The United States is moving fast to rebuild its nuclear fuel supply chain, revive dormant facilities, and accelerate next-generation nuclear technologies. These efforts come as electricity demand surges from artificial intelligence (AI), data centers, and industrial electrification.
Recent announcements from the U.S. Department of Energy (DOE) show a coordinated push to strengthen uranium enrichment, revive legacy nuclear infrastructure, and deepen international collaboration on fusion power. Together, these developments highlight how nuclear energy is becoming central to U.S. energy security, economic competitiveness, and climate goals.
Hanford’s FMEF Gets a Second Life in the Nuclear Fuel Cycle
The DOE Office of Environmental Management announced a new partnership with American nuclear fuel company General Matter to explore the reuse of the Fuels and Materials Examination Facility (FMEF) at the Hanford Site in Washington State.
FMEF is a 190,000-square-foot facility originally built to support the Liquid Fast Breeder Reactor Program. However, it never operated in a nuclear role and has been idle since 1993 under surveillance and maintenance status.
Under the new lease, General Matter will evaluate the facility for potential upgrades, conduct site characterization, and engage local communities and stakeholders. The goal is to determine whether the facility can be returned to service for advanced nuclear fuel cycle technologies and materials research.
Reviving FMEF could help the U.S. rebuild critical infrastructure that was lost after decades of underinvestment in nuclear fuel production. It also fits into the Trump administration’s broader agenda to expand domestic energy production and reduce reliance on foreign nuclear fuel services.
General Matter CEO Scott Nolan said:
“Rebuilding America’s nuclear fuel capabilities is critical to strengthening our nuclear industrial base, reducing our reliance on foreign providers and lowering energy costs for utilities and consumers. We thank our partners in Hanford and the Department of Energy for supporting us in the development of a stronger, more secure nuclear fuel supply chain built here in the United States.”
General Matter’s Role in Rebuilding U.S. Uranium Enrichment
The Hanford project complements General Matter’s plans to develop a uranium enrichment facility at the former Paducah Gaseous Diffusion Plant in Kentucky. Construction is expected to begin in 2026, with enrichment operations targeted before the end of the decade.
This privately funded facility aims to supply fuel for commercial nuclear reactors, national security reactors, and research institutions. It is part of a broader effort to restore U.S. uranium enrichment capacity, which has declined sharply over the past few decades.
As part of the lease agreement, General Matter will receive at least 7,600 cylinders of uranium hexafluoride (UF6). Reprocessing this material could save U.S. taxpayers about $800 million in avoided disposal costs while providing a reliable domestic feedstock for reenrichment.
General Matter was also selected in October 2024 as one of four companies to provide enrichment services for establishing a U.S. supply of high-assay low-enriched uranium (HALEU). HALEU is a key fuel for advanced reactors and small modular reactors (SMRs), which are expected to play a major role in future power systems.
U.S.–Japan Fusion Partnership Marks a New Era of Cooperation
In another major development, the DOE and Kyoto Fusioneering (KF) announced a landmark partnership to advance fusion power technology and reduce commercialization risks.
The collaboration centers on breeding blanket systems, which produce tritium fuel needed for fusion reactors. A key project is UNITY-3, a next-generation fusion testing facility planned at Oak Ridge National Laboratory (ORNL). This facility will validate breeding blanket performance using realistic neutron environments and component designs.
The partnership also includes Idaho National Laboratory and Savannah River National Laboratory. Together, they will leverage KF’s UNITY-1 and UNITY-2 facilities in Japan and Canada to test thermal systems, tritium fuel cycles, and non-nuclear components.
This coordinated approach aims to systematically increase technology readiness levels and accelerate the path toward commercial fusion power. The initiative has already gained strong industry support, with multiple U.S. fusion companies endorsing the program.
DOE officials described fusion as a transformational opportunity for the energy sector and a critical pillar for long-term competitiveness. The partnership also strengthens U.S.–Japan strategic ties in clean energy and advanced technology.
AI, Data Centers, and Electrification Drive Nuclear Demand
Rising electricity demand is a key driver behind the renewed interest in nuclear power. AI workloads, cloud computing, electric vehicles, and industrial electrification are pushing power consumption to record levels.
According to the U.S. Energy Information Administration (EIA), total U.S. electricity consumption is expected to increase from 4,198 billion kilowatt-hours (kWh) in 2025 to about 4,256 billion kWh in 2026. This steady growth reflects expanding data centers, manufacturing, and population-driven demand.
Nuclear power remains a critical source of reliable baseload electricity. EIA forecasts that nuclear generation will remain stable through 2026, accounting for roughly 18% to 19% of total U.S. electricity generation. While renewables such as solar and wind are growing rapidly, nuclear continues to provide round-the-clock power that complements intermittent clean energy sources.
