Clifford Chance
One Big Beautiful Bill Act: Impacts on tax credits available for nuclear energy under Sections 45U and 45Y
29 July 2025
The One Big Beautiful Bill Act (OBBBA), signed by President Trump into law on July 4, 2025, includes sweeping changes for many of the existing energy tax credits implemented or expanded under the Inflation Reduction Act.
The good news for the U.S. nuclear industry is that (i) the OBBBA largely leaves intact the existing tax credits available for electricity produced by existing (non-advanced) nuclear power facilities codified in Section 45U of the Internal Revenue Code (the Code), and (ii) makes it easier for advanced nuclear facilities to qualify for the 10% energy community adder to the clean electricity production tax credit (the PTC) codified in Section 45Y of the Code (see below for a summary of these changes to Sections 45U and 45Y).
Download PDF
