Vermont Proposes Modular Reactor for Yankee Site
The state explores nuclear technology to mitigate a projected 40% increase in future electricity costs.
Updated on Oct. 22, 2026 in Nuclear
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Vermont officials are evaluating the potential for a small modular nuclear reactor at the site of the decommissioned Vermont Yankee plant. The project remains in the early proposal stage, with officials considering the technology to manage projected electricity costs and regional decarbonization goals.
Why it matters
As New England faces rising electricity demand and grid decarbonization mandates, state leaders are revisiting nuclear power to stabilize the regional energy mix. This potential shift reflects a broader policy pivot as electricity bills in Vermont are projected to grow 40% in coming years.
The former Vermont Yankee plant operated with a 600-megawatt capacity over 42 years. The site currently hosts 57 steel and concrete casks of spent fuel, complicating immediate redevelopment efforts.
The players
Kerrick Johnson
The Vermont Public Service Commissioner who proposed the small modular reactor for the decommissioned site.
NorthStar Group Services
The company that has owned the Vermont Yankee site since 2019 and is managing the decommissioning.
PowerTransitions
A Texas-based firm that has entered a lease agreement with NorthStar to evaluate future use of the Vermont site.
Entergy Nuclear
The former operator of Vermont Yankee that shuttered the plant after 42 years due to economic pressure from natural gas.
The details
Small modular reactors (SMRs) are advanced nuclear designs engineered to be smaller and potentially more flexible than traditional large-scale plants. Unlike the defunct 600-megawatt light-water reactor at the Vernon site, SMRs are designed for factory-based construction and modular deployment. Any development at the Vermont Yankee site would need to account for the ongoing storage of 57 casks of spent fuel left over from the original station, which was shut down by Entergy Nuclear in 2014 due to high costs relative to natural gas.
Timeline
2014: Vermont Yankee reactor shut down.
2019: NorthStar Group Services acquired the Vermont Yankee site.
March 2026: New England governors signed a letter of support for nuclear power.
October 20, 2026: Vermont Nuclear Decommissioning Citizens Advisory Panel met.
The Tech Race
The proposal positions Vermont to join emerging modular energy efforts currently active in Russia, China, and Ontario. It follows the regional consensus established by the March 2026 letter of support for nuclear power signed by New England governors.
Residents in Vermont face an estimated 40% growth in electricity bills in the coming years, which this proposal aims to address by expanding low-carbon capacity. Any deployment of a new modular reactor remains seven to eight years away, providing no immediate relief for current pricing.
The takeaway
Vermont is moving toward a potential nuclear future to stabilize costs and meet climate targets, with a new modular reactor estimated to be eight years away. Watch for upcoming feasibility reports from PowerTransitions as the state works to utilize the decommissioned Vernon site.
Further reading
Learn more about the regional energy landscape in the Nuclear section.
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