The report concludes that renewed momentum behind nuclear—the world’s second-largest source of carbon-free energy, following hydropower—is promising, according to an agency news release. However, the investment needed for this level of nuclear growth is higher than public financing will support, so private industry support is crucial.
Quotable: In a foreword to the 100-page report, IEA executive director Fatih Birol wrote, “In 2025, nuclear is set to produce more electricity than ever before. . . . Interest in nuclear energy today is at its highest levels since the oil crises of the 1970s, with support for expanding the use of nuclear power now in place in more than 40 countries.”
IEA staff spoke with leading small modular reactors companies to understand the current status of development and how to accelerate deployment.
“If that happens, SMRs could account for 10 percent of all nuclear capacity globally by 2040. As an innovation leader, the United States alone could account for 20 percent of the growth of SMRs,” Birol added. “The positive news for the nuclear industry is that for the first time in a long time, more and more parts of the private sector now see nuclear as investible thanks to the promise of SMRs.”
By the numbers: Here are some statistics from the report.
- There world’s nuclear fleet includes nearly 420 reactors, and 63 new reactors are under construction—which would add more than 70 GW of capacity.
- Annual investment in nuclear has increased by almost 50 percent since 2020 and now exceeds $60 billion.
- The rapid growth scenario for SMRs would require an increase in investment from less than $5 billion today to $25 billion by the end of the decade.
- Half of the projects currently under construction are in China, which is on course to overtake both the U.S. and European Union in installed nuclear power by 2030.
- More than 99 percent of uranium enrichment capacity is concentrated in four current suppliers, with Russia accounting for 40 percent of global enrichment capacity.