This reliability is especially important for AI data centers, which require constant power and cannot rely solely on variable renewable generation.
Uranium Production and Fuel Cycle Challenges
Despite strong policy support, the U.S. nuclear fuel sector faces significant challenges. Domestic uranium production has been volatile, highlighting the difficulty of rebuilding a mining industry after decades of decline.
EIA highlighted that, in the third quarter of 2025, U.S. uranium concentrate production totaled 329,623 pounds of U3O8, a 44% decline from the previous quarter. This drop underscores the need for sustained investment and policy support to stabilize domestic supply.
Beyond mining, the U.S. must also expand conversion, enrichment, and fuel fabrication capacity. Much of the global enrichment market is dominated by foreign suppliers, including Russia, Europe, and China. Rebuilding domestic capabilities will require large capital investments and regulatory approvals.
Trump Targets Massive Nuclear Expansion
U.S. policy is increasingly aligned with nuclear expansion. The United States currently operates 96 nuclear reactors with a total gross capacity of about 102 gigawatts, according to the World Nuclear Association.
In May 2025, President Donald Trump signed executive orders targeting 400 gigawatts of nuclear capacity by 2050. The policy includes uprates at existing reactors, construction of new large reactors by 2030, and major investments in fuel cycle infrastructure.
The strategy also emphasizes domestic supply chains for uranium mining, enrichment, fuel fabrication, and waste management. Building these supply chains is seen as critical for energy security, especially as geopolitical tensions affect global uranium and enrichment markets.
Analysts expect SMRs and advanced reactors to play a growing role, particularly for industrial facilities, hydrogen production, and large data centers seeking long-term power contracts.
Fusion and Advanced Reactors: Long-Term Game Changers
While traditional nuclear reactors are expanding, fusion and advanced fission technologies represent the long-term future of the sector.
Fusion promises abundant, low-waste energy, but it remains technologically complex and expensive. The DOE-Kyoto Fusioneering partnership aims to close key technology gaps and accelerate commercialization timelines.
Advanced fission reactors, including fast reactors and SMRs, are closer to deployment. These designs offer improved safety, lower costs, and flexibility for industrial applications. They also require new fuel types such as HALEU, reinforcing the importance of domestic enrichment capacity.
Why This Matters for US Nuclear Infrastructure
The U.S. push to revive nuclear infrastructure, expand enrichment, and accelerate fusion reflects a strategic shift in energy policy. Nuclear power is becoming a cornerstone of the digital economy and clean energy transition.
For investors, these developments could reshape uranium markets, nuclear technology companies, and infrastructure spending. Rising electricity demand from AI and electrification could support long-term growth in nuclear capacity, even as renewables continue to scale.
With AI, data centers, and electrification driving record electricity demand, nuclear power is emerging as a strategic asset for reliable, low-carbon energy. Policy support is strong, but rebuilding the full nuclear fuel cycle will require sustained investment, regulatory reform, and public acceptance.
In conclusion, the DOE’s recent partnerships with General Matter and Kyoto Fusioneering highlight a coordinated effort to rebuild the U.S. nuclear ecosystem—from mining and enrichment to advanced reactors and fusion research.
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Insetting program design starts with your supplier map. The carbon claim comes much later.
Consider a coffee procurement team that funds a farm intervention before checking its sourcing data. The supplier aggregates coffee lots from several regions. The buyer lacks farm-level traceability. Another purchaser expects to report the same outcome. A more attractive project brochure solves none of these problems.
If the distinction between a value-chain intervention and a purchased credit is still open, read CCC’s Insetting vs Offsetting guide before you set the brief.
Insetting program design begins with the purchasing relationship and works outward. You need to decide 1) where an intervention belongs, 2) what business problem it addresses, 3) who pays for it, 4) how results will be measured, and 5) what the evidence will let you say about them. This five-step playbook turns that sequence into a procurement plan.
Step 1: Insetting program design starts with supplier mapping
Start with the commodities that matter most to your Scope 3 inventory and sourcing continuity. Ask finance for spend by supplier, sustainability for the emissions baseline, and category managers for origin and volume records. Then identify which suppliers can trace material to a jurisdiction, sourcing region, producer group, or individual land-management unit.
