Up & Atom

KEY TRENDS IN LAW AND POLICY REGARDING
NUCLEAR ENERGY AND MATERIALS
The NRC (or the Commission) issued a proposed rule on February 26, 2026 to regulate commercial fusion under its byproduct material framework rather than as a traditional nuclear power reactor. These regulations aim to provide regulatory certainty at a pivotal commercialization phase for fusion, reducing ambiguity and regulatory burdens for capital providers and developers. The proposed rule implements the Commission’s 2023 decision to select the byproduct material pathway instead of utilizing facility or hybrid approaches.
Over the course of 2023, the US Nuclear Regulatory Commission (NRC) has started to develop a regulatory framework for fusion energy systems. Significantly, and as we previously reported, NRC decided to modify the existing process for licensing the use of byproduct materials contained in 10 CFR Part 30 to regulate nuclear fusion. NRC has now issued preliminary proposed rule language for the licensing and oversight of a broad array of fusion systems currently under development.