El Salvador: Looking to nuclear
A small Central American nation considers thorium for civilian reactors
In 2022, El Salvador’s leadership decided to expand its modest, mostly hydro- and geothermal-based electricity system, which is supported by expensive imported natural gas and diesel generation. They chose to use advanced nuclear reactors, preferably fueled by thorium-based fuels, to power their civilian efforts. The choice of thorium was made to inform the world that the reactor program was for civilian purposes only, and so they chose a fuel that was plentiful, easy to source and work with, and not a proliferation risk.
Daniel Álvarez (left), El Salvador’s director general of Energy, Hydrocarbons, and Mines, and John Kutsch, executive director of the Thorium Energy Alliance, signed a memorandum of understanding to advance nuclear deployment planning in 2023. (Photo: Thorium Energy Alliance)
In 2023, El Salvador generated about 1.1 megawatt-hours of electricity for the whole country, which has a population of roughly 6.3 million—a fraction of what most developed countries use per capita. The country has maxed out its renewable penetration at over 80 percent for hydroelectric and geothermal generation combined. The leadership of the country knew that they did not want to expand power availability by increasing reliance on imported fossil fuels. They knew the only path to energy prosperity was to pursue a new generation of nuclear power with the goal of supplying abundant energy to the local population, existing and new industries, and even neighboring Central American countries.
Nayib Bukele, president of El Salvador, has efficiently and quickly reformed the nation in many areas. The same can be said of the country’s goal of deploying thorium-fueled advanced Gen IV reactors to supply the growing energy needs and big ambitions of El Salvador and the surrounding region. Abundant and affordable energy would bring much-needed economic opportunities and prosperity to the nation and the region. But deploying a new type of advanced nuclear reactor is no walk in the park—especially for a newcomer nuclear country like El Salvador.
The Salvadoran government has already partnered with United Nations nuclear watchdog the International Atomic Energy Agency to help it create its legislative, regulatory, and policy framework for nuclear deployment and operation. In some ways, starting with a clean slate helps, as there are no legacy rules, path dependencies, or organizational friction to impede the reform. In other ways, having only a little prior knowledge can be an obstacle in itself. Luckily, this expertise is available elsewhere, such as through the Thorium Energy Alliance, which helped El Salvador get its nuclear program started, and through a recently signed memorandum of cooperation with Argentina, one of the few South American countries that generates nuclear power.
In late-breaking news, U.S. and Salvadoran officials signed an MOU on February 3 agreeing to cooperate on strategic civil nuclear development. The partnership aims to enhance energy security by “promoting the highest standards of nuclear safety, security, and nonproliferation,” according to a U.S. State Department news release.
El Salvador is working on identifying sites for deployment and defining what the environmental impact statement process will be for both research reactors and commercial systems. The policies and laws needed to deploy nuclear power already have been adopted and put in place. In late 2024, El Salvador created the National Agency for the Implementation of the Nuclear Energy Program in El Salvador (OIPEN).
Progress toward commercial nuclear power
Argentine foreign minister Diana Mondino (left) and Salvadoran vice chancellor Adriana Mira during the signing of a cooperation agreement on the uses of nuclear energy in 2024. (Photo: Newsweek)
At a meeting with IAEA director general Rafael Mariano Grossi, Salvadoran officials deposited an instrument of acceptance of the Agreement on the Privileges and Immunities of the IAEA and instruments of accession to the Convention on Nuclear Safety and the Vienna Convention on Civil Liability for Nuclear Damage. (Photo: D. Calma/IAEA)
The nuclear team in El Salvador is busy evaluating technology vendors around the world—from Europe, South Korea, Argentina, and the United States. At the same time, in a meeting with the country’s Commission on Technology, Tourism, and Investment, Daniel Álvarez, head of the General Directorate of Energy, Hydrocarbons, and Mines, emphasized the importance of completing El Salvador’s first research reactor for power generation before deciding on a timeline for full-power energy production.
“Once we have the research reactor, we can answer the question of when we might have a reactor for energy generation. It could be done in parallel,” Álvarez said. The goal is to have the research reactor up and running by 2030 and train 400 specialists within seven years. There is a search for talent in country—and around the world—in order to quickly staff up and train a cadre of technicians, operators, and others who will be needed for a multigigawatt build-out.
El Salvador’s goals go beyond just providing reliable, abundant electricity. Advanced Gen IV reactors can provide high-quality process heat and steam for many industrial processes. This will provide the opportunity to develop scalable systems that can also balance intermittent renewables with high-temperature energy storage systems like a molten-salt battery system. High temperatures available via these sources allow for the use of advanced manufacturing and chemical synthesis, including more efficient steam electrolyzers and fuel synthesis to make affordable carbon-neutral petrochemicals such as jet fuel, diesel, and ammonia-based fertilizers. It even allows for the production of high-quality cement. The market for such fuels and products would be quasi-infinite.
Other industries of interest are, of course, data centers, as well as becoming a Central American center for nuclear medicine. All of these uses for this domestic energy would increase national security; shield the country from large swings in the fossil fuel markets; and provide stable, reliable, predictable availability of large amounts of energy for innovative industries to count on for their new investments in El Salvador and its people.
One of the big opportunities to the country anticipates is attracting back many of the smart, educated professionals who left El Salvador to pursue careers abroad. A new policy of energy abundance will create plenty of new, interesting economic opportunities, which can create a positive feedback loop. Returning professionals will bring valuable skills and experience back to El Salvador, further accelerating the country’s development and attracting even more expats as well as new industries with great job opportunities.
Hope for a better future
Can El Salvador, a country with no prior nuclear power institutions or infrastructure, pull off this energy deployment? A lot depends on the continued strong political commitment to overcome challenges and obstacles—social, political, and technical. The progress so far has been rapid, and the steps taken have been the correct ones. It is a big gamble, and if successful, there will be a very big reward. With these sorts of investments in advanced nuclear, thorium-based civilian fuels, and a vision for a future of abundance and prosperity for its population, El Salvador can bring back talent, create opportunities for new industries, and lay the groundwork to become the “Dubai of Central America.”
John Kutsch is executive director of the Thorium Energy Alliance.
Rauli Partanen is director of Finnish operations at DeepGEO and an independent writer on energy and its role in society and the environment.