The Department of Energy has created a categorical exclusion that lets certain advanced experimental nuclear reactors avoid major requirements of the National Environmental Policy Act (NEPA), the law that typically requires federal agencies to analyze and disclose how projects might affect the environment and to produce Environmental Impact Statements (EIS) or Environmental Assessments (EA).
The change was announced in a Federal Register notice. The Energy Department said the exclusion is based on the inherent safety features and passive safety systems in the advanced reactor designs, and that analyses for each reactor will be informed by previously completed environmental reviews for similar technologies. The notice says attributes such as safety features, fuel type and limited fission product inventories reduce the potential for adverse consequences from construction, operation and decommissioning.
The move follows an executive order President Trump signed in May 2025 directing actions to accelerate deployment of advanced reactors, and comes days after NPR reported Department of Energy officials had secretly rewritten internal environmental, safety and security rules to make it easier to build the reactors. Those internal rule changes, shared with companies but not publicly disclosed, softened protections for groundwater and the environment — for example, replacing language that the environment “must” be protected with phrasing that consideration “may be given to avoiding or minimizing, if practical, potential adverse impacts.”
The exclusion may shorten or streamline NEPA review for projects in the Reactor Pilot Program, which aims to have at least three advanced test reactors operating by July 4. Roughly ten startups, backed by billions in private capital including money from Silicon Valley, are constructing reactors at sites around the country; supporters say the reactors will help power electricity-hungry AI data centers. The Department of Energy has said applicants could seek a streamlined approach as part of NEPA review, and that individual analyses will be informed by previous reviews of similar technologies. The Federal Register notice and DOE supporting record characterize the reactors as having features that limit the consequences of potential radioactive releases.
Supporters of the exclusion welcomed it. Adam Stein, director of nuclear energy innovation at the Breakthrough Institute, said the exemption was expected and appropriate for some reactors, noting prior DOE-built reactors did not show significant environmental impacts. Stein also said public participation is important but questioned whether standard NEPA comment processes meaningfully shape outcomes.
Critics disagreed. Edwin Lyman, director of nuclear power safety at the Union of Concerned Scientists, said the designs under construction exist mostly on paper and lack real-world operating experience, so they should face rigorous safety and environmental reviews. “Any nuclear reactor, no matter how small, no matter how safe it looks on paper, is potentially subject to severe accidents,” Lyman said. Kathryn Huff, a former DOE Office of Nuclear Energy head who reviewed the internal rule changes, called the rewrites a loosening of protections that should have been exposed to public discussion.
Opponents also warn the exclusion will reduce opportunities for public comment and scrutiny. The NEPA process, which produces EISs and EAs, is a primary avenue for public review of potential environmental impacts; removing or streamlining that process could limit community input about siting, groundwater protections and accident consequences. Lyman said DOE attempts to cut corners on safety, security and environmental protections pose a grave risk to public health, safety and the environment.
The Energy Department responded to criticism by saying the new rules and the NEPA approach continue to protect the public and the environment and that DOE follows applicable EPA requirements. The department also clarified that individual reactor companies will still need to request the exclusion category; the agency created the new exclusion class but companies must apply to use it.
Clarification: The article has been updated to reflect the creation of a new exclusion category for the reactors. Individual reactor companies will still need to ask for the exclusion.