Palisades nuclear reactor restart continues despite work environment safety findings

The US Nuclear Regulatory Commission (NRC) has allowed Holtec International, the owner of the Palisades nuclear reactor, to retrieve a recently tipped fuel assembly, despite receiving a warning about the plant's work environment. The incident occurred on August 30 when one of the fuel assemblies tipped during a planned restart, causing the process to be halted.

If Holtec successfully retrieves the fuel assembly, the plant's restart is likely to move forward with NRC oversight. The Palisades reactor, purchased by Holtec after being decommissioned in 2022, has become a symbol of the US nuclear energy revival driven by artificial intelligence data centers.

During an inspection, the NRC found that while Palisades generally maintained a safety-conscious work environment, there was a "chilled work environment" in the supply chain and quality assurance departments. Employees in these departments were hesitant to raise safety concerns without fear of retaliation. Holtec has acknowledged the issues and stated that they are taking actions to address them, ensuring a healthy safety-conscious work environment.

However, concerns about the plant's work environment and the restarting of "zombie reactors" persist. Kevin Kamps, executive director of environmental advocacy group Don't Waste Michigan, warned that the NRC's decision to approve Holtec's strategy for retrieving the tipped fuel assembly is "ironic" given the reactor's proximity to the Great Lakes, drinking water supply for over 40 million people in eight US states, two Canadian provinces, and numerous Indigenous Nations.

Arnie Gundersen, a nuclear engineer and expert adviser for the organization, called the NRC's decision "ironic" as well, citing recent safety issues at Palisades, including the loss of control over a nuclear fuel bundle and a failure rate of more than half among quality assurance and procurement department personnel. Despite these concerns, an NRC spokesperson stated that the "chilled work environment" findings were limited to the supply chain and quality assurance departments, with no violations or significant safety issues identified.

The NRC will continue to monitor safety requirements and verify that they are met. Holtec has expressed appreciation for the NRC's decision and hopes to have Palisades back online by March 2027.