efficiency and effectiveness of joint nuclear energy development. Shared challenges and individual strengths create a robust foundation for collaboration. States can bridge gaps in infrastructure and expertise by leveraging National Lab resources and existing nuclear expertise in one state, while co-developing regional manufacturing and workforce pipelines that can support new nuclear across several states.

Many states are beginning to address shared opportunities through state-supported feasibility studies or by considering programs to either repurpose their existing workforce, by creating, improving or expanding specialized education systems, or supporting an influx of workers with existing, necessary experience. Aggressive and intentional state-level policy to support early deployment of nuclear energy sends a strong signal to developers, but may not be enough to overcome challenges with early project deployments. Regional agreements could allow states to share and expand these resources collaboratively and more efficiently, or form a “buyers club” across similar markets to help spread the risk of early deployments.

Policy and Market Considerations

State energy market structures impact the commercialization path of nuclear projects. In a state with vertically integrated utilities, states can enact advanced rate recovery mechanisms to recover costs in real time rather than waiting until a plant is operational. The upfront revenue reduces the amount that needs to be borrowed and the total interest cost during construction.

Conversely, generation, transmission and distribution are separated in a state with restructured utilities, and generators earn revenue by selling their electricity into the competitive market. With most utilities procuring their electricity from the market and other entities that own the generation, advanced rate recovery isn’t an option. To make early nuclear reactor deployments financially viable in a deregulated market, multiple policy levers and financial contracts will likely need to be stacked to supplement the wholesale market revenue once the nuclear reactor is sold into the marketplace.

A collaborative effort between, for example, deregulated states with existing nuclear energy (e.g., OH, PA, MD, CT and NY) could pull multiple levers in tandem to see new nuclear development in their state.

These include:

Example Policy Levers

Strategic Planning and State-Level Support

Regardless of market structure, it is common for utilities to own generation assets in one state serving customers in another. Decisions on where to locate generation assets are built on factors including power needs, resource availability, environmental considerations, regulatory requirements, cost and policy incentives. Utility Integrated Resource Plans (IRPs) will have to consider all of these aspects when planning to build out new nuclear.

State-level recognition of nuclear energy as a clean energy source also significantly impacts project viability and access to funding. Some states, such as Virginia and Maryland, have Renewable Portfolio Standards, and later clarified that nuclear energy would count toward those goals. Other states have adopted technology-agnostic Clean Energy Standards that focus solely on zero- or low-carbon goals. By ensuring that existing state statutes consider nuclear technology on a level playing field with other technologies, states can enable nuclear projects to qualify for certain loans, grants and other funding opportunities that might otherwise be unavailable.

Federal Oversight

Effective nuclear deployment also hinges on robust, efficient and predictable federal oversight. The Nuclear Regulatory Commission (NRC) is the independent federal agency responsible for overseeing and regulating civilian nuclear energy and nuclear materials. Before operation, nuclear power plants must undergo NRC safety, financial and environmental reviews for their construction and operating licenses.

Beyond direct NRC licensing, the Interstate Compact Clause is an important federal dynamic to consider. Stemming from the landmark case Virginia v. Tennessee (1893), this clause draws a line requiring Congressional approval for a certain level of collaboration between states. This will not categorically prevent states from working together, but it complicates the types of collaboration possible and may require states to seek congressional approval.

Geographic and Transmission Infrastructure Considerations

Even with effective policies and regulatory frameworks, a significant barrier to certain regional agreements and broader nuclear deployment can be physical: moving electrons requires significant transmission capacity and transfer capability, a major constraint for all kinds of energy development in the U.S. Though projects to improve connections both inter- and intra-regionally are underway, these infrastructure limitations will remain a primary consideration for nuclear deployments; it may not be physically possible to move sufficient power from one area of a state to another, especially if significant distance or geographic barriers are present. These limitations could become the subject of state-to-state collaborations.

Framework for Evaluating State Collaborative Efforts for Nuclear Deployment

Several factors can affect states’ success as they seek collaborative agreements. Below is a table with examples of how these factors may impact certain regions. States should consider the weighting of each category, as individual factors will significantly matter.

Examples of Alignment for State Collaboration

Nuclear energy has a long-standing history with interstate compacts around low-level radioactive waste across the nation and the Western Interstate Nuclear Compact. As identified previously, these compacts require congressional approval, so less formal agreements may be preferred.

