The world seems to be entering a new phase of nuclear energy development, as noted by the International Energy Agency (The Path to a New Era for Nuclear Energy, Jan. 2025) and as confirmed by the choices of many governments. Europe is also active on this front, in the context of decarbonization and competitiveness efforts.

The IEA in its recent report states verbatim that “nuclear now stands on the cusp of a new era, owing to a combination of government policies, technological innovation and private sector interest”.

An epochal change had already been noted in 2023, when for the first time the Dubai’s Conference of the Parties on Climate Change (COP28) included nuclear energy in the First Global Stocktake (the document that evaluates the progress towards achieving the objectives of the 2015 Paris Agreement), together with renewables and fossil fuels with capture, use and storage of CO₂ (CCUS).

However, in this scenario the Western world, which in recent decades has led the development and deployment of nuclear technology, is now a follower: of the 52 reactors whose construction has begun around the world since 2017, 25 are of Chinese design and 23 of Russian design.

Furthermore, both in Europe and in the USA the most recent experiences of building large new generation nuclear power plants have suffered significant additional costs and delays: Olkiluoto (FIN), Flamanville (FRA), Vogtle and V.C. Summer (USA). At the same time, the same western reactor technology has been deployed in China (Sanmen and Taishan) without severe delays and extra-costs.

Nowadays, a new generation of nuclear reactors , following a different paradigm from the traditional one: the Small Modular Reactors. Since the 1950s, nuclear power plants have always respected the law of “economies of scale”, moving over the decades from units of 100-300 MWe to 1400-1600 MWe. Over the last 10-15 years, however, several vendors and start-ups are proposing smaller nuclear units, in the 50-400 MWe range, aiming at an international market capable of triggering a law of “series economies”.

The main features of the SMR technology refer to:

• modularisation, related both to the smaller size and layout of the reactor (which allow more easily the construction of multiple units on the same site, thus enhancing the learning-by-doing) and to the design and construction of the power plant in modules, produced in workshops then transported and assembled on-site;
• construction time and overnight costs reduction, with respect to large reactors, due to the smaller size and the modularisation approach;
• cogeneration, i.e. the co-production of electricity and heat to provide also hydrogen, district heating, desalinated water, biofuel; furthermore, the very high load factors (>90%) offered by nuclear power generation is attracting the big-tech, looking for suitable energy sources to feed data centres for AI;
• financial risk reduction, thanks to the smaller budget to be invested for the construction of an SMR compared to a large nuclear power plant, and the possibility of activating a self-financing process during the construction of multiple SMR units;
• supply chain performance, more easily increased because of the reduction of size of components and systems, as well as the workshop construction of modules;
• enhanced safety, often achieved through the adoption of passive safety systems, therefore without the need for external supply of electricity of human intervention, usually for a period of between 3 and 7 days after the accident.

The International Atomic Energy Agency (IAEA) is counting today in the World more than 80 new projects among small (SMR), advanced (AMR) or even micro (MMR) modular reactors, based on different technologies: water-, liquid metal- or molten salt-cooled reactors.

Some SMR reactors have been already deployed in Russia (on barge) and China (on land), while others are under construction: the Russian RITM-200, a land version of the reactor already in operation on the icebreaker fleet, the Chinese ACP100, the US BWRX-300 in Canada. Several SMRs/AMRs are planned for deployment in the coming years: the UK Rolls-Royce SMR, the French Nuward, the AMR from Newcleo, the US SMR Nuscale and AMRs Natrium (developed by TerraPower funded by Bill Gates), Kairos Power and X-energy.

In 2024, the European Commission launched a new initiative to support the development and deployment of the first SMR in Europe early in the next decade: the EU SMR Industrial Alliance. Nine reactor projects have already been identified, including some of the ones mentioned above. More than 300 companies and organisations belong to the alliance.

Bruxelles, 29 May2024: kick-off meeting of the European Industrial Alliance on SMRs

However, there are at least 12 EU countries interested in planning the construction of new nuclear power plants, being large or small, advanced or micro units: from France to Romania, from Sweden to Bulgaria, with also Italy and Germany in the wake of re-considering the nuclear option.

Paesi europei interessati all’energia nucleare

Although SMRs represent a new opportunity, critical aspects remain: the creation of a real European market, capable of activating mass production; the development of an integrated and multinational nuclear supply chain, capable of supplying the modules effectively, respecting time and costs; finally, a shared licensing process among nations, which does not oblige each country to long repetitions of analysis for reactor safety evaluation and SMR construction approval.

These and other aspects will be at the centre of discussion in the upcoming vertical conference “Emerging decarbonisation technologies: Small Modular Reactors”, set for 15^th May at Net Zero Milan Expo Summit.