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States push renewable permitting reforms and nuclear restart as pipeline rules spark controversy

Council of State Governments Midwest presentation (CSG Midwest) · December 12, 2024
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Summary

Tamaka said Midwestern states are pursuing renewable permitting reforms and nuclear restart plans; Kansas restricted eminent domain for solar, South Dakota’s CO2 pipeline law prompted controversy and Michigan won a $1.5 billion federal loan guarantee to restart the Palisades nuclear plant.

Laura Tamaka told attendees that energy policy is a major focus in several Midwestern states, highlighting permitting reform, eminent domain limits and a notable nuclear restart financing decision.

Tamaka said Minnesota implemented significant permitting reforms for renewable projects and that Kansas passed a law restricting the use of eminent domain to build solar farms (the restriction was already in place for wind). She described South Dakota’s carbon‑dioxide pipeline regulation as "extremely controversial," adding that it preempts local regulation and sets standards for land access and payments to landowners and that the measure was politically consequential for some legislators.

On nuclear energy, Tamaka called attention to a September decision in which Michigan received a $1.5 billion federal loan guarantee to support restoration and restart of the Palisades nuclear plant — she described that financing as the first U.S. recommissioning of a retired nuclear plant. Tamaka also said several states are studying or moving toward rules to enable small modular reactors.

Why it matters: Permitting and eminent‑domain rules affect where and how large renewable projects are sited; pipeline preemption and standards reshape local landowner rights and can lead to political backlash. The Michigan loan guarantee marks a rare example of federal support for nuclear plant recommissioning.

Tamaka urged participants to examine CSG’s slides for state‑level permitting details and implementation notes.