Abstract
The article discusses the potential of
Small Modular Reactors (SMRs) as a sustainable solution for achieving ‘Net Zero
Emission’ goals by 2050, as highlighted in the United Nations Climate Change
Conference. SMRs, including ‘Generation IV’ Reactors, offer advantages such as
cost-effectiveness, flexibility, and wider application beyond electricity
generation. The article examines various SMR designs and their potential
applications, ranging from land-based to marine environments, with countries
like Russia and China leading in their development. While SMRs present
advantages in terms of construction speed and flexibility, they also pose
challenges, including regulatory, legal, and economic issues. Initiatives by
organisations like the International Atomic Energy Agency aim to address these
challenges and streamline the development of SMRs. India, aiming for clean
energy and net-zero emissions by 2070, is considering SMRs as part of its
nuclear energy strategy, with plans to involve the private sector in their
development. However, the article emphasises the need for a holistic approach
to address technical, operational, economic, and legal challenges for the
successful commercialisation of SMRs and their integration into the global
energy landscape.
Introduction
Impacts of climate
change have been a cause of concern globally, and in the United Nations
Climate Change Conference (COP28), for the first-time nuclear energy,
especially, the ‘Generation IV’ Reactors and Small Modular Reactors (SMRs), was
discussed as a sustainable solution for achieving the goal of ‘Net Zero
Emission’ by 2050. Already, there are about 440 nuclear power reactors
operating in 32 countries plus Taiwan, with a combined capacity of about 390
Giga Watt electric (GWe), and in 2022 these provided 2545 Terra Watt hours
about 10 per cent of the world’s electricity.1 Further, 90 power reactors with a total gross
capacity of about 90 GWe are planned, and over 300 more are proposed, depending
on addressing issues like funding, site proposal approvals, verification, etc,
they will be operational in the next 15 years.2 SMRs will further add to the tally, and
increase the scope of nuclear energy, and SMRs will not be limited to
electricity generation only, but will have a wider application in major
industries.
Nuclear Energy Agency (NEA) Director
General Mr Magwood in COP28 had stated that “Advancements in nuclear
technology, including the development of SMRs and the launch of such
initiatives as the NEA’s accelerating SMRs for Net Zero provides realistic
pathways to providing the clean energy that countries need to meet this goal”.3 SMRs can be the
substitute for ‘Diesel Generators’; for mining operations as well as
high-temperature heat to replace fossil fuel cogeneration in heavy industries
like fertilisers, and marine propulsion to replace heavy fuel oil for merchant shipping.4 Further, these may become popular due to the
flexibility they provide to the user for wider application, particularly, as an
alternative to fossil fuel, hence, the construction of SMRs has gained
momentum, and there are initiatives being taken globally, to plan the
operationalisation of SMRs commercially, and decarbonisation is one of its
goals.
What
are SMRs?
SMRs
are newer generation reactors designed to generate electric power typically up
to 300 MW.5 The name itself suggests that these reactors
are small in size where capacity can be anywhere from 30 Mega Watt Electric
(MWe) to 300 MWe, with modular facilities, where reactors are made in the
factory and transported to the site, and further, they can be installed as a
single plant or having multiple modules. The reactor uses nuclear fission
technology. Thus, SMRs enhance the range of operations as they can be installed
in remote areas, due to their ease of fabrication and offsite transportation
facilities, which are lacking in larger power plants.
More than 80 designs are being developed
ranging from land-based water-cooled reactors like Pressurised Heavy Water
Reactors (PHWRs), Light Water Reactors to Heavy Water Reactors and Boiling
Water Reactors. Further, in the marine environment, the water-cooled reactors
can also be used as floating units deployed on ships and barges. Russia is the
pioneer in this technology and Russia’s ‘Akademik Lomonosov, the world’s first
Floating Nuclear Power Plant (FNPP) that began commercial operation in May 2020,
is producing energy from two 35 MWe SMRs’.6 The non-water reactors include the pebble-bed
salt-cooled Reactor, molten-salt reactor, Fast Neutron Reactors, etc. The
High-Temperature Gas Cooled Reactor Models can be used in industrial
applications. World’s first HTGR-Pebble-bed Module (HTR-PM) was developed by
‘China, in Shandong Province, with the major purpose of HTR-PM, is to
co-generate high-temperature steam up to 500! and electricity, making it
cost-effective - and to supply steam and electricity for the petrochemical
industry to substitute the burning of natural gas and coal’.7 Further, Micro Reactors are also being
developed which are ‘Very small SMRs designed to generate electrical power
typically up to 10 MW(e), where different types of coolant, including light
water, helium, molten salt and liquid metal are adopted by microreactors’.8 A number of countries are developing SMRs and
some of the countries who are in the race are Russia, China, United States
(US), Argentina, Canada, and South Korea. India is also considering building
SMRs.
