Over 70 GW of new nuclear plants underway worldwide

It is expected to reach a new record.

Global nuclear energy is projected to make a strong comeback this year with more than 70 gigawatts of new capacity under construction worldwide.

According to International Energy Agency (IEA) Executive Director Fatih Birol, this is one of the highest levels in the last 30 years. There are also over 40 countries that have plans to expand nuclear power in their energy systems.

In terms of technology, small modular reactors are something to watch out for given their growth potential. These are smaller-scale plants that are quicker to build at a lower cost.

IEA estimates that with the right support for SMR installations, it could reach 80 GW by 2040, accounting for 10% of overall nuclear capacity globally. However, the success of the technology and speed of adoption will depend on the industry’s ability to bring down costs by 2040 to a similar level to those of large-scale hydropower and offshore wind projects.

Birol also said that “governments and industry must still overcome some significant hurdles on the path to a new era for nuclear energy, starting with delivering new projects on time and on budget – but also in terms of financing and supply chains.”

Rapid nuclear growth necessitates doubling annual investment to $120b by 2030.

“Given the scale of the infrastructure investment required, the rollout of new nuclear projects cannot rely exclusively on public finances. IEA analysis shows that ensuring the predictability of future cash flows is key to bringing down financing costs and attracting private capital to the nuclear sector,” the agency said.

To take advantage of the nuclear power opportunities, governments must be prepared to provide the strategic vision alongside stable regulatory frameworks that will give the private sector confidence to invest, IEA said.