CEG · 10-Q · 2026Q2 · Full report

Nuclear PTC Government Assistance

Constellation Energy Corp · 2026-08-06 · Importance 17 · Surprise 24

Beginning in 2024, Constellation’s nuclear units became eligible for production tax credits (PTCs) under the Inflation Reduction Act through 2032, but the company recorded no material nuclear PTC benefit for the three or six months ended June 30, 2026 because estimated gross receipts exceeded the phase-out thresholds for most units. State-sponsored emissions-free generation programs require Constellation to refund or pass through PTC benefits; related estimated payables were approximately $1,190 million at December 31, 2025, with additional amounts recognized at June 30, 2026. Constellation refunded or offset approximately $[amount not disclosed] million of 2024-related compensation during the first six months of 2026 and expects generally to remit future refunds in the year after filing the related tax return.

Key facts

As of December 31, 2025, we have recognized approximately $1,190 million of estimated payables associated with programs requiring refunds or pass through of the nuclear PTC. source
DOE issued a guarantee in November 2025 for up to $1.0 billion for an unsecured loan from the Federal Financing Bank to support the restart of the Crane Clean Energy Center; the loan matures November 2055 and interest rates on the loan are fixed upon each advance at a spread of 0.375% above U.S. Treasuries of comparable maturity; there have been no borrowings on this loan as of the date of this filing. source
We became eligible for a nuclear PTC beginning in 2024 that extends through 2032. source
Included in net cash provided by operating activities for the six months ended June 30, 2026, are refunds to state programs associated with nuclear PTCs. source
For the three and six months ended June 30, 2026 and 2025, we did not record a material nuclear PTC benefit as the estimate of full year gross receipts exceeded the phase-out for annual gross receipts per MWh for most units. source