## Does New Jersey Now Have a Legal Path to Build New Nuclear Plants?

Yes — and the timeline is moving fast. On July 13, 2026, New Jersey Governor Mikie Sherrill signed the **Power NJ Act**, directing the state's Board of Public Utilities (BPU), working in collaboration with the state's Economic Development Authority, to establish a formal "advanced nuclear energy procurement program." The BPU has **180 days** from signing to issue a request for expressions of interest from developers seeking to build advanced nuclear projects in the state. The act also establishes a Reliable Capacity Certificate program designed to financially support at least **1,100 megawatts** of new capacity — though the legislation explicitly states that figure does not constitute a binding procurement commitment.

This is a significant policy inflection point. Six months ago, state law prevented the Department of Environmental Protection from issuing construction or operating permits for new nuclear facilities in the absence of a federally approved waste disposal pathway — a condition that effectively served as a blanket moratorium. That legal barrier was removed in April 2026, clearing the way for the Power NJ Act to have any practical effect.

---

## From Day-One Executive Orders to Signed Legislation: How NJ Got Here

Sherrill moved on nuclear from her first hours in office. On **January 20, 2026** — her first day as governor — she signed two executive orders declaring a "state of emergency on utility costs," freezing rate hikes, and establishing a state **Nuclear Task Force** charged with coordinating a strategy for new nuclear generation facilities across Executive Branch departments and agencies.

That task force immediately hit a wall: the pre-existing statutory prohibition on DEP permits tied to the absence of a federal nuclear waste disposal pathway. Because no NRC-approved waste disposal solution currently exists at the national level, the moratorium was effectively permanent under the old law.

In **April 2026**, Sherrill signed legislation removing that constraint, allowing the DEP to approve permits for new nuclear facilities based on "safe, NRC-compliant waste storage" — meaning on-site dry cask storage or equivalent compliant methods — rather than requiring a non-existent permanent disposal pathway. With that legal obstacle cleared, she formally launched the Nuclear Task Force with five defined focus areas: financing, supply chains and technology development, workforce growth and training, regulatory and permitting framework, and public trust and confidence.

The Power NJ Act, which passed the state assembly and senate by **unanimous votes**, represents the legislative translation of that task force's initial work into actionable procurement authority.

---

## What the Power NJ Act Actually Does

The legislation lays out a structured, staged procurement process rather than a blank check:

1. **Expressions of Interest (within 180 days):** The BPU issues a formal request to the market for advanced nuclear project proposals within New Jersey.
2. **Provisional Qualification:** After reviewing submissions, the BPU may provisionally qualify one or more projects.
3. **Negotiation Phase:** The BPU then enters direct negotiations with provisionally qualified developers on cost, target commercial operation date, and siting specifics.
4. **Reliable Capacity Certificate Program:** A financial support mechanism is established targeting at least 1,100 MWe of new capacity — but this is framed as a support floor, not a procurement ceiling or floor.

On ratepayer protections, Sherrill was direct. According to the *New Jersey Monitor*, she stated: "Ratepayers won't pay a dime until the project is built, and they'll never be on the hook for construction cost overruns." That's a politically significant constraint — it signals the state intends to shift construction risk onto developers rather than socializing it through rate base mechanisms, which is how legacy nuclear projects like Vogtle accumulated their cost overruns.

Whether that risk allocation is achievable at scale for [first-of-a-kind (FOAK)](https://smrintel.com/glossary/foak) advanced reactor projects remains the central commercial question. Developers of SMRs and advanced reactors have consistently argued that regulatory uncertainty, supply chain immaturity, and high overnight capital costs make it difficult to absorb all construction risk without some form of rate base or government backstop. New Jersey's ratepayer protection language may narrow the field of viable bidders — or require creative PPA and federal co-funding structures to close the gap.

---

## The Hope Creek and Salem Context

Multiple outlets have reported that state officials have examined sites near the co-located **Hope Creek** and **Salem** nuclear power plants in southern New Jersey. Both plants are already licensed NRC facilities with established grid interconnection, cooling water infrastructure, and experienced local nuclear workforces — factors that materially reduce siting complexity and community opposition risk for any co-located SMR or advanced reactor deployment.

