SMR Nuclear Hopes Dim as Startups Face Hurdles, Report Finds
PARIS – the promise of small modular reactors (SMRs) as a rapid, “zero carbon” energy solution is facing a reality check, with several leading startups encountering significant technological and financial roadblocks. Once hailed as the vanguard of a nuclear renaissance, companies like American NuScale, Franco-Italian Newcleo, and French Naarea are struggling to deliver on aspiring timelines, casting doubt on the near-term viability of this heavily-promoted technology.
SMRs – designed to be five to ten times smaller than traditional reactors, generating between 120 and 300 electric megawatts (MWE) – were positioned as a quick and cost-effective way to expand nuclear capacity and combat climate change. However, a newly released report is questioning the market’s potential and the SMRs’ contribution to a broader nuclear revival.
The challenges facing these startups come at a critical juncture, as global demand for clean energy intensifies. NuScale, for exmaple, has seen its project timelines slip and costs escalate, while Newcleo and Naarea are navigating complex technological hurdles. the World Nuclear Industry Status Report 2025 further fuels concerns, suggesting the anticipated rapid deployment of SMRs may be overly optimistic.