The level of traceability affects what you can account for. Under the GHG Protocol Land Sector and Removals Standard, the spatial boundary for purchased land-based products depends on the traceability associated with each volume. Farm-specific factors or removals require physical traceability through an acceptable chain-of-custody model. A contract with a tier-one trader, by itself, does not establish a link to the farms behind its deliveries.[1]
Build a first-pass table with five columns: commodity and annual volume; supplier and origin; current traceability level; land-use and production risks; and the business owner who can change the purchasing terms. Mark missing data plainly. A blank cell is cheaper to fix before a program starts than after a claim is drafted.
If your company sets an SBTi Forest, Land and Agriculture target (FLAG), keep its land-related target boundary separate from energy and industry emissions. The current FLAG guidance also requires relevant companies to assess primary deforestation-linked commodities in their value chains.[2]
Step 2: Choose a commodity and jurisdiction for a pilot
Select one supply corridor where the sourcing connection can be established and procurement has a reason to stay. A useful pilot has repeat purchases, suppliers willing to share records, an intervention matched to a diagnosed problem, and a defined plan to measure the result. Carbon potential alone is a poor selection rule if the supplier cannot deliver the crop your business needs.
Compare candidate regions on land-use risk, supplier concentration, local rights and tenure, the availability of baseline data, and exposure to drought, erosion, or forest conversion. Check the relevant legal requirements separately. A nature project does not satisfy a due-diligence obligation merely because it has a carbon method attached.
Consider a coffee buyer sourcing from two districts. In the first, producer-group records identify the farms, while recent dry seasons have increased rejected green coffee lots. In the second, deliveries pass through several intermediaries and farm origins are unknown. Pilot shade management in the first district, with local agronomic advice and quality checks built into the plan. The buyer can trace purchases there and test the intervention against a defined sourcing problem.
Use a short decision memo to record why the selected corridor beats the alternatives, what remains uncertain, and what would stop the pilot. That memo is the first control against a project drifting toward whatever happens to photograph well.
Step 3: Design the supplier engagement and commercial model
The intervention needs an owner on each side of the contract. Decide who supplies planting material or training, who maintains the practice, who bears the cost if a harvest disappoints, and how long the buyer expects to purchase from participating suppliers. Where smallholders participate, budget cash flow and technical support for practices that offer a later return.
Put these terms in a supplier agreement or pilot addendum. It should cover eligible farms and volumes, consent to data collection, access for monitoring, any land or carbon rights that matter, benefit sharing, and what happens if the purchasing relationship ends. Ask local counsel and producer representatives to review the arrangement. The Accountability Framework is a useful reference for supply-chain work involving forests, ecosystems, and human rights.[3]
Avoid assigning an automatic carbon benefit to the buyer. The contract should say which party has the right to report each outcome, how overlapping claims will be checked, and how any issued credits will be handled. A reduction reported in a buyer’s inventory cannot simply be sold for someone else’s offset claim without an accounting review. SBTi FLAG guidance excludes purchased credits used as offsets from near-term FLAG target achievement.[2]
Set commercial measures beside environmental ones: delivered volume, rejection rate, supplier retention, and procurement cost. They tell you whether the program works as a supply-chain investment, even if carbon accounting takes longer to resolve.
Step 4: Build monitoring, reporting, and verification before rollout
Agree on the baseline and data flow before paying for a full rollout. Identify the land units or sourcing regions in scope, the practices that change, the records suppliers already keep, and the additional measurements the program requires. Decide which data can come from field visits, transaction records, or remote sensing, and who checks each source.
For carbon, separate three questions. Did the practice happen? Did emissions or removals change under an applicable method? Can the buyer attribute a defensible share to its purchased goods without double counting? The GHG Protocol’s 2026 guidance includes dedicated chapters on spatial boundaries, data and methods, evaluating actions, credited outcomes, and assurance.[1] These are distinct jobs. A photograph of a planted tree answers only part of the first.
CCC’s MRV and Additionality article explains the separate evidence questions a project reviewer will ask.
Create an evidence file for every reporting period: dated supplier and farm records, purchase volumes, methods and emission factors, uncertainty, quality checks, and changes from the baseline. Specify who can challenge the data and how corrections are recorded. If a project also seeks credit certification, keep project accounting and corporate inventory accounting separate. The GHG Protocol says its land standard focuses on entity-level inventories and does not set the rules for credit certification.[4]
Start with the minimum viable measurement design that can survive review. Add complexity when the pilot tells you which data actually changes a decision.
Step 5: Decide what can be reported and claimed
Insetting program design needs reporting rules before the marketing copy. Procurement, sustainability, finance, and legal should agree on four distinct outputs: operational performance; observed land or nature outcomes; inventory effects, if the accounting criteria are met; and any separately issued credits. One dashboard can display them, but they should not share a single unqualified headline.
