Studsvik AB has submitted its application for state support to Sweden’s Ministry of Finance to develop up to 1,400 MWe of new small modular reactor (SMR) capacity. This represents Sweden’s first privately led, gigawatt-scale SMR initiative under Sweden’s financing framework.
The submission represents a pivotal transition from policy planning to industrial execution within the Nordic energy sector. The application is built around Studsvik’s ReFirm programme (which incorporated SMR developer Kärnfull Next earlier this year). Studsvik’s acquisition of Kärnfull Next added dedicated project development capability to Studsvik’s established technical platform.
The ReFirm programme focuses on proven light-water reactor (LWR) technology to minimise deployment risks. Studsvik chose this technology route to support a more predictable path through licensing, permitting and project execution, based on technology and regulatory experience with a long international track record. Studsvik is working from a project plan under which the first reactor unit within ReFirm could be commissioned during the second half of the 2030s, subject to the necessary decisions, permits and commercial conditions.
The programme prioritises regional deployment in electricity price zone SE3 (Southern Sweden), specifically targeting parallel site evaluations in Nyköping and Valdemarsvik. According to the Ministry of Finance, the application for Nyköping was for 2-4 light-water SMRs with a total capacity of approximately 600-1,400 MWe. The Valdemarsvik project application is for 4-6 SMRs with total output of 1,200-1,600 MWe. Studsvik is expected to decide later which of the two projects will proceed.
SMR development involves high capital risks, making state financial underwriting crucial for project bankability. Studsvik intends to form a dedicated consortium combining reactor technology vendors and private equity investors. The framework allows Studsvik to explore structure options where the Swedish state takes a direct equity stake in a Special Purpose Vehicle (SPV) to co-manage the project.
Sweden’s new legal and policy framework was initiated in June 2023 when the target shifted from “100% renewable” to “100% fossil-free” electricity. The following November, a national roadmap was announced to build up to 10 new large-scale equivalent reactors by 2045. In August 2025 the State Aid Act launched a SEK220bn ($21bn) financing facility underwriting around 5,000 MWe.
Applications for state aid have already been made by Videberg Kraft AB, a project company owned by Vattenfall AB and backed by a series of industrial firms via the Industrikraft i Sverige AB, and by Blykalla. Vattenfall is looking to either five GE Vernova Hitachi BWRX-300 reactors or three Rolls-Royce SMRs to provide about 1,500 MW capacity at the Ringhals NPP site. Blykalla is seeking support for its planned power plant in Norrsundet, Gävle, in east central Sweden, comprising six SEALER reactors with a total capacity of up to 330 MWe.
“Sweden needs new nuclear power that can move from ambition to delivery,” said Karl Thedéen, Studsvik President and CEO. “With this application, Studsvik is taking a major step towards privately led nuclear new build at meaningful scale, based on proven reactor technology and anchored in Swedish nuclear competence.”
He added: “New nuclear is moving from policy ambition to industrial execution. Studsvik is applying because we believe Sweden has the competence, the sites, the supply chain and the policy framework required to build again. New nuclear power will be needed both to replace ageing baseload capacity and to support Swedish industrial growth.”
The Finance Ministry said that receiving an application means work can begin on making a decision on providing state support. This includes negotiations between the government and the company on the terms and scope of the support as well as ongoing dialogue with the European Commission to ensure that any support is compatible with the European Union’s state aid rules.
