There’s no question about the worldwide swell of interest in SMRs, both in the private sector and among governments. According to the latest OECD Nuclear Energy Agency’s (NEA’s) Small Modular Reactor (SMR) dashboard, there are now 127 different SMR designs under development globally.
Many of these SMR designs are far beyond the conceptual phase with at least seven either beginning or completing on-site construction. Of these seven, two are in China (ACP100 and HTR-PM), and two are in Russia (KLT-40S and BREST-OD-300). There is also one research reactor in Japan (HTTR) and another one in Argentina (CAREM), as well as one non-nuclear demonstration reactor in the United States (Hermes). Beyond this existing geographical diversity, additional construction permits have also been issued for several other reactor types.
Meanwhile, the NEA notes that a further 22 designs have been selected by site owners for deployment across 27 different sites. Highlights include the GE Vernova Nuclear Energy BWRX-300 which has been selected for deployment at OPG’s Darlington site in Canada, but also with SaskPower in Saskatchewan and by American Electric Power for a project in Indiana, both in the US, as well as in Poland for an Orlen Synthos Green Energy project.
Three designs have even fully financed their first-of-a-kind (FOAK) reactors and are apparently making progress on financing fleet deployment. Indeed, private investment is surging, with an estimated $5.4bn of capital now flowing from venture and corporate sources.
The United States leads in funds raised, although some European initiatives are also gaining traction. In one of the more striking developments, some of the world’s biggest global corporations are also backing SMR technology. Digital giants such as Google, Amazon, Meta and industrial outfits like Dow Chemical are bolstering a breaking wave of commercial opportunity as they look to meet their soaring energy needs while simultaneously limiting the environmental impact of their operations.
However, despite the remarkable growth and technical diversity within the SMR sector, potential constraints remain, not least of which is the variation in fuel forms seen across the multitude of designs. High-assay low-enriched uranium (HALEU) fuel is one particular bottleneck for many SMR designs but is not the only one. Indeed, although standard uranium oxide ceramics are the most common fuel being used in SMR designs, many of these reactors still intend to use novel fuel forms such as TRISO. According to the NAO analysis some 47 SMR designs rely on fuel forms that it says are not currently available at commercial scale.
While it is distinctly unlikely, conceivably there is room for 127 different SMR designs. But the first to market advantage will almost certainly fall to those with a supply chain in place, including the fuel needed to energise the final application.
This issue amply illustrates one of the key challenges associated with the large-scale roll-out of SMRs. There’s clearly a huge demand for reliable and clean energy, and not just to support electrification as part of the energy transition. New use cases such as process heating, hydrogen production and new transportation options are all increasingly likely deployments for SMR technologies. However, alongside a market pull, the development of an entire eco-system of industries is also needed for SMRs to truly succeed. The development of FOAK units should certainly not be dismissed as a side show. The difficult question they raise is how can these early deployments be leveraged to create all the supporting infrastructure? That includes functions like the supply of novel fuels. There are certainly important developments underway in this regard, but creating a new industry is a huge undertaking. It is, nonetheless, one that must be achieved. Powering the future takes future fuels too.
