This report was co-authored by Jason Edmonds, Director of Policy.
Reliable energy has been the engine of American progress. But as the country has become more prosperous, technologically advanced, and populous, energy demand has gone from a concern to a national priority. Few states feel these pressures more than Tennessee. Since 2010, Tennessee’s population has grown by 16 percent, from 6.3 million to 7.3 million people. By 2040, the state’s population could be eight million, according to the University of Tennessee.
As the population grows, so does the state’s economy. According to a recent Tennessee Department of Labor and Workforce Development report, economic growth has remained healthy in recent years, and the authors project that by 2032, manufacturing jobs will be the second largest sector in total jobs added. As it happens, this is the very sector that demands the most electricity and energy. Tennessee must generate more power to continue its encouraging economic trajectory.
Fortunately, technology can meet all these energy needs if policy frameworks permit. Progress in advanced nuclear energy generation, particularly small modular reactors (SMRs), is among the most promising approaches. The deployment of SMRs is not merely about increasing supply; it represents a strategic solution to modern energy challenges. SMRs provide around-the-clock power, a critical necessity in an age of intermittent renewables and volatile fuel markets. Their factory-built, modular design promises more predictable deployment schedules and cost control not seen in previous nuclear projects. Crucially, SMRs are the only scalable, dispatchable, zero-carbon resource capable of providing the continuous power demanded by artificial intelligence (AI) data centers and advanced manufacturing, securing their competitive economic advantage. Despite the promise of SMRs, challenges remain: specifically, waste disposal logistics, high upfront capital costs, and public skepticism inherited from decades of large-reactor projects.
