New York State has taken a giant step toward promoting new nuclear power generation and associated transmission facilities. On June 11, 2026, the State’s Public Service Commission (PSC) instituted a new proceeding through its Order Establishing a Nuclear Backbone Process (Order). As of this writing, the docket consists of just eleven documents, the most important of which is the New York State Advanced Nuclear Policy Options Paper (White Paper), developed by the staff of the PSC and the State’s Energy Research and Development Authority (NYSERDA). Interestingly, the original name of that authority was the Atomic and Space Development Authority.
The New York Power Authority (NYPA) is under orders to develop and construct a nuclear plant capable of generating one gigawatt (GW) of power. Constellation Energy has already announced that it plans to build an advanced nuclear power plant in Oswego County, presumably at a similar scale. The Order contemplates adding 4 GWs of new nuclear capacity, with perhaps two or more coming online by 2040 and the rest by 2050. The technology is to be Tier 3+ generation reactors (the current state of the art) or Tier 4 generation reactors (still being developed). As to the State’s four existing reactors (3.4 GWs), the Order notes that it has extended the Zero Emission Credit program through 2049.
The scale contemplated is worthy of note. If, for some reason, the Constellation project was to be completed outside of the Backbone process and the Order’s scheme also succeeds, the State could look to 9.4 GWs of baseload nuclear power by mid-century.
The Order notes that the Backbone plan, given nuclear power’s high energy density and low land-use intensity, would dramatically reduce both the need for new wind and solar power in the State’s efforts to achieve its climate goals and the footprint of the carbon-free future. It also takes note of the “two grids” problem, mentioning the need for ratepayer relief, the need for clean power in New York City, and, most significantly, the need for new “backbone” transmission facilities. It points to its recent Clean Energy Zone initiative as part of the effort to site new facilities in suitable locations (May 15, 2026).
As to funding, the Order notes that the federal Department of Energy’s Office of Energy Dominance could cover up to 80% of the advanced nuclear deployment costs and that federal tax credits are still available for facilities that begin construction by 2034. State support could come from “grants, equity, and a cost-overrun guaranty.”
- Here’s the PSC’s proposed schedule for input:
- Initial comments to be filed by August 10, 2026
- Department of Public Service (DPS) and NYSERDA staff to convene at least one technical conference before October 31, 2026 (Happy Halloween)
- DPS staff shall prepare and file a White Paper by November 13, 2026
Deadlines may be extended at the PSC Secretary’s discretion.
Hodgson Russ' Take
This bold initiative reflects the sea change that has taken place in terms of nuclear power. Reviled in some sectors for decades, it is not just the “coming thing.” It is now here in real time. There is simply no way for policymakers to continue to advance electrification of the grid without making nuclear a big part of the “all-of-the-above” picture. While a potential 9 GW increase in generation capacity sounds significant, it may not even come close to addressing New York's issues. New York has the oldest generating fleet in the country, and, according to the New York Independent System Operator, the state’s overall generation gap by 2040 is on the order of 70–87 GW of new capacity needed (to increase from ~37 GW today to 111–124 GW), with a particularly acute near-term crunch beginning as early as 2026–2030 in New York City and Long Island.
The legislature needs to prioritize bringing more generation resources online and improving grid efficiency and capacity on an expedited basis. The past legislative session was largely a wash, with commands to address load growth but no action taken. Potential legislation that would have removed barriers to energy storage and increased distributed energy resources stalled in one house of the legislature or another. The legislature also might well look into the fragmented framework governing the siting of power facilities in New York, which remains divided among the longstanding Article VII, the recent Article 10, and the newer Article 8.
