Arizona Public Service has informed the Nuclear Regulatory Commission of its intention to renew the operating licenses of the Palo Verde nuclear power plant's three reactors for a second 20-year term, which could extend operations at the facility into the 2060s.

According to the announcement, APS won't submit the subsequent license renewal application to the NRC until late 2027. The renewal would allow Unit 1 to operate through 2065, Unit 2 through 2066, and Unit 3 through 2067.

"Palo Verde Generating Station is essential to our customers, a strong contributor to Arizona's economy and a cornerstone of our energy future," said APS President and CEO Ted Geisler. "Delivering safe, reliable, and affordable energy in the desert Southwest for decades, Palo Verde provides the foundation for the around-the-clock service our customers count on every day and especially during the extreme heat of Arizona summers. Our notice to the NRC is another step in ensuring Arizonans and the region continue to benefit from this critical resource for many more years to come."

Background: An SLR authorizes a nuclear plant to operate for an additional 20 years beyond the 60 years that a 40-year license and 20-year initial license renewal provide, thus extending the life of a power plant to 80 years. According to the NRC, 10 SLR applications (representing 20 reactors) have been approved, and another three (representing five reactors) are currently under review. In addition, the NRC has received 23 notices of intent to submit future SLR applications.

Most recently, the NRC approved SLRs for Dresden nuclear power plant in Illinois. Constellation submitted an SLR application for the two reactors in April 2024, with the NRC approving the renewal in December 2025-a 20-month turnaround that was the fastest yet.

Once APS files its application, the NRC will evaluate the plant's strategy to maintain Palo Verde and evaluate its plan for environmental protection, and its ability to operate safely. The NRC would hold public meetings to share more information and seek public input.

Arizona and nuclear power: Palo Verde, whose three reactors have a combined capacity of about 4,000 MWe, is the only nuclear power plant in Arizona. It is also the only nuclear power plant in the world with no access to an aboveground body of water. Instead, it uses recycled wastewater from surrounding communities for cooling.

Arizona officials have expressed strong interest in expanding nuclear energy in the state. The Arizona Corporation Commission, for instance, has been holding a series of workshops to discuss potential new nuclear projects and gauge interest.

APS, meanwhile, joined two other utilities in applying for a $25 million Department of Energy grant to identify sites for a future small modular reactor.