Nuclear Energy Hub with Energy Storage: A Pragmatic Design Approach to Support Scalable Energy Solutions

Abstract

Expanding access to affordable and reliable energy through advanced, scalable solutions has long been a central challenge for the broader energy community. Nuclear energy hubs offer a promising pathway by delivering reliable electricity and high-quality heat to industrial parks. Yet, a significant gap persists: the absence of comprehensive studies that evaluate design and market spaces in a consistent framework. This thesis investigates key economic uncertainties that decision-makers would face in the life cycle context of such nuclear energy hubs, involving system sizing and operation, market feedback, and business-model formulation. Our approach contextualizes the comprehensive goals of decision-makers goals, but maintains consistent settings. To this end, we compile a unique and comprehensive dataset that covers three U.S. electricity markets—ERCOT, PJM, and MISO—as well as the three major energy-intensive industries in the U.S.: refineries, chemicals, and steelmaking. The existing light water reactor (LWR) fleet in the U.S. and various advanced reactor (AR) technologies are examined to provide tailored references for their cross-sector applications. Thermal energy storage (TES) is introduced as a value-adding technology. This thesis then guides decision-makers from the grid level to the plant level through representative four cases categorized by their primary energy carrier: power (electric), heat, and combined heat and power (CHP). In the first use case, despite wind-driven electricity suppression, optimal nuclear capacities remain steady, unlike wind and storage, which are sensitive to projected revenue. The analysis shows base-load nuclear-TES coupling is complementary, increasing optimal nuclear capacity. It also finds load-following nuclear-TES coupling better prevents unmet demand events in both frequency and magnitude. The second and third use cases address practical considerations for LWR and AR in nuclear cogeneration. Flexible heat extraction lowers production costs by 43% on average compared to fixed extraction. Markets with lower price volatility show minimal cost sensitivity, allowing greater flexibility for multiple cogeneration modes. In AR cogeneration, 17-37% of reactor heat can be cost-effectively diverted to higher-value by-products in U.S. markets. The last example extends the framework to AR in industrial park applications. Our trade-off analysis shows greater power sector engagement increases natural gas boiler use. When restricted, grid dependency rises, highlighting the need for coordination with conventional energy sources for economic and energy independence targets. Counterfactual analysis reveals ownership structures significantly impact profitability and energy independence levels. Under end-user ownership, energy self-sufficiency may be limited by reduced electricity sales, while a strong bilateral contract between a nuclear-TES supplier and a process heat plant can align goals. A Carnot battery, using a resistive heater to charge TES, could mitigate grid availability and charge-discharge constraints. Finally, undersized reactor units offer more flexibility in balancing operational and economic trade-offs. This thesis suggests successful implementation depends on a combination of technical, economic, and policy conditions rather than a single factor. The flexible framework introduced supports various nuclear energy hub designs, enhancing understanding of market, technical, and investment factors under which design and operational spaces are most likely to succeed.