Proponents of small modular reactors (SMR) believe that these inventive power plants can expedite the replacement of the UK’s ageing nuclear fleet and contribute to the country’s ambitious nuclear energy goals.

The Trawsfynydd nuclear power station in Snowdonia National Park, Wales, ceased operations more than three decades ago, but local atomic energy advocates have long hoped the site would play a pivotal role in the revival of the industry. 

Chancellor Jeremy Hunt announced the launch of Great British Nuclear, a new organisation that will supervise the UK’s ambitious plans for a new nuclear power station fleet.

A competition to identify the finest of a new generation of mini-reactors constructed using modular manufacturing techniques and eligible for state funding was included in the Budget announcement. 

Proponents of these so-called small modular reactors (SMRs) believe the approach would reduce the construction risks plaguing large nuclear power plants, allowing for significantly shorter construction times and reduced costs.

Depending on the design, a smaller reactor could generate 50 to 500 megawatts of power, compared to Hinkley Point C’s 3.2-megawatt output in Somerset. 

In comparison to conventional nuclear reactors, SMRs have a lower environmental impact and require less land.

Ministers are keen to expedite plans to replace the ageing fleet of nuclear power plants in the United Kingdom, which has shrunk as older plants have been decommissioned. 

By 2028, four out of every five operating facilities will be decommissioned. According to proponents of the technology, SMRs are essential to attaining Britain’s 2050 goal of net-zero emissions and the government’s extremely aggressive 2035 goal of decarbonising the electricity grid. In addition, SMRs would generate new, highly qualified engineering and manufacturing jobs.

Trawsfynydd, which generated electricity from 1965 to 1991, is endorsed by the Welsh government as a site for the new SMRs and is one of the leading candidates to host the first small reactors in Britain. Alan Raymant, chief executive officer of Cwmni Egino, a Welsh government-backed agency established in 2021 to facilitate development at the site, stated, “We view SMRs as the best short-term option to generate and sustain employment.”

He also stated that Trawsfynydd possessed a “supportive community and a skilled workforce.”

On nearby Anglesey, home to a second former nuclear power facility at Wylfa, Virginia Crosbie, a local Conservative representative, is similarly enthusiastic. Crosbie, the co-chair of the industry-backed Nuclear Delivery Group, argued that the construction of SMRs would “bring into play six sites that wouldn’t work for large-scale nuclear and would deliver at least 6 to 8 GW.”

Industry executives and investors commended the launch of the competition but cautioned that the United Kingdom requires additional time to achieve its goals due to the lengthy regulatory safety approval process for new nuclear technology. 

In regard to a new nuclear construction programme, successive Conservative administrations have procrastinated for more than a decade. More than eight years ago, as chancellor, George Osborne first announced a competition for SMRs.

Rolls-Royce, which secured £210 million in government grant funding for its initiative to build a fleet of 470 MW reactors two years ago, has been urging ministers for several months to engage in formal discussions about potential funding models. The manufacturer of small nuclear reactors for the British Navy’s submarine fleet has stated that its first SMR could be operational by the early 2030s. 

It is the only competitor out of seven in the SMR competition whose reactor design is presently being evaluated by the UK’s nuclear safety regulator.

Countries like the US, Canada, and Russia, which are also investing in or employing the technology, comprise the global landscape of SMR development. The UK government is evaluating six additional SMR design submissions, ranging from GE Hitachi, a partnership between two titans in the civil nuclear industry, to the upstart Newcleo.

Jon Ball stated that the United Kingdom was appealing due to its globally-recognised regulatory framework and robust supply chain. In Canada and Poland, GE Hitachi has already signed contracts for the construction of its SMRs. 

According to Ball, investors recognised “the benefit of having a technology licenced by the UK.”

Newcleo, a London-based company funded by the Agnelli family of Italy, plans to raise £1 billion in order to finance its expansion. It was stated that the project could continue without government support. Others in the industry, however, believe that the first SMRs would require government support comparable to the “contracts for difference” that are extensively used to develop green technologies such as offshore wind and guarantee developers a fixed output price.

Philip Meier, a partner at LEK Consulting, argued that the government should award contracts to build at least three or four reactors to ensure that developers can take advantage of economies of scale and effectively manage risk. This would “help to justify the establishment of production facilities and a supply chain while allowing you to move down the learning curve.”

Mike Hewitt, CEO of infrastructure developer IP3, who has approached investors about financing an initial rollout of four SMRs, stated that ministers must consider how they will be deployed. “On the project front, the administration has not demonstrated initiative. They maintain contact with technology suppliers.

In the United Kingdom, public opinion regarding the use of small modular reactors varies, with some applauding the new technology for its potential to create employment and help meet climate goals, while others express concerns regarding safety, security risks, and nuclear waste disposal.

Alan Raymant shares the same sense of urgency. The United Kingdom must be aware of global interest in this technology. He adds that the competition must “proceed swiftly and result in the actual deployment of reactors.”