The Nuclear Regulatory Commission has approved a construction permit for TerraPower, a nuclear energy company backed by Microsoft co-founder Bill Gates, marking the first such permit issued by the federal agency in nearly a decade.

The approval represents a significant milestone for the nuclear energy sector, which has faced regulatory hurdles and lengthy approval processes for new reactor construction in the United States. The last construction permit for a new nuclear reactor was granted by the NRC in the mid-2010s.

TerraPower, founded in 2008, focuses on developing advanced nuclear reactor technologies. The company has been working on innovative reactor designs aimed at improving safety and efficiency compared to traditional nuclear power plants.

The construction permit allows TerraPower to begin building its reactor facility, though the company will still need to obtain an operating license from the NRC before the reactor can begin generating power. This two-step regulatory process is standard for nuclear facility development in the United States.

The approval comes as the Biden administration and Congress have shown increased support for nuclear energy as part of efforts to reduce carbon emissions and achieve climate goals. Nuclear power generates electricity without direct carbon emissions, making it attractive to policymakers seeking clean energy alternatives.