COVERT TWP. — Although ownership has applied for a grant to reopen Palisades Nuclear Plant — with support from Gov. Gretchen Whitmer — there are “a number of hurdles” to overcome before that happens.

More:In surprise move, Whitmer announces plan to reopen shuttered Palisades nuclear plant

Holtec International has applied for a federal grant under the Civil Nuclear Credit (CNC) program to restore operations at Palisades, but getting approval isn't the only thing that needs to happen to reopen the 800-megawatt plant. 

“Though this is an initial step, there are a number of hurdles to restarting the facility that would need to be bridged,” the company wrote in a statement.

Those hurdles include “financial commitment from the state of Michigan, maintenance and delayed capital improvements of the facility, procuring a power purchase agreement, upgrading the switchyard, partnering with a (Nuclear Regulatory Commission) licensed operator for the restart, staffing an additional 400 or so qualified and trained staff and, finally, a successful (Department of Energy) application.”

Holtec said it will continue to work with the state, the federal government and a to-be-determined third party operator to see if reopening the plant is viable. 

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Holtec said that although its expertise in decommissioning was “the main driver” in acquiring Palisades, the company is committed to assisting the state and country in meeting energy needs with “clean, carbon-free energy production.” 

Pat O’Brien, senior manager of government affairs and communications for Holtec Decommissioning International, said any decommissioning work the plant has undergone at this point can be undone.

“Everything could be reversed,” he wrote in an email to The Sentinel. 

Fuel in the reactor chamber at the plant was moved to “spent fuel” pools when the plant closed. Holtec planned to move that fuel to “dry storage” in casks, a process expected to be completed in 2025. 

Even if the plant reopens, that fuel will still be moved to dry fuel storage. New fuel will need to be ordered in order to restart operations, O’Brien said. 

When Palisades closed, about 260 employees were hired to stay and help Holtec decommission the plant. Another 180 retired or separated from Entergy and an additional 130 accepted new jobs at other Entergy locations. 

O’Brien said the plant “would need to add approximately 400 skilled, qualified and trained employees” to bring Palisades back to the previous operational staffing level.

The company said the CNC program could “potentially reactivate the facility to help bridge the energy needs until next generation technology” is ready to deploy, mentioning its own Small Modular Reactor (SMR-160).

Holtec’s SMR-160 is a light water reactor that can generate 160 megawatts of power. The first of the reactors are scheduled to enter service around 2030. At the time of the Palisades purchase, Holtec said a “viable proposal” for repurposing Palisades and Big Rock Point near Charlevoix is building small modular reactors at those sites. 

Palisades has an operating license through 2031. It's yet to be determined if an extension or renewal of the license would be pursued should the plant reopen. 

The reason the plant closed 11 days early in May was “due to the performance of a control rod drive seal.” At the time, plant spokesperson Val Gent said the seal is “easily replaceable” in a normal operating cycle when the reactor is offline. 

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O’Brien said maintenance on the control rod drive seal would be part of “delayed maintenance” that needs to be done before the plant would restart. 

The plans with Palisades will not affect the Big Rock Point, a nuclear plant near Charlevoix, that was decommissioned in 2000, Holtec said. Big Rock Point was purchased by Holtec alongside Palisades in June.

Whitmer sent a letter to the U.S. Department of Energy on Friday, Sept. 9, supporting Holtec's grant application.

“Keeping Palisades open will keep energy costs low, shore up domestic energy production, and increase Michigan’s competitiveness for future economic development,” Whitmer said in a statement. “I am proud to write in support today of Holtec International’s application for a Civil Nuclear Credit that — if granted — will empower us to keep fighting for economic opportunity for Southwest Michigan and protect 1,700 local jobs."

— Contact reporter Mitchell Boatman at mboatman@hollandsentinel.com. Follow him on Twitter @SentinelMitch.