Shadow cast over US nuclear revival after Palisades reactor incident

An incident at the Palisades nuclear reactor in Michigan, set to resume operation, has cast doubt over the US nuclear energy comeback. This resurgence is mainly fueled by the growing demand for energy from data centers, a result of the surge in artificial intelligence. The US Nuclear Regulatory Commission (NRC) confirmed it is investigating a "tipped fuel assembly" incident at the facility in Covert, Michigan.

Though closed in 2022, the reactor, which was later acquired by Holtec International, is expected to restart due to the strain on the US energy grid from AI-based energy needs.

The incident occurred as fresh fuel was being inserted into the reactor, commonly referred to as a "zombie reactor" due to its state of being restarted after decommissioning. One of the fuel assemblies tipped, causing the operation to pause while Holtec evaluates the situation. The NRC spokeswoman Viktoria Mitlyng noted that no radiological release had occurred and that neither workers nor the public were affected. "Our inspectors will continue monitoring the situation," she affirmed.

The mishap has caused some nearby residents to express concerns about the unusual restart of a nuclear reactor. Kevin Kamps, a 55-year-old nuclear energy critic and founder of Don't Waste Michigan, emphasized the danger of the reactor core and fuel. He pointed out that the 55-year-old Palisades plant had multiple issues during its final years of operation before it closed.

Before the plant was sold to Holtec, a 2012 NRC report raised concerns over the company's work culture, where safety concerns were often disregarded. In 2016, security staff at the reactor were placed on leave from the plant, owned by Entergy, for failing to follow fire-prevention protocols. Additionally, a worker at Palisades fell into a pool of water from a refuelling bridge, though they were not seriously injured.

Shortly after the NRC confirmed the Palisades incident, the company released a "progress report" stating that plant personnel assessed the incident and determined it did not trigger safety reporting requirements under NRC regulations. The fuel loading remains paused while Holtec addresses the affected fuel assembly.

Holtec's public affairs official reiterated that the fuel remains intact and there was no radiological release or injury associated with the issue. The company does not plan to release photographs of the accident at this time. Palisades has become a symbol for the NRC, which under President Donald Trump's influence, has become vocal about the need for more nuclear energy projects across the US.