[Holtec International](https://smrintel.com/companies/holtec-international), which operates in the New Jersey region and has an SMR design under NRC review, would logically be among companies evaluating whether to submit an expression of interest. [GE Vernova / GE Hitachi Nuclear Energy](https://smrintel.com/companies/ge-vernova), [Westinghouse Electric Company](https://smrintel.com/companies/westinghouse), and [Kairos Power](https://smrintel.com/companies/kairos-power) are other credible candidates given their current regulatory postures — though none has been named in New Jersey procurement discussions in the source material.

The 1,100 MWe Reliable Capacity Certificate benchmark is worth contextualizing: that is in the range of a single large conventional reactor or multiple SMR units depending on design. For reference, [NuScale Power](https://smrintel.com/companies/nuscale-power)'s VOYGR-12 configuration reaches approximately that scale, while smaller modular designs would require multiple units to meet it.

---

## Industry Trajectory: States Are Moving Faster Than the Federal Pipeline

New Jersey is not acting in isolation. The state joins a growing cohort — including New York, Colorado, Arizona, Wisconsin, and New England states — that have passed or advanced nuclear-supportive legislation in 2025 and 2026. The pattern is consistent: state-level procurement authority is being established ahead of any FOAK advanced reactor achieving [NRC design certification](https://smrintel.com/glossary/design-certification), meaning the market signal is real but the execution timeline is longer than any single governor's term.

The practical risk for New Jersey is timing. The BPU's 180-day expression of interest window puts first submissions arriving in early 2027. Negotiation, siting, environmental review, NRC licensing, and construction for any advanced reactor is a multi-year process. Sherrill's stated goal of avoiding a power generation problem "in 10 years" is achievable only if the procurement process moves with unusual speed and a developer has a design ready for near-term NRC engagement.

For developers, New Jersey's combination of large electricity demand, an existing nuclear workforce, strong grid infrastructure, and now a statutory procurement framework makes it a priority market. The ratepayer protection language will be the friction point in any term sheet negotiation.

---

## Key Takeaways

- **Governor Sherrill signed the Power NJ Act on July 13, 2026**, creating a formal advanced nuclear procurement program administered by the BPU and Economic Development Authority.
- **The BPU has 180 days** to issue a request for expressions of interest from advanced nuclear developers.
- **A Reliable Capacity Certificate program** will financially support at least 1,100 MW of new capacity — but this is explicitly not a binding procurement commitment.
- **The state's previous de facto nuclear moratorium** — tied to the absence of a federal waste disposal pathway — was ended by separate legislation signed in April 2026.
- **Ratepayer protections** are baked in: no payment until a project is built, and no liability for construction cost overruns — a condition that will shape which developers and financing structures can compete.
- **Sites near Hope Creek and Salem** have been examined by state officials, suggesting greenfield siting is not the only path under consideration.
- New Jersey joins a national pattern of state-level nuclear procurement frameworks being established ahead of advanced reactor design certification completions.

---

## Frequently Asked Questions

**What is the Power NJ Act?**
The Power NJ Act, signed by Governor Mikie Sherrill on July 13, 2026, directs New Jersey's Board of Public Utilities, in collaboration with the state Economic Development Authority, to establish an advanced nuclear energy procurement program. The BPU must issue a request for expressions of interest within 180 days.

**How much nuclear capacity is New Jersey trying to procure?**
The act establishes a Reliable Capacity Certificate program targeting at least 1,100 megawatts of new capacity, but the legislation explicitly states this figure does not constitute a commitment to procure any specific quantity of generation.

**What happened to New Jersey's nuclear moratorium?**
New Jersey's de facto moratorium on new nuclear construction — which stemmed from a state law requiring DEP permits to be contingent on a federally approved nuclear waste disposal pathway — was ended in April 2026 when Sherrill signed separate legislation allowing permits based on NRC-compliant waste storage instead.

**Will New Jersey ratepayers pay for nuclear construction costs?**
According to Governor Sherrill, ratepayers will not pay until a project is built and will not be liable for construction cost overruns. This risk allocation approach distinguishes the New Jersey model from traditional regulated utility cost-of-service nuclear construction frameworks.

**Where might new nuclear plants be built in New Jersey?**
Multiple outlets have reported that state officials have looked at sites near the existing Hope Creek and Salem nuclear power plants, which would offer infrastructure, grid, and workforce advantages for any co-located advanced reactor deployment. No site has been formally selected.

**When could New Jersey actually have new nuclear generation online?**
The act sets a 180-day window for expressions of interest, after which negotiation, environmental review, NRC licensing, and construction would follow. Advanced reactor timelines make a commercial operation date before the mid-2030s optimistic for even the most shovel-ready designs.