A former Nuclear Regulatory commissioner was among the witnesses and a house hearing review read legislation that would revamp federal oversight and modernization of the Nuclear Power industry. Hearing is about one hour and 10 minutes. Legislative proposal to advance Nuclear Energy. Is each of you before your opening statements. We want to thank marvin for the great job is done and i think it to go on and look at other challenges at the end of this year. So we are delighted he is here. He served as president and chief executive since 2009. He has had a long and distinguished career advocating for the Nuclear Industry. Nuclear energy is an integral part of our policy. Energy is an integral part of our policy. The Current Fleet of roughly 100 operating Nuclear Power plants safely and reliably generates about 20 of our nations electricity. However, many are approaching the end of their current license and the revelatory costs are adding to challenging times. This outlook revives a timely outlook to examine proposals to improve the revelatory framework for Nuclear Power plants, and options to develop a Regulatory Framework for advanced Nuclear Technologies. Nuclear technologies hold great promise to operate in a costcompetitive environment, with even greater safety margins than existing reactors, while generating less waste and reducing proliferation concerns. However, regulatory uncertainty israel p to be cited is repeatedly cited. The department of energy, which supports Nuclear Research and Development Activities, should collaborate where applicable with the nrc to address the uncertainty. Today, we going to hear from stakeholders about how to more effectively manage the regulatory process. Including options to increase the efficiency and certainty of the nrcs existing licensing process. Draft,nting the highlighting the cumbersome red forcingthe process, ratepayers to pay more for safe, clean, Nuclear Power. And i want to thank him for his legislation, and we look forward to your comments about that. Also, we thoroughly appreciate congressmans leadership in addressing barriers hindering the advancement of advanced nuclear tenologies. His legislation will assure Technical Research and facilities are utilized when appropriate to assist the nrc. And at this time, i like the yield a minute or so to mr. Latta. And then comments on the legislation. Thank you very much, mr. Chairman. Thanks to the panel for being with us today. I would like to thank you for holding this hearing today on Nuclear Power, which is highlighting the bill we introduce last week, advanced Nuclear Technology of element act of 2016. I would like to ask unanimous to enter three letters. One from the lurklys engineering department, and one from third way, and one from Clean Air Task force into the record. Without objection. As the United States looks to the future, more energy will be needed. Provides a power clean base power option. Investment in new technology has artie happened, with Nuclear Power. Again, that is why we have introduced this bill, time for congress to ensure that the nrc provides a framework so that investors can prepare to apply for licensing technology. It requires the nrc establish Regulatory Frameworks for issuing licenses for reactor technology. But it also requires a scheduled to implement of the framework by 2019. Safety in nuclear is a number one goal of the Regulatory Framework. It ensures that we have this framework to safely regulate the Nuclear Industry. Also requires collaboration in advancing new technology, National Laboratories to provide the testing of new Nuclear Technology on federal lands, and the option to look at publicprivate partnerships between the doe and the private Sector Companies interested in investing in the future of nuclear. These testing opportunities allow for demonstration of technologies that nrc has not been licensing for the last four years. Ms. Chairman, i greatly appreciate this. I will give you his time. Thank you. Unless mr. Latta was to talk some more. This time, i recognize five minutes for opening statements. I want to thank you mr. Chairman for holding this important hearing today on hr 4979, advanced Nuclear Technology and Development Act of 2016. Nuclear utilization of policy act, mr. Chairman, as we move towards a reduced carbon, Sustainable Energy economy, there is no doubt that Nuclear Energy will need to play an instrumental role in order to reach those objectives. While todays fleet of Nuclear Reactors utilize light water reactor technology, more attention is now being paid to the use of nonreactor designs, that have been demonstrated by the department of energy, but are currently not licensed for commercial use in the United States. And mr. Chairman, emerging, innovative designs of advanced nonlight water reactions and modular reactors have the potential to produce Nuclear Power more efficiently, and with less waste than the current technology. Develope are to truly an scale of these technological advancements, it is important that policy