NRC Publishes Initial Revisions to New Nuclear Construction Inspection Program Guidance

The US Nuclear Regulatory Commission’s (NRC’s) inspection program plays a key role in overseeing new nuclear power reactor construction. The agency recently issued updates to its construction inspection guidance as part of a broader effort to increase efficiency and flexibility in its regulatory processes for existing and new nuclear reactor technologies. The revisions streamline oversight of newly constructed reactors before they begin operations under the agency’s evolving construction oversight framework.

The NRC published Inspection Manual Change Notice 26-004 on February 5, 2026. In the notice, the NRC identified the deletion of prior inspection manual chapters (IMCs) for construction of power reactors and associated inspection procedures under the Construction Reactor Oversight Process (cROP), last implemented by the NRC during construction of Plant Vogtle Units 3 and 4, which became operational in 2023 and 2024, respectively.

In the same notice, the NRC also identified the issuance of new IMCs under its Advanced Reactor Construction Oversight Program (ARCOP):

• IMC 2570: Advanced Reactor Construction Oversight Program Basis Document
• IMC 2571: Dispositioning Advanced Power Reactor Construction Noncompliances
• IMC 2572: Assessment of Advanced Reactor Construction Projects
• IMC 2573: Inspection of the Advanced Power Reactor “Quality of Reactor Plant Construction” Strategic Performance Area
• IMC 2574: Inspection of the “Operational Readiness” Strategic Performance Area of the Advanced Reactor Construction Oversight Program (ARCOP)

SCOPE OF THE NEW IMCS UNDER THE ARCOP

The ARCOP supersedes the previously implemented cROP. The NRC intends the ARCOP to be a risk-informed, performance-based, technology-inclusive, and scalable oversight process, applicable to diverse reactor technologies, including small modular reactors, microreactors, non-light-water reactor technologies, and large-light-water reactor technologies with advanced safety features. In drafting these IMCs, the NRC considered flexible approaches in the manufacturing, fabrication, and construction of nuclear power reactors and associated structures, systems, and components (SSCs).

These new IMCs account for reactors manufactured entirely offsite under a manufacturing license, partially offsite under a vendor contract with the construction permit or combined license holder, or on-site by a construction permit or combined license holder with SSCs fabricated offsite.

INSPECTION PROCESS FRAMEWORK

The ARCOP framework has three levels, which include (1) NRC’s mission as an overarching theme, (2) strategic performance areas, and (3) cornerstones. More specifically, there are three strategic performance areas, with the following cornerstones:

• Quality of Reactor Plant Construction Strategic Performance Area
  • Reactivity control
  • Heat removal
  • Radionuclide retention
• Security and Safeguards Strategic Performance Area
  • Security programs
• Operational Readiness Strategic Performance Area
  • Operational programs

This new inspection program, implementing the ARCOP, covers a broad range of activities: (1) pre-construction; (2) baseline inspection during fabrication, manufacturing, and construction; (3) supplemental inspections; and (4) reactive inspections. The NRC will select and perform inspection samples under each of the cornerstones identified above to verify licensee performance from pre-construction through construction and ultimately to operational readiness.

IMPLEMENTATION OF ARCOP CONSTRUCTION INSPECTION PROGRAM

First, the ARCOP inspection program addresses pre-construction activities, including implementation of a quality assurance program. Then, the ARCOP baseline inspection program assesses whether a facility was constructed and will operate in conformance with its licensing basis. The NRC designed the ARCOP baseline inspection program to be flexible and scalable. To afford flexibility, the staff plans to develop an inspection scoping matrix for each advanced reactor design, which organizes inspection areas for SSCs based on applicable vendor, manufacturer, and construction activities.

For scalability, the NRC will adjust the number of inspection areas and samples based on reactor size and technology. The baseline inspection program may be followed by supplemental inspections in response to safety-significant findings and reactive inspections in response to safety-significant events.

These new IMCs outline how the ARCOP baseline inspection program covers the three strategic performance areas identified above:

1. Quality of Reactor Plant Construction: NRC inspection staff will implement IMC 2573 to ensure project vendors, manufacturers, and construction site activities conform with cornerstone objectives. Forthcoming Inspection Procedure (IP) 75001, Inspection of Manufacturing and Construction Quality for Advanced Power Reactor Structures, Systems, and Components, governs the inspections performed under this strategic performance area.
2. Security and Safeguards: The forthcoming IMC 2203, Security Inspection Program for Advanced Power Reactor Construction, will guide NRC’s inspections to ensure cornerstone objectives are met.
3. Operational Readiness: The NRC will implement IMC 2574, Inspection of the Advanced Power Reactor “Operational Readiness” Strategic Performance Area, to verify the licensee’s readiness for power operations. IMC 2574, Attachment 1, Inspection Procedures for Operational Programs, illustrates IPs and regulatory requirements applicable to various programs under this strategic performance area. Attachment 1 either references IMCs 2573 and 2203—discussed immediately above—for the applicable IPs or identifies the IPs as still under development.

ASSESSMENT OF INSPECTION RESULTS

The NRC will implement IMC 2572 guidance to assess the results of the ARCOP’s inspection program, adjust the scope of inspections as needed, and communicate inspection results. Under IMC 2572, NRC staff will conduct a continual assessment of the respective inspection areas. If the NRC identifies noncompliances in an inspection area, the NRC will implement IMC 2571 in disposition of such noncompliances. If the NRC determines that the noncompliance is safety- or security-significant, the NRC will then evaluate it using a significance determination process or traditional enforcement, as applicable.

The NRC’s evaluation of significant noncompliances (i.e., ARCOP findings) will vary based on whether the responsible entity is an NRC licensee or non-licensee. The NRC plans to issue a Notice of Nonconformance without an associated violation, for disposition of a significant noncompliance by a non-licensee. The NRC will, however, continue to implement its vendor inspection program to screen traditional vendor findings outside the ARCOP.

The NRC may perform additional inspections and engage in additional communications in response to ARCOP findings, in accordance with a Finding Response Table, illustrated in IMC 2572, Exhibit 1. The NRC’s Division of Advanced Reactors and Non-Power Production and Utilization Facilities will issue, annually, a report to NRC management summarizing assessment results for fabrication, manufacturing, and construction activities for the previous year. The NRC will consider the continual assessment results from the ARCOP to inform the agency’s findings, pursuant to 10 CFR 50.57, that the facility has been constructed and will perform in conformity with its construction permit, operating license, or combined license, prior to transition to the operational phase of reactor oversight.

CONCLUSION

The NRC has taken concrete steps towards updating its inspection program for the construction of new reactors. The scope and significance of the NRC’s construction inspection program revisions, however, are still fluid. Additional details about the underlying inspection procedures and inspection scoping matrices are forthcoming. We anticipate the forthcoming IPs will provide additional definition to the scope of the ARCOP inspection program.

HOW WE CAN HELP

Our lawyers stand ready to assist clients with their new nuclear project needs, including navigating the revisions to the NRC’s construction inspection program and forthcoming rulemakings implementing administration directives, including EO 14300. Morgan Lewis is closely monitoring the evolution of the NRC’s licensing and oversight framework, and our nuclear team stands ready to assist with questions on government approval pathways and acceleration of commercial nuclear deployments.