Advantages
and Challenges
Firstly,
SMRs will be cheaper and more cost-effective as it can reduce a nuclear plant
owner’s capital investment due to the lower plant capital cost and further, the
Modular components and factory fabrication can reduce construction costs and
duration.9 Secondly, the flexibility it provides, by
which these can be installed in remote areas, can help in widening the scope of
nuclear energy, thereby, managing the depletion of fossil fuels, as well as
emission problems, of greenhouse gases. SMRs can help provide electricity to
the remotest of villages, and also can be used in factories and industrial
areas. The modular build is used in a number of different sectors including
civil construction; shipbuilding; chemical process and oil and gas; aerospace;
and automotive industries.10 Thirdly, SMRs are easier to build as per the
requirement of the grid and quicker as well. The construction time for larger
nuclear plants is longer, compared to the speed with which SMRs can be
constructed.
As far as challenges are concerned,
there are technical, regulatory, legal and economic challenges. Considering,
that there are a number of technologies that are being developed, hence, each
design will require safety certifications, which may create regulatory
challenges. Currently, most of the regulatory mechanisms including licensing,
commissioning, operating issues, etc are customised for larger nuclear power
plants and the same is lacking for SMRs. Further, if the nuclear reactors are
exported, they may undergo liability issues, considering reactors are not
included in the Convention on Nuclear Safety (CNS) Treaty, so in case of
accidents, the aspect of insurance will become a sore point between the
supplier and the user. Considering so many technologies are being developed,
hence, reactor design becomes a significant issue for the safety of SMRs.
Additionally, the CNS treaty also does not say anything about the FNPP.
Therefore, legally, the CNS treaty needs to be amended, because according to
this “Nuclear installation means for each Contracting Party any land-based
civil nuclear power plant under its jurisdiction including such storage,
handling and treatment facilities for radioactive materials as are on the same site
and are directly related to the operation of the nuclear power plant”.11 It includes only land-based installations and
is silent on marine installations. Another major challenge will be the disposal
of spent fuel and proliferation issues. Thus, the SMR industry is yet to fully
develop an operational fabrication facility for large-scale serial
manufacturing of SMR components, which necessitates a very large investment,
further, technology developers may have challenges in mobilising finance for
technology development, licensing and construction of prototype plants.12
To address some of these challenges the
Department of Nuclear Energy of the International Atomic Energy Agency (IAEA)
has been undertaking initiatives from as early as 1990 when a ‘Guidance document
for preparing a User Requirements Document for SMRs and their application was
published’.13 Further, some of the initiatives included the
‘Launch of the Nuclear Harmonisation and Standardisation Initiative in Jun
2022, and the IAEA organised in Aug 2022 a Technical Meeting on Generic User
Requirements and Criteria (GURC) of Small Modular Reactor Technologies for Near
Term Deployment… to develop high-level GURC’.14 All these proposals will help streamline many
preliminary glitches.
India’s
Roadmap to SMR
India’s
aspiration of having clean energy and achieving the goal of net zero by 2070 is
through harnessing non-fossil fuel sources, and nuclear energy will become an
integral part of this journey. Dr Jitendra Singh, Union Minister, had pointed
out that “A number of measures have been taken to promote renewable energy in
the country and India today stands at number four in the RE installed capacity
across the world after China, Europe and the United States …. and nuclear in
terms of baseload power can play a big role in the de-carbonisation strategy”.15 India’s Nuclear Power Cooperation of India
Limited (NPCIL) and Department of Atomic Energy (DAE) look after the aspects of
nuclear power plants. India already has 22 operating reactors, with an
installed capacity of 6780 MWe of which eighteen reactors are PHWRs and four
are LWRs.16 Dr Ajit Kumar Mohanty, Chairman, the Atomic
Energy Commission and Secretary, DAE, gave a statement at the Nuclear Energy
Summit, in Brussels in 2024, where he stated that apart from “Adding two
indigenously designed 700 MW PHWR, the Kakrapar Atomic Power Project—— the
‘Core Loading’ also took place at the first Indigenous Fast Breeder Reactor
(500 MWe) and India is also considering steps for the development of SMRs”.17 India has a robust plan for large-sized
Nuclear Power plants; however, it can use SMR technology as an add-on to
address industrial decarbonisation and achieve the goals of the ‘Clean Energy’
transition.
