New legislation that will help to finance struggling nuclear reactors and could save dozens from being shut down early has been welcomed by the US nuclear energy industry as “sending a clear signal that nuclear is essential to the transition toward a carbon-free economy”.

Maria Korsnick, president and chief executive officer of the Washington-based Nuclear Energy Institute, said investment and tax incentives for both large, existing nuclear plants and newer, advanced reactors, as well as Haleu (high-dosage low-enriched uranium) and hydrogen production, set nuclear energy on a level playing field, “ensuring that nuclear can form the backbone of a stable electric grid that also includes large shares of wind and solar”.

The $433bn (€427bn) Inflation Reduction Act (IRA), which was negotiated chiefly by Democrat senator Joe Manchin and Democrat senate majority leader Chuck Schumer, has been touted by Democrats as a way to fend off rising inflation, trim the federal deficit, and reduce carbon emissions while bolstering investments in domestic energy production and manufacturing.