North Carolina lawmakers passed a bill that would redefine "renewable energy" as "clean energy" to include nuclear and fusion.
Senate Bill 678 passed both chambers of the North Carolina General Assembly on Sept. 21. In the Senate, the bill received 29 votes in favor and 18 against. In the House, the bill received 66 votes in favor and 36 against. Nearly all the votes against the Republican-backed bill were cast by Democrats in both chambers.
The bill next heads to Gov. Roy Cooper's desk for final approval to become law. Cooper, a Democrat, could sign the bill into law, allow it to pass without his signature, or veto the bill and send it back to the state legislature, where Republicans have a veto-proof majority. Cooper's position on the final bill is so far unclear, with a spokesperson on Sept. 25 saying only, "The Governor will review this legislation."
S.B. 678, or the "Promote Clean Energy" bill, would specifically eliminate language impeding the issuance of certificates of public convenience and necessity for nuclear facilities, as well as redefine and replace "renewable energy" with "clean energy."
The bill looks likely to benefit Charlotte, NC-headquartered Duke Energy Corp., which operates in the Carolinas through utility subsidiaries Duke Energy Carolinas LLC and Duke Energy Progress LLC. Duke owns five nuclear plants, three in North Carolina and two in South Carolina, with a combined total capacity of about 9,300 MW, about 15.5% of its owned operating capacity, according to S&P Global Market Intelligence data.
In an updated resource plan for the Carolinas filed in August, Duke proposed more than $90 billion in new infrastructure investments, including new advanced nuclear such as small modular reactors in an effort to reach North Carolina state-mandated carbon reduction goals.
Duke's updated plan included adding 600 MW of advanced nuclear at the Belews Creek coal-fired power plant in North Carolina and at one other site, not yet selected, to help meet load growth and replace retiring coal generation.
During an April 25 Senate Rules Committee hearing on S.B. 678, state Sen. Paul Newton, a Republican and former Duke executive, called current statutes on renewable energy "archaic," saying they create hurdles for nuclear development. The bill would also open North Carolina to fusion technology.
The Environmental Working Group, an advocacy organization, criticized S.B. 678 at the time, arguing that it could lead to billions of dollars spent on "unneeded" nuclear power plants rather than renewables such as solar or wind.
S.B. 678 also modifies closure deadlines for certain surface impoundments for coal combustion residuals, modifies application fees for dam construction, requires commission approval for local governments to enter into agreements to cede or transfer control of a public enterprise to a non-government entity, and makes changes to public records laws.
Cooper issued an executive order last year to increase statewide climate goals by slashing greenhouse gas emissions in half by 2030 compared to 2005 levels and reaching net-zero emissions "as soon as possible," but no later than 2050.
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