On Thursday, President Donald Trump formally enacted the National Defense Authorization Act (NDAA) for Fiscal Year 2026, a comprehensive piece of legislation that introduces a series of strategic measures designed to accelerate the bipartisan effort to develop and deploy the next generation of nuclear power technologies. This legislation represents not only a continuation but also a deepening of the federal government’s commitment to fostering innovation in nuclear energy—an area increasingly viewed as essential to both national security and the country’s broader energy transition.

The Trump administration has positioned advanced nuclear technology as a promising and highly efficient new source of power, particularly suited for energy-intensive data centers that fuel artificial intelligence research and other computationally demanding digital operations. These facilities consume enormous quantities of electricity, and nuclear generation—capable of providing stable, large-scale, and non-intermittent output—offers a means of meeting that demand more sustainably. In support of this vision, the administration views next-generation reactors as a strategic investment that can underpin future technological growth while reducing dependence on fossil fuels.

Across the political spectrum, many Democratic policymakers have voiced their own enthusiasm for advances in nuclear power, focusing in particular on small modular reactors (SMRs) and similar designs that are described as more economical, easier to construct, and safer in operation compared to traditional large-scale plants. These scaled-down units, which can be manufactured off-site and transported to where they are needed, are frequently characterized as a vital component in the global struggle against climate change because they produce electricity without releasing carbon pollution. This convergence of interests between Republicans and Democrats has given rise to a rare area of cross-party agreement, uniting advocates who see nuclear innovation as central to achieving both environmental sustainability and energy resilience.

The United States military, operating with its own distinct objectives, has likewise expressed sustained interest in exploring microreactor technologies. Such compact nuclear systems could be used to power remote installations or other off-grid operations where conventional energy infrastructure is either unavailable or unreliable. For the Department of Defense, adopting microreactors could enhance logistical independence and operational security, enabling bases and critical facilities to maintain energy self-sufficiency even in challenging environments.

The new defense bill, approved by Congress earlier in the week, contains two important amendments that have been widely applauded by champions of commercial nuclear energy. The first of these provisions—the International Nuclear Energy Act—establishes dedicated working groups aimed at deepening collaboration between relevant government agencies while also expanding financial support. Its explicit purpose is to promote the research, development, and eventual export of advanced U.S. nuclear technologies, strengthening the nation’s role as a global leader in this field. The second provision reauthorizes the U.S. International Development Finance Corporation (DFC), a key financial institution that facilitates American investment in overseas projects. Under the NDAA’s new guidance, the DFC is expected to direct capital toward ventures involving nuclear power plants and uranium fuel supply chains, thereby enhancing international competitiveness and ensuring access to cleaner energy alternatives in emerging markets.

According to Rowen Price, a senior policy advisor specializing in nuclear energy at the center-left think tank Third Way, these measures constitute “big wins” for the industry, expanding the appeal of U.S. nuclear exports within the global economic landscape. Price emphasized that such advancements make American technology more attractive to foreign partners seeking reliable, secure, and environmentally responsible energy solutions.

In addition to the commercial and international dimensions, the legislation mandates a new structural change within the Department of Defense: the establishment of an executive agent position specifically responsible for overseeing “installation and operational nuclear energy.” This role will coordinate the integration of nuclear systems into military applications, ensuring that the armed forces can safely and effectively utilize these innovations. Together, these provisions of the 2026 NDAA not only pave the way for scientific and industrial growth but also symbolize a renewed national commitment to developing cleaner, more sustainable forms of power that reinforce both energy independence and climate stewardship.

Sourse: https://www.theverge.com/science/848445/nuclear-energy-ndaa-defense-bill