Shares of NuScale Power (NYSE: SMR) surged another 33.9% in June after a stunning run-up in May, according to data provided by S&P Global Market Intelligence. The nuclear energy stock is now up a jaw-dropping 268% so far in 2024, as of the time of this writing.

Nuclear power accounts for nearly 20% of the total electricity generated in the U.S. and is the nation's largest source of clean energy. That largely explains why nuclear energy is a key component of the U.S. government's plans to meet its ambitious climate goals. The government is taking several steps to boost domestic production of uranium -- a key nuclear fuel -- and jump-start the nuclear energy industry. One of its latest moves, in particular, could benefit NuScale Power.

In mid-June, the Department of Energy (DOE) issued a notice of intent for $900 million to fund small modular reactor (SMR) technologies. Because of their small, modular designs, SMRs can be used to build nuclear power plants in smaller spaces that can deliver power to several sectors and industries, and can also be installed into existing grids to provide low-carbon power. SMRs also require lower fuel and are relatively safer than traditional nuclear reactors.

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Source Fool.com