developments and the Regulatory Commission provide certainty for the Nuclear Industry, in order to encourage investment in these next generation design. So i applaud my colleagues, mr. Fora and mr. Mcinerney, introducing hr 4979. This legislation seeks to provide guidance and direction to the nrc and the doe to ensure that these two agencies have sufficient Technical Expertise. In order to support and regulate advanced reactor technology. The bill also requires the nrc to formulate a plan that would help foster civilian research and development of advanced Nuclear Energy technologies, and enhance the licensing and commercial development of such technologies. Support the i fully intent of this legislation. And i look forward to hearing feedback from my panel of experts on both the necessity for this type of legislation, and the implications once it is enacted. In regards to the Nuclear Energy policy act, i also look forward to engaging the witnesses on this legislation. Mr. Chairman, finally, if Nuclear Energy is going to continue to play a constructive role in the reduced, Carbon Energy portfolio, we must ensure that we have policies in place that appropriately reflect the contributions of the industry, and the current reality that it faces. So i commend my colleagues from fornois, mr. Kensinger, introducing a real draft that at the very least initiates a conversation towards reaching this goal. Of course mr. Chairman, todays bill is simply a discussion draft, and we will need to hear from the nrc commissioners themselves before moving into the legislative process. Testimony fromto todays experts on both the need for the changes outlined in the bill, as well as the Practical Implications that these changes will enact. Thank you mr. Chairman. I yield back the balance of my time. I recognize mr. Kensinger for five minutes. You might consider yielding to them. This will be fairly quick mr. Chairman. I want to thank you for holding the hearing. I want a thank you to the witnesses for being here today. It is an important topic. As we have heard, Nuclear Power generates about 20 of the power. In illinois, it is 50 . These plans consistently have the highest capacity factors by far in the Gold Standard for Nuclear Safety worldwide. We have to recognize however that while our Nuclear Fleet is strong today, the demand for clean and Reliable Energy is only increasing. We have an obligation to safely maintain our existing fleet of 99 units to ensure the nrc continues to regulate efficiently and effectively, so investment plans can continue. The regulatory inefficiency and uncertainty that we see today does nothing to help our existing fleet, nothing to or to ensureans, safety and protect public health. I want to thank the nrc for providing technical feedback on the draft we are currently reviewing. And i look forward to working with them through the process. Furthermore, i appreciate the interest that my colleagues issue, including streamlining the licensing process and improving the current Regulatory Framework for decommissioning plants. These are all important conversations to add, to continue to provide affordable electricity ratepayers in the United States. Again, i welcome the opportunity to discuss how we can maintain our position as to the Gold Standard of safety. I think all of us in this room recognize that if we have a position, it will have huge consequences for National Security. With that, im happy to yield to anybody who wants my time. Anybody on our side seek additional time . I yield back. Yields back. This time, i recognize the gentleman of california. And thank him for cosponsoring this legislation as well, for five minutes. Thank you, mr. Chair. Our nation will buy necessities, necessity, in order to fight Climate Change, as we do so, we will need to turn more and more to Nuclear Power. Hr 4979 the bill that my colleague mr. Latta and i introduced allows the nrc to develop the needed Technical Expertise for emerging technologies technologies. This legislation provides a pathway for the nrc and the doe to continue collaborating. And establishes a Regulatory Framework for consideration of licensing advanced reactors. This will help ensure that as newer, safer technologies are developed, that the nrc has the framework in place to review new applications. Mr. Chairman, with unanimous consent, i would like to submit three letters. One from berkeleys engineering department, and one from third way, and one from Clean Air Task force into the record. Without objection. And ill yield the balance of my time to my colleague from pennsylvania. And i thank my colleague. I want to thank the chairman in and the Ranking Member for holding this important hearing today. To me, nuclear is a critical component of our energy future. We need to work here at this committee to ensure that it remains feasible and safe for our constituents back home by investing in this Incredible Energy source and its technology and making sure its value as carbonfree, reliable, base load power is properly