SBTi FLAG guidance allows certain land-based removals within a company’s operations or supply chain to contribute to FLAG pathways, subject to criteria including permanence, traceability, data quality, and allocation. It does not allow purchased offsets to meet near-term FLAG targets.[2] Eligibility therefore depends on evidence and the applicable target rules, not on calling an activity “insetting.”
Draft a claims register. For each proposed sentence, record the period, boundary, data owner, calculation method, reviewer, and whether the result is measured, estimated, or still a goal. If the evidence supports only “we funded a pilot with 200 farms,” say that. Do not turn a funding fact into a verified emissions reduction.
What good looks like by year three
Treat year three as a review point, not a promised payback date. A mature pilot should have mapped participating supply volumes, a stable supplier agreement, a repeatable data collection process, and a comparison of commercial and environmental results against the baseline. It should also have a documented answer for outcomes that cannot be included in the buyer’s inventory.
Scale only where the pilot improves a sourcing decision and the evidence can follow the product. If neither condition holds, redesign the intervention or change the corridor. A disciplined program can conclude that a site is unsuitable. That is useful procurement intelligence.
Discuss your insetting program with CCC
Carbon Credit Capital designs nature-based supply chain investments around sourcing needs and measurable sustainability outcomes. Schedule a consultation with our carbon and sustainability experts to map your tier-one supplier network, FLAG exposure, and first pilot decision.
Sources
[1] GHG Protocol, Land Sector and Removals Standard, version 1.1, and companion Guidance, June 2026: https://ghgprotocol.org/land-sector-and-removals-standard ; https://ghgprotocol.org/land-sector-and-removals-guidance
[2] Science Based Targets initiative, Forest, Land and Agriculture Science-Based Target-Setting Guidance, version 1.2, March 2026, especially pp. 16–17, 37, and 41: https://sciencebasedtargets.org/resources/files/SBTiFLAGGuidance.pdf
[3] Accountability Framework initiative, Accountability Framework and guidance for companies: https://accountability-framework.org/
[4] GHG Protocol, Frequently Asked Questions: Land Sector and Removals Standard, questions 10 and 18: https://ghgprotocol.org/blog/frequently-asked-questions-land-sector-and-removals-lsr-standard
Nature-based carbon investments deserve consideration when they address a specific business dependency and produce outcomes you can measure. Imagine Moonbucks, a global coffee roaster planning next season’s espresso blend. It is considering natural Grade 4 coffee from Jimma, in southwestern Oromia, Ethiopia. Its sourcing decisions affect the roasting schedule and the cash tied up in coffee purchases. Moonbucks needs to understand which measures could protect that supply, what they would cost and how it would judge the results.
1. Define the sourcing problem before choosing a project
Moonbucks needs a dependable component for its espresso blend. Its procurement team wants continuity of volume and an agreed cup profile. Replacing a shipment at short notice could require new sample approval and changes to the blend, and given the schedules for cultivation, processing, and freight delivery, is practically impossible. Moonbucks needs to get this right, and its initial concern is inconsistent deliveries. It commissions an assessment of the supplying farms and post-harvest chain. The questions cover land condition, harvest availability and whether drying or storage problems are affecting saleable lots.
This distinction changes the investment brief. A tree-planting proposal cannot be assumed to fix drying problems. Better storage cannot restore eroded land. The team must establish which problem exists before selecting the response.
CCC’s guide to finding nature-based solutions in your supply chain explains where to look. Here, the next task is to turn a broad concern into a testable proposal.
2. Develop nature-based carbon investments around the actual supply chain
The assessment would trace Moonbucks’ purchases back through the exporter and supplying producer groups. Which farms supply the contracted lots? Who controls land-management decisions? How long does the buyer expect to maintain the purchasing relationship?
Furthermore, Jimma natural Grade 4 cannot be treated as interchangeable with every Ethiopian coffee. Moonbucks would need to test any substitute against its own blend and quality requirements.
Suppose Moonbucks’ assessment identifies an opportunity to maintain shade trees and restore vegetation along exposed streambanks. The IPCC describes agroforestry as a way to store carbon in vegetation and soil, with potential benefits for erosion control and water quality.1 Moonbucks would need local advice on species, growing conditions and maintenance before deciding how these measures fit its sourcing plan.
The proposal now has a defined sourcing connection and a candidate intervention. The next steps are to test its effect on production, assess carbon eligibility and build the financial case.
3. Compare the proposal with other ways to protect supply
WBCSD’s Nature-based Solutions Blueprint recommends comparing nature-based options with other responses across their benefits and costs.2 For Moonbucks, that means evaluating the landscape proposal alongside drying improvements, storage controls and alternative sourcing arrangements.
