NRC Approves 20-Year License Extension for Diablo Canyon Nuclear Plant

The U.S. Nuclear Regulatory Commission (NRC) has officially granted a 20-year operating license extension for the Diablo Canyon nuclear power plant's two reactors. This decision authorizes Unit 1 to remain operational until 2044 and Unit 2 until 2045, effectively reversing previous plans for early decommissioning. California Governor Gavin Newsom advocated for the extension, citing its critical role in maintaining grid reliability and supporting the state's transition to carbon-free energy. The approval marks a significant regulatory milestone for PG&E (PCG), the plant's operator, by securing long-term generation capacity amid rising electricity demand. While the policy shift to keep the plant open was previously signaled, the formal NRC authorization removes a major regulatory hurdle for the utility. Market analysts view this development as a positive catalyst for nuclear energy stocks and specialized ETFs such as URA and NLR.