appreciated. I believe advanced nuclear is key component for maintaining Nuclear Power in the future, and will be an integral part of our portfolio here in the United States. My colleague congressman and s mcnerneys bill takes important steps in that direction. I also want to applaud our colleague on mr. Kensingers discussion draft. I think we share many similar concerns regarding the Nuclear Industry. And im optimistic that well be able to find some Common Ground on solutions. Though, i couldnt help but notice the acronym for your bill is nukepa, which i find someone distress distressing. [laughter] but im encouraged by bringing attention to these issues the Nuclear Industry is facing. And i do hope we can Work Together on solutions, and by coming up with a different acronym than the one youve chosen. Thank you, i yield back. Gentleman yields back. That concludes the opening statements. And im going to introduce the witnesses individually before they speak. So, first of all, we have mr. Marvin fratel. Who i mentioned in my opening statement, executive officer for the Nuclear Energy institute. Thanks for being with us. And we look forward to your testimony. And youre recognized for five minutes. Marvin thank you mr. Chairman, and Ranking Member rush, and members of the subcommittee. On behalf of the commercial Nuclear Energy industry, i want to thank the committee for considering the advanced Nuclear TechnologyDevelopment Act, hr 4979, and discussion draft of the Nuclear Utilization of keynote Energy Policies act. I am pleased to represent the broad Nuclear Industry. Including the owners and operators of Nuclear Power plants, and the supplier community, today. Said,gressman ken zyng ken zyna the Nuclear Energy is the largest and most efficient source of carbon free electricity in the United States. Our 99 reactors produced nearly 20 of our nations electricity and approximately 63 of our carbon free electricity. Nuclear Energy Facilities demonstrate unmatched reliability by operating with an average capacity factor of 92 . Higher than all other positions. Electricity sorcerers. Resources. And importantly, theyre essential to the countrys economy and the communities in which they operate. Despite the significant environmental economic and National Security benefits that Nuclear Energy provides, the current regulatory requirements and licensing processes challenge the industrys ability to build new, technologically advanced reactors. The prospect has become attract attractive and necessary in the u. S. And abroad. In this country, 126,000 megawatts of generation will be retired over the next 15 years. U. S. Energy Information Administration forecasts a need for 287,000 megawatts of new electric capacity by 2014. 40. In addition to the Electrical Capacity needed to replace the retired power plants. Many other countries are looking to rapid expansion of Nuclear Energy to address electricity and environmental needs. The Nuclear Reactor designs or technological advances for the u. S. And are wellsuited to developing economies. However, without strong federal leadership and direction, u. S. Industry runs risk of falling behind international competitors. Congressfirms commitment to u. S. Leadership in u. S. Technology and safety. The industry supports provisions in the bill to think differently about licensing reactors. The bill calls for efficient, riskinformed, Logical Network , and a phase review process that could facilitate private financing for advanced reactors. Developers will be able to demonstrate progress to investors and participants in the first of a kind projects and obtain necessary Capital Investments as they achieve milestones. The nrc imposes stringent safety requirements that all facilities must maintain. As we look to the details of how innovative advanced reactor technologies can meet requirements, it is important for the nrcs framework to acknowledge there will be a variety of effective ways to meet safety requirements. Hr 4979 also recognizes that as a government function to develop the regulatory infrastructure, the license advanced reactor technologies and, therefore, authorizes federal funding to support those activity. Congress should reform nrcs fee recovery structure to make fees more equitable and transparent. Despite efforts to reduce the budget and rightsize the agency, fees continue to be excessive. And limitations of the fee rule create fundamental structural problems. The nrc budget is approximately 1 billion a year, despite significant declines in the workload. In particular, according to ernst and young study performed for the nrc, nrc spends 37 its budget on Mission Support act cost, more than 10 higher than pier agencies. Because the nrc must collect 90 of budget from licensees and the nrc budget has not declined, remaining licensees are responsible for paying higher annual fees. With recent premature shutdown and additional reactor decommissioning, the current Fee Structure guarantees remaining licensees will continue to bear even higher annual fees.