Up & Atom

KEY TRENDS IN LAW AND POLICY REGARDING
NUCLEAR ENERGY AND MATERIALS
The US Nuclear Regulatory Commission (NRC) has proposed revisions to 10 CFR Part 71 that would allow transportation package applicants to use risk-informed pathways for demonstrating compliance with required safety levels and provide a higher external radiation limit for certain transportation packages in exclusive-use shipments. The NRC aims to align 10 CFR Part 71 with the recently released 10 CFR Part 53 by allowing transportation of packages with an increased radiation level, specifically loaded microreactors pursuant to Section 53.620(d).
The NRC has approved a staff recommendation to discontinue funding for potassium iodide (KI) stockpiles near nuclear power plants beginning in FY 2028. The NRC staff will pursue multiple options to ensure the NRC meets its delegated responsibility for KI tablet distribution under Section 127 of the 2002 Public Health Security and Bioterrorism Preparedness and Response Act (the Bioterrorism Act). This policy update is intended to reflect modern scientific evidence on the effectiveness of KI use following reactor release accidents and reduce inefficiencies within the KI tablet procurement process. This blog post analyzes the background, rationale, and implications of this policy shift.
Continuing its deregulatory sprint under Executive Order (EO) 14300, the NRC recently issued a Policy Statement revising the mandatory hearing process for reactor licensing, emphasizing early public participation and streamlined procedures. The policy follows a companion final rule, effective May 15, 2026, in which the NRC rescinded regulations calling for specific environmental findings in light of the agency’s determination that mandatory hearings do not call for specific detailed findings.
As part of its wholesale regulatory review pursuant to Executive Order 14300 and direction in Executive Order 14267 to reduce regulatory barriers that may limit competition or create unnecessary barriers to new market entrants, the NRC has identified requirements within its byproduct materials regulations that could be revised, deleted, or modified. On May 18, 2026, the NRC issued a proposed rule to amend these regulations.
The NRC is codifying a sea change to its regulations regarding foreign ownership, control, or domination (FOCD) of utilization or production facilities. On April 26, 2026, the NRC issued a direct final rule and a companion proposed rule to relax its FOCD restriction by exempting countries that are members of the Organisation for Economic Co-operation and Development (OECD) and the Republic of India.
The NRC has released an overview of its most significant agency reorganization since 1987. The effort is “designed to streamline decision-making, consolidate functions, and enhance alignment with national priorities for the safe and efficient deployment of innovative nuclear technologies.”
The NRC recently reissued a final rule to insert a conditional sunset date into the aircraft impact assessment (AIA) requirements of 10 CFR § 50.150 in response to Executive Order 14270, Zero-Based Regulatory Budgeting to Unleash American Energy. The NRC took this action after withdrawing the AIA portion of its earlier direct final sunsetting rule in response to significant public input (on which we previously wrote). This final rule addresses the significant adverse comments and reflects the NRC’s decision to proceed with sunsetting the AIA requirements on a conditional basis.
The NRC recently approved the most substantial revisions to the Reactor Oversight Process (ROP) since its April 1, 2000 implementation. In SRM-SECY-26-0014, the Commission approved revisions to the ROP’s baseline inspection program and the inspection finding screening process applicable to the current fleet of large, light-water power reactors. In SRM-SECY-26-0015, the Commission approved revisions to the security baseline inspection program, including the force-on-force inspection program. The revisions reflect an approximately 38% reduction in safety inspection resources and 50% reduction in security inspection resources.
The NRC has issued a Federal Register notice confirming the January 8, 2026 effective date of its direct final rule implementing the requirements of Executive Order 14270, Zero-Based Regulatory Budgeting to Unleash American Energy. The direct final rule sets conditional sunset dates for several identified NRC regulations, meaning those rules will automatically expire one year after the rule’s effective date (i.e., January 8, 2027).
The National Defense Authorization Act for Fiscal Year 2026 (the NDAA) was signed into law by US President Donald Trump on December 18, 2025. Through the NDAA, the US Congress sets the year’s policy direction for the US Armed Forces. As an annual “must pass” bill, it also becomes a vehicle to move other legislative provisions through Congress. This year, the NDAA contained several key provisions important to the domestic nuclear industry with an eye toward facilitating and promoting the US nuclear industry abroad.