In a statement released on Wednesday, the ministry said there were "no actions in violation of the country's environmental protection laws and regulations found".
According to the statement, CNEC plans to issue 525 million shares of?renminbi stock on the A-share market.
Getting approval from the environmental protection authorities is a necessary step before a listing.
CNEC did not say when the IPO application will be formally submitted.
A company spokesperson said that the company had been preparing for its listing in 2010, but that the process was delayed by the Fukushima nuclear accident in Japan in March of that year.
CNEC said in the documents filed to the environmental protection authorities that the funds raised via the IPO will be used to buy construction equipment for nuclear power projects and affordable housing projects.
CNEC is 79.2 percent owned by China Nuclear Engineering Group Co.
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