Small modular reactors (SMRs) are expected to account for about one-quarter of new global nuclear capacity by 2050 as rising electricity demand from artificial intelligence, expanding data centres and accelerating electrification fuel a renewed wave of nuclear investment.
Growing energy security concerns and net-zero emissions targets have pushed nuclear power back to the forefront of global energy strategies, with countries pledging at the 2023 COP28 climate summit in Dubai to work towards tripling global nuclear capacity by 2050.
The smaller footprint, lower upfront capital costs, modular design, shorter construction times and greater deployment flexibility of SMRs have made them one of the most closely watched technologies in the nuclear sector.
SMRs are increasingly viewed as a suitable option for powering hyperscale data centres, energy-intensive industries and remote locations where uninterrupted electricity supply is critical. Several SMR projects have also entered licensing, demonstration or early construction phases, although large-scale commercial deployment is expected to accelerate during the 2030s.
According to data compiled by Anadolu from the World Nuclear Association (WNA), global installed nuclear capacity could reach 1,446 gigawatts (GW) by 2050. This growth assumes existing reactors remain operational and governments execute their announced expansion plans. That would require around 1,043 GW of additional nuclear capacity beyond today's operating fleet of approximately 403 GW. Around 260 GW of the new capacity is expected to come from SMRs, representing roughly one-quarter of all planned capacity additions.
- SMRs expected to attract $1.5 trillion in investment
Achieving global nuclear expansion targets is expected to require around $6 trillion in cumulative investment across the nuclear value chain between 2025 and 2050.
Of that total, approximately $5.3 trillion is projected to be invested in reactor projects, including $3.5 trillion for large conventional nuclear reactors and around $1.5 trillion for SMRs. SMRs are therefore expected to account for nearly one-third of total reactor investment over the period.
- Investment surge expected in 2030s
Global investment is expected to accelerate significantly during the 2030s as countries move from policy commitments to large-scale deployment.
Investment is projected to total around $700 billion between 2025 and 2030 before rising to approximately $2.3 trillion during the 2031-2040 decade as a wave of new nuclear builds and the first sizeable SMR fleet begin construction. Investment is forecast to remain at roughly the same level in the following decade, reaching another $2.3 trillion between 2041 and 2050.
By Firdevs Yuksel
Anadolu Agency
energy@aa.com.tr