The product’s natural-process designation matters. Moonbucks should examine the drying and dry-milling chain alongside land conditions. Its team would check storage practices, contamination risks and incoming-lot quality to see whether problems arise before or after the coffee leaves the farms.
The revised proposal might combine land stewardship with separate post-harvest controls. Each component needs its own purpose and budget. A sustainability label should not obscure which activity is expected to solve which problem.
The project develops as the evidence improves. Its scope should follow the diagnosis rather than preserve the first idea unchanged.
4. Establish what the carbon outcome could count toward
Moonbucks’ sustainability team now tests the proposed carbon case separately from the sourcing case. Is the objective a measurable change in Moonbucks’ value-chain emissions, verified credits for separate voluntary use, or distinct outcomes under carefully defined arrangements?
Scope 3 covers value-chain emissions. A purchasing relationship alone does not prove that a farm intervention can be included in Moonbucks’ inventory. The team needs an applicable accounting method, defensible boundaries and evidence supporting attribution.
SBTi’s FLAG Guidance (forest, land and agriculture), version 1.2, says purchased credits used as offsets cannot meet near-term FLAG or energy and industry targets. Eligible land-based removals are subject to accounting requirements.3 Moonbucks needs to test its proposal against those rules before including an outcome in its targets.
For Moonbucks’ Jimma proposal, maintaining existing trees and establishing new vegetation could involve different carbon questions. Specialists must examine the baseline and additionality, meaning what changes because the project proceeds. They must also assess measurement and the risk that stored carbon is lost. CCC’s MRV and additionality article introduces those tests.
Until that work is complete, Moonbucks should not budget an assumed Scope 3 reduction or credit-sale receipt. Direct emissions reductions remain the priority.
5. Build a financial case that survives weaker assumptions
Moonbucks’ finance team would now build a multi-year budget. UNEP’s State of Finance for Nature 2023 compares current finance with the investment needed to meet climate, biodiversity and land-restoration goals.4 The company would cost its proposed activities, farmer participation and ongoing monitoring. Verification, where required, is a separate expense. Maintenance and responsibility for replacing failed plantings must remain visible after the initial establishment budget ends.
Operational benefits need equally careful treatment. If fewer rejected lots reduce emergency purchasing, count that saving once. Do not add “supply resilience” as another financial benefit when it represents the same avoided cost.
Moonbucks should compare a base case with slower benefits, higher implementation costs and no carbon revenue. It should also distinguish production outcomes from quality and shipment outcomes. A single good harvest would not prove that the landscape intervention caused better delivery performance.
A project can remain worth funding even when its carbon case needs more work. That decision must rest on the operational evidence and the company’s objectives, without unsupported environmental claims.
6. Fund a pilot with a clear expansion decision
Moonbucks’ first approval would fund a bounded pilot, rather than commit the entire sourcing program. Before spending, Moonbucks would agree on participating farms, responsibilities and the evidence needed at review.
Its scorecard could track farmer participation, implementation costs and plant survival, alongside accepted coffee volumes and lot-quality results. Carbon measurements would follow the selected method. Farm-level traceability must connect the intervention to the actual sourcing relationship.
Suppose Moonbucks’ review later finds that storage changes explain most quality improvements, while the land measures need longer observation. Those findings would shape the next decision: expand the proven component, adjust the landscape work or pause further spending. They would not justify crediting all improvements to tree planting.
This gives nature-based carbon investments a practical place in a multi-year strategy. Funding increases as the evidence supports it, and the project can change direction before a larger commitment.
Discuss a sourcing opportunity with CCC
Carbon Credit Capital’s nature-based supply-chain investment service uses its Dual-Value Model to examine supply-chain economics alongside potential sustainability outcomes.
Schedule a consultation to discuss your sourcing exposure and the questions to resolve before allocating capital.
Sources
- Intergovernmental Panel on Climate Change (IPCC), Climate Change 2022: Mitigation of Climate Change, Chapter 7, Agriculture, Forestry and Other Land Uses, section 7.4.3.3 (Agroforestry).
- World Business Council for Sustainable Development (WBCSD), Nature-based Solutions Blueprint, 5 June 2024.
- Science Based Targets initiative (SBTi), Forest, Land and Agriculture Science-Based Target-Setting Guidance, version 1.2, March 2026, section 3.1.4, pp. 37–38.
- United Nations Environment Programme (UNEP), State of Finance for Nature 2023, 2023.
A plastic credit funds the collection of plastic waste in places where no formal system exists to collect it. Each credit represents a measured, independently audited quantity of plastic taken out of the environment or returned to use, tracked on a public registry.
