The Tennessee Valley Authority (TVA) and ENTRA1 Energy have signed a landmark agreement to develop a 6-gigawatt nuclear portfolio, the largest deployment of small modular reactors (SMRs) in American history. The deal, signed on September 2, will see six SMR plants built using NuScale Power technology across TVA’s seven-state service region.
ENTRA1 Energy will develop, own, and operate the SMR power plants, selling electricity to TVA under future power purchase agreements. Each plant will utilize NuScale’s advanced reactor modules, which are designed for scalability, safety, and affordability. When completed, the six-plant project could supply power to as many as 4.5 million homes or 60 new data centers—critical infrastructure for the growing demands of AI, semiconductors, and hyperscale computing.
SMRs, significantly smaller and more flexible than traditional nuclear reactors, offer several advantages, including factory-built components, lower upfront capital costs, and enhanced safety features. NuScale remains the only company with a Nuclear Regulatory Commission (NRC)-approved SMR design in the U.S. Its 50-MWe US600 module has full design certification, and its upgraded 77-MWe US460 module received Standard Design Approval in May 2025.
The TVA-ENTRA1 collaboration will focus on site selection, project planning, and regulatory coordination. TVA ratepayers are expected to be shielded from construction risk through ENTRA1’s development role, while TVA gains long-term pricing stability through power purchase agreements. This strategy contrasts with the now-canceled NuScale Carbon Free Power Project in Utah, which failed due to cost overruns and low participation.
TVA is expected to leverage its existing early site permit for Clinch River, Tennessee, as it evaluates locations for the six SMR sites. The agreement reinforces TVA’s position as a national leader in nuclear innovation, having launched its New Nuclear Program in 2022 to accelerate development of next-generation reactors.
The deal also aligns with a broader movement among tech companies investing in nuclear power to meet rising energy demands. Amazon, Microsoft, Google, Meta, and Oracle are among those pursuing nuclear partnerships to secure reliable, carbon-free energy for data centers and high-performance computing.
TVA President and CEO Don Moul emphasized the strategic importance of the project, stating, “TVA is leading the nation in pursuing new nuclear technologies… This agreement with ENTRA1 Energy highlights the vital role public-private partnerships play in advancing next-generation nuclear technologies that are essential to providing energy security – reliable, abundant American energy – and creating jobs and investment across the nation.”
