The Nuclear Regulatory Commission (NRC) is the independent federal agency that licenses and regulates the civilian use of nuclear energy in the United States. Established by the Energy Reorganization Act of 1974 as the successor to the Atomic Energy Commission's regulatory functions, the NRC oversees the design, construction, operation, and decommissioning of nuclear power plants, research reactors, and fuel cycle facilities. The agency is governed by a five-member Commission appointed by the President and confirmed by the Senate, with a staff of approximately 2,800 technical experts, inspectors, and administrative personnel headquartered in Rockville, Maryland.

For the SMR industry, the NRC's licensing decisions are the most consequential regulatory milestones determining which designs advance to construction and on what timeline. NuScale Power achieved a historic first in January 2023 when its 50 MWe US600 design became the first SMR to receive NRC Design Certification, followed by Standard Design Approval for the uprated 77 MWe US460 in May 2025. Kairos Power's Hermes demonstration reactor received the first NRC construction permit for an advanced reactor in December 2023, and TerraPower's Natrium at Kemmerer, Wyoming received its construction permit in 2025. Applications currently under review include Holtec's SMR-300 (partial construction permit application accepted for docketing in February 2026) and X-energy's Xe-100 for the Dow Seadrift facility in Texas (construction permit application accepted in May 2025). The NRC also approved X-energy's TRISO-X fuel fabrication facility (TX-1) Part 70 Special Nuclear Material license in February 2026.

The NRC offers multiple licensing pathways. Part 50 is the traditional two-step process requiring a separate Construction Permit and Operating License. Part 52 provides a streamlined one-step Combined License (COL) approach. The agency is also developing Part 53, a technology-inclusive, risk-informed framework specifically designed for advanced reactors, with the final rule expected by end of 2027 and estimated to save applicants $53-68 million compared to Part 50/52 pathways. Critics argue that the NRC's review timelines and fee structure remain barriers for SMR developers, particularly startups; the agency is working to balance thorough safety review with the pace needed to support the advanced reactor deployment wave driven by data center demand and federal decarbonization goals.