HB 299-MICROREACTORS  10:32:41 AM CHAIR SCHRAGE announced the final order of business would be HOUSE BILL NO. 299, "An Act relating to microreactors." CHAIR SCHRAGE opened public testimony on HB 299. 10:33:09 AM PAUL ROEGE, Executive Director, The Advanced Nuclear and Production Experts Group (ANPEG), shared that ANPEG is a public and private collaboration affiliated with the Massachusetts Institute of Technology. He stated that the charter exists to enable a new generation of abundant resilient energy for remote communities, value-added industries, and state and national security. He argued that the proposed legislation could move Alaska into a leadership role for next-generation energy. He stated that ANPEG is ready to work through the Alaska Center for Energy and Power to help communities understand opportunities microreactors offer. 10:34:27 AM MARY WOOLLEN, Director of Stakeholder Engagement, Ultra Safe Nuclear Corporation (USNC), stated that USNC has manufactured a micro modular reactor (MMR) specifically designed for remote applications which are difficult to support using conventional or renewable power. She expressed the opinion that this reactor would be well suited for an application in Alaska, and, because MMR is an advanced reactor, it would [align] with the proposed legislation. She expressed excitement that USNC and Copper Valley Electric Associate (CVEA) are jointly conducting a study to determine the technical feasibility, social acceptance, location cost, and operating specifics of deploying a microreactor in the Copper Valley service area. In the feasibility study a local Alaskan engineering firm has been consulted to ensure there is insight into the particular challenges in Alaska. She stated that, before entering into the formal permitting process, USNC and CVEA are concurrently engaging Alaskans by explaining the technology to them and requesting their input. MS. WOOLLEN stated that technical analysis is combined with public engagement to begin the process of earning a "social license," but to build and operate the reactor, a regulatory license would be required. If the results of the feasibility study are favorable and a financial agreement is found with CVEA, USNC will pursue a regulatory license with the U.S. Nuclear Regulatory Commission (NRC). She cautioned that the process is long, expensive, and rigorous, but it would ensure the nuclear reactor system is safe and well-designed before it would be sited. She explained that the current law in Alaska requires legislative preapproval for siting a reactor, and this creates a risk for any company considering the deployment of an advanced reactor in the state. If any nuclear reactor is to be sited in Alaska, she reiterated that it would require a regulatory license from the NRC and support from local communities. She said that [the passage of] HB 299 would serve to open the door for possibilities, but it would not ensure success. In order for success, UNSC is committed to working with Alaskans to find solutions that would support a zero-carbon energy system which is safe, economical, sustainable, and embraced by the local communities. 10:37:56 AM RICHARD THEILMANN, representing self, said that he is a "huge advocate" for having a microreactor in Alaska. Referencing air pollution problems, he stated that microreactors would produce heat and electricity "at almost zero risk." He added that there would be no refueling for 10 or 20 years, and then the manufacturer would take "the material back out." He said, for example, the coal-fired Aurora Plant in Fairbanks, which has a built-in hot water tapping network for the local building, could be eliminated, reducing the particulates in the air. He stated if Eielson Air Force Base were to acquire [a microreactor] another coal plant would be "out of the mix." He argued that the idea of replacing one coal plant with a microreactor puts Alaska "on the map" by providing heat and eliminating air pollution. 10:40:08 AM TRAVIS MILLION, CEO, Copper Valley Electric Association, stated, as testimony has indicated, CVEA is considering a feasibility study to potentially bring an advanced micronuclear reactor to the area. He stated that over the last couple of decades CVEA has been searching for a way to resolve wintertime energy needs. He said the community has nearly 100 percent hydropower from May to around the end of October, before "hydro assets freeze." He described the summertime electricity rate as low, or less than 20 cents a kilowatt hour, but the community is "at the whim of whatever the costs of fossil fuels are in the wintertime." For example, he said that between December and January of this year there was a 44 percent increase of fuel costs. He continued that there is no predictability from month to month, and, unfortunately, those rates are passed on [to the customers]. Currently residents are paying just over 40 cents a kilowatt hour in the Copper River Basin and just a small percentage less in Valdez. To stabilize and reduce energy costs for the winter, he said CVEA has looked at wind, solar, biomass, tidal, and other hydro opportunities, but nothing solves the problem. He indicated that technological advancements with micronuclear reactors could possibly be the solution, and this is why the feasibility study is going forward. He provided that each of Alaska's delegates in Washington D.C. has expressed excitement about this opportunity. He stated that U.S. Senator Lisa Murkowski has been very vocal in support of Alaska having one of the first [microreactor] deployments in the nation. 10:43:01 AM PAMELA MILLER, Executive Director, Alaska Community Action on Toxics (ACAT), testified in opposition to HB 299. She argued that micronuclear reactors are not subject to nuclear reactor siting and permitting regulations in Alaska, which could result in reactors being constructed on lands which have not been designated by the legislature. She offered that ACAT holds the belief that nuclear reactors are a serious health and safety concern and provide a false solution for energy needs and the climate crisis. She expressed the opinion that nuclear power is destructive throughout its life cycle with uranium mining, the process of enrichment, and radioactive waste disposal. She continued that the mining process is done predominately on Indigenous lands, and waste disposal is an untenable problem. She stated that NRC determined Oklo Inc., a manufacturer of micronuclear reactors, has failed to provide sufficient information concerning potential accidents and safety systems. She stated that microreactor vendors are pushing to reduce personnel, such as operators and security officers. She cited a safety report by the Union of Concerned Scientists which determined that leaving microreactors without human guards would be not safe. She argued that none of these reactors have demonstrated they would be safe enough to function without operators. She expressed the opinion that even a small nuclear reactor would contain enough radioactive material to cause problems. She expressed concern that the primary proponents of the proposed legislation are representatives from the nuclear power industry who have a vested interest. She stated that the state is still addressing the radioactive contamination from the experimental nuclear reactor at Fort Greely. She opined that opening the door to nuclear power in Alaska again is unwise and dangerous. 10:45:25 AM CHAIR SCHRAGE closed public testimony on HB 299. [HB 299 was held over.]