Small Nuclear Reactors Are Gaining Traction Around the Globe
Felicity Bradstock

As more countries worldwide begin to develop innovative nuclear technology and a ‘new nuclear era’ takes hold, an increasing number of governments are supporting small modular reactor (SMR) technology. Companies in regions of the world from North America to Asia, Europe and Africa are deploying SMR technology to support governments in their efforts to decarbonise and undergo a green transition. In addition to investment in new conventional reactors, we can expect to see a plethora of SMR projects worldwide in the coming decades. 

SMRs are advanced nuclear reactors that have a power capacity of up to 300 MW(e) per unit, equivalent to around one-third the generating capacity of a conventional nuclear reactor and enough to power more than 200,000 households. SMRs are much smaller than traditional reactors and are modular, making it simpler for them to be assembled in factories and transported to site. Because of their smaller size, it is possible to install SMRs on sites that are not suitable for bigger reactors. They are also significantly cheaper and faster to build than conventional reactors and can be constructed incrementally to meet the growing energy demand of a site. 

One company trying to boost its global SMR business is GE Vernova, the spinoff of General Electric’s former energy business. One of the biggest constraints to developing new nuclear projects is financing. However, SMRs are much cheaper to develop than conventional reactors. GE Vernova’s BWRX-300 is simpler and has fewer components and less concrete and steel than a traditional nuclear plant, meaning it costs between $2 billion to $4 billion to build compared to $10 billion to $15 billion for a large nuclear facility. 

Nicole Holmes, the chief commercial officer at GE Vernova’s nuclear unit GE Hitachi, said, “Affordability has been the real challenge for nuclear through the many years.” She added, “We’re beginning to crack that at this point.” In addition, “You could put four of these on a site and get the same output as you would from a single large reactor,” Holmes stated. 

GE Vernova is one of many U.S.-based firms to support the rapid development of North America’s SMR sector. Demand for SMRs in the U.S. has also increased in line with the rise in energy demand from tech companies looking to power the giant data centres required for advanced technologies such as artificial intelligence. Now, several other parts of the world are following suit with their own SMR plans. 

The U.S. is in talks with several Southeast Asian countries about the deployment of SMR technology. American officials have discussed the technology with Philippine, Singaporean, and Thai government representatives in recent months. The region, which continues to rely heavily on fossil fuels such as coal, for its power, is looking for innovative ways to transition to green on a large scale, and nuclear power could be the answer. The Philippines aims to develop its first nuclear power plant by 2032, while Vietnam and Indonesia are both considering adopting the technology.

Compared to conventional nuclear plants, which can take decades to develop, SMRs can be built in factories and delivered to site to be assembled, saving time and money. Several U.S. companies are developing the technology and hope to grow their markets beyond North America in the coming years. 

In Europe, the European Industrial Alliance on SMRs announced it had identified nine SMR projects to support as its first batch of project working groups (PWGs) in October. The alliance hopes to deploy its first SMRs in the EU by the early 2030s. The alliance, a collaborative public-private platform launched by the European Commission in February, will use SMR technology to respond to the growing demand for clean electricity and high quantities of hydrogen in the region. 

Meanwhile, in South Africa, in November, the Minister of Energy and Electricity Kgosientsho Ramokgopa stated that nuclear energy would be a pivotal part of the country’s energy mix and that activity was underway to re-invigorate South Africa’s nuclear capacities. In contrast to plans to develop more conventional reactors, Ramokgopa said, “What we have accepted is that SMRs are the future”. 

Parts of Latin America are also discussing the potential for SMR technology. The region is not typically known for its nuclear power production, but the smaller and less expensive version of the nuclear reactor could present it with an opportunity to develop the clean energy source. Argentina, Mexico, and Brazil already have conventional plants and other countries across the region, such as El Salvador, Bolivia and Peru, are looking to develop their nuclear energy industries to support a green transition.

While SMR technology is still in the nascent stage of development, we can expect commercial deployment of the equipment to grow significantly in the coming decades as more countries around the globe look to invest in more affordable, small-scale nuclear projects to support a green transition.  

By Felicity Bradstock for Oilprice.com

 

 

Felicity Bradstock is a freelance writer specialising in Energy and Finance. She has a Master’s in International Development from the University of Birmingham, UK.

 

 

oilprice.com