Memoranda of Understanding or other Regional Energy Initiatives, such as the Regional Greenhouse Gas Initiative, Northeast States Collaborative on Interregional Transmission and the Western Governors’ Association, serve as forums for states to support each other in regional energy policy. Over the past few years, various states have worked to push projects and legislation with varying degrees of success with interstate partners.

Examples of Supportive State Legislation Proposed or Passed in 2025

Conclusion

Achieving widespread nuclear energy deployment will hinge on initial order books of five to 10 units of the same design being committed to and financed as soon as possible. States, working together, can lead by sharing the risk of a first-of-a-kind reactor through strategic partnerships. This initial step will pave the way for the commercialization of new nuclear reactors driven by economies of scale.

State collaboration offers a strategic lever to catalyze momentum. By joining forces across multiple regions, states can sync project timelines to support workforce and supply chain needs in the construction phase. Pooled demand will amplify the market signal to developers and supply chain industries, especially if states enter formal agreements. Participating states can collaborate on workforce training and retraining, standing up qualified supply chains, aligning regulatory requirements and siting and approval challenges. Regional collaboration can create a unified voice to advocate for federal support.

However, the challenges of achieving an interstate compact, especially one that can accomplish the goal of creating an orderbook of new nuclear, should not be understated. States will need to carefully consider the type of collaboration they want to pursue and identify the partners best suited. If successful, regional collaboration could be a powerful lever to usher in the next wave of nuclear projects and drive a national strategy to dramatically increase American nuclear capacity.

Appendix

Key Concepts in the Governance of the U.S. Power System

Bryson Roberson is a former ClearPath Conservative Leadership Program Fellow. He is now a Legislative Correspondent for Senator Dave McCormick (R-PA).

Cason Carroll is a Program Manager at Envoy Public Labs.

Austin Blanch is a Senior Analyst at Envoy Public Labs.

Let American Energy Move: Modernizing America’s Grid for Growing Demand

I wanted to talk with you about one of my favorite topics – The GRID! We use it every day without having to give a lot of thought. We use it when we light our homes, charge our phones, and store food in the fridge. Many of us rely on it at work to run computers, machines, and various devices. The grid makes our modern life possible. Our grid is an engineering marvel.

You can think of it like a big, interconnected machine with three main parts:

generation – where electricity is produced;
transmission – the high voltage highways that move electricity; and
distribution – the delivery system to reach consumers and businesses.

Today, let’s focus on the transmission part of our grid.

Those large steel towers that hold up power lines — That’s Transmission. We have over half a million miles of transmission lines in the U.S. today, servingas the backbone of our grid. And, we’re going to need a lot more. A strong transmission system is crucial for America’s energy future, especially as we face unprecedented demand for power.

Here are some reasons why transmission is so important:

Transmission supports economic growth: If we want to build more manufacturing sites and power AI data centers to support more jobs, we need to be able to move the power to meet the demand. Transmission is needed to support all types of economic growth, whether you live in a rural community or a big city.

Transmission improves affordability: Better use of existing lines and building new transmission lets American energy move between regions, and that can help keep energy bills lower.

Transmission enhances reliability: By connecting many power plants over a wide region, transmission helps cover demand spikes and provides backup when a plant or line goes offline. More transmission means more ability to transmit energy where it is needed.

Transmission helps unlock innovation: Taking advantage of advanced geothermal in Utah, new nuclear plants in Texas or other next generation projects can’t happen without transmission.

At ClearPath, we believe that the U.S. needs to build more transmission to:

win the AI race,
revitalize our manufacturing base, and
keep energy bills affordable in the long term.

Right now, it can take 10+ years to build new transmission because of:

slow planning processes,
complex permitting,
disputes about who pays for the lines, and
litigation challenges.

So here are three policy solutions to fix it:

One — Leverage Innovation: This means deploying new technologies to get the most out of the existing grid, like advanced conductors, dynamic line ratings, and updated software and hardware for grid control. We should also support technology derisking with strategic incentives and more efficient information sharing.

Two — Speed Up Interconnection: We can optimize the use of existing interconnection capacity; prioritize cost-effective upgrades; and streamline the interconnection queue process by focusing first on areas with reliability needs or existing transmission capacity.

And Three — Build More Transmission: Every energy source relies on transmission. We need to improve federal permitting processes, reduce litigation risks, make it easier for States to collaborate on transmission development and for regions to coordinate grid plans, and we need to modernize federal backstop authority for transmission siting to be a more targeted tool used when absolutely needed.

If we want America to lead, then we need to let American energy move.