Many utilities and power companies own nuclear power plants as part of their generation fleets. Nuclear generating plants operate under the jurisdiction of the Nuclear Regulatory Commission (NRC). The NRC has responsibility for regulating nuclear power reactors, prescribing and monitoring safeguards over nuclear material, and licensing the construction and operation of nuclear plants. Ownership of nuclear plants and the related regulatory oversight results in specific accounting considerations, including accounting for spent nuclear fuel, plant decommissioning, and related investments. In addition, accounting for the procurement of nuclear fuel, and for the fuel itself, is different from accounting for other types of fuels used for generation, such as natural gas.

This chapter addresses certain accounting issues for owners and operators of nuclear power plants. See UP 12 for general plant accounting issues, PPE 3 for information on accounting for asset retirement obligations, and UP 15 for joint plant accounting.