ARC Act of 2026

This bill creates a program within the Department of Energy's Loan Programs Office to provide cost-overrun support and enhanced financing for advanced nuclear energy projects that receive loan guarantees under existing law. It also expands exceptions to a double-benefit denial provision for certain utilities and military installations.

Sec. 2, Accelerating Reliable Capacity Program: This section establishes the Accelerating Reliable Capacity Program Account, funded with $3.6 billion in authorized appropriations. The Director of the Loan Programs Office manages the account and can use it to pay the Federal Financing Bank for cost overruns on qualifying advanced nuclear projects. A qualifying project must meet strict planning and oversight requirements, including a Class 2 cost estimate, a project delivery plan, and quarterly progress meetings. The borrower is responsible for the first 20% of cost overruns beyond the point base estimate. After that, the Director may make quarterly payments to the Federal Financing Bank, up to a maximum of 30% of the point base estimate or $1.2 billion per project, whichever is less. Enhanced financing terms allow a guarantee up to 200% of the point base estimate. The Secretary must notify Congress within 7 days after each quarterly meeting. A working group is established to advise on technical, financial, and programmatic aspects.

Sec. 3, Exception to Denial of Double Benefit Provision for Certain Utilities and Military Installations: This section amends existing law to add new exceptions to a rule that denies double benefits. The new exceptions allow projects partnering with a Federal power marketing administration or the Tennessee Valley Authority, projects partnering with entities procuring energy for military installations or the General Services Administration, projects benefitting from National Laboratories or user facilities, and projects using nuclear fuel procured under the Nuclear Fuel Security Act of 2023.