India is looking to develop 300 MW
capacity SMRs. There were reports that “Indian Oil is reportedly in preliminary
talks with Nuclear Power Corporation to build small nuclear units, seen as a
cost-effective alternative to larger plants”.18 This is basically to circumvent
the delays faced in the construction of bigger power plants, as SMRs are easier
to build. India is also mulling inviting the private sector in this field. “The
government is in talks with at least five private firms including Reliance,
Tata Power, Adani Power, and Vedanta to invest around $5.30 billion each”.19 All these are positive steps. Considering,
India already has experience in constructing nuclear reactors ranging from the
larger Kudankulam Nuclear Power Station-1 1000 MWe to the smaller one at
‘Rajasthan Atomic Power Station Unit-1 with 100 MWe capacity’.20 In the military domain, India also has
nuclear-powered submarines where small nuclear reactors are used. Therefore,
India has experience in constructing nuclear reactors. In order to prevent the
overburdening of NPCIL, the route to involve the private sector is encouraging
and a viable solution, provided the requisite ecosystem is created.
Ecosystem
Required
As
of now, NPCIL is responsible for not only designing, and commissioning of
nuclear power plants but also all the operational aspects that are controlled
and monitored by them. Therefore, for the private sector to get involved, one
will require certain structural and legal changes. The nuclear power industry
in India has been the forte of the Public Sector mainly the NPCIL, however, companies
like Larsen & Toubro have been involved in the manufacturing of “Reactor
vessels for PHWRs and Fast Breeder Reactors designed technology and critical
equipment and systems for heavy water plants, fuel re-processing plants and
plasma reactors”.21 For SMRs, one can also similarly invite the
private sector, provided there is clarity as to their role and
responsibilities. Whether the private sector will be required at the design,
and construction stage or at the operational, stage. The question is how much
one needs to decentralise without compromising nuclear safety and security
standards. The most challenging issue will be managing the fuel and the
disposal of the spent fuel. SMRs may increase the quantity of radioactive waste
and the disposal requires well-thought-out processes. Hence, instead of total
decentralisation, one option is to partially decentralise, whereby, keeping
control of the fuel management, especially, disposal of spent fuel with the
government, for security purposes and to prevent proliferation issues. Since
this is a new technology for private regulators, hence, they need to be trained
in the safety requirements and efficient operational processes, so the whole
ecosystem requires cooperation of public-private partnership at a holistic
level. Training modules starting from educational institutions to industries
are essential to obtain optimal technical manpower. Further, to succeed as a
commercial venture regulatory support including licensing support and
continuity in the supply chain is essential. Thus, the licensing, safety
certification, and legal issues need to be relooked, which may be a long-drawn
process. Also, management of public perception is an important aspect, as there
are apprehensions about nuclear energy. Even during the construction of nuclear
power plants, the initial processes require public awareness. By educating
people about the safety mechanisms, local protests could be avoided. So, for
SMRs, this requirement is more, as the scope is wider. Thus, it may be concluded
that though the feasibility of SMRs is evident, it will take time for SMRs to
fructify as a commercial venture, as the ecosystem needs to be developed.
Conclusion
SMRs
have emerged as one of the viable tools in addressing the challenges of climate
change and achieving the goal of ‘Net Zero Emission’, but the technology still
needs to mature. The ecosystem, whether it is a legal framework, design
construction, operational monitoring, waste management, or verification
mechanisms are concerned, still needs to be developed in most countries,
including India. IAEA on its part has already taken several steps to smoothen
the initial glitches and this year also the Technical Meeting on GURC’s
objective is not only to assess the progress but to ‘Present an IAEA’s draft
guidance document on top-tier GURC for SMR Technology that provides a framework
to cover deployable SMR designs and could serve as a reference for utility
organisations to develop more detailed GURC’.22 Thus, for
SMRs to succeed commercially, a holistic approach is required, both in
terms of public-private partnership and in the creation of an ecosystem,
whereby, all technical, operational,
economic, and legal issues are addressed
Endnotes
1 World Nuclear Association Bureau,
“Plans For New Reactors Worldwide”, World Nuclear Association, 30 Apr 2024.
https://www.world-nuclear.org/information-library/current
and-future-generation/plans-for-new-reactors-worldwide.
2 Ibid.
3 Nuclear Eergy Agency Bureau, “COP28 recognises
the critical role of nuclear energy for reducing the effects of climate
change”, Nuclear Energy Agency , 21 Dec 2023.
https://www.oecd-nea.org/jcms/pl_89153/cop28-recognises-the-criticalrole-of-nuclear-energy-for-reducing-the-effects-of-climatechange#:~:text=
The%2028th%20United%20Nations,goals%20of%20the%20Paris
%20Agreement.
4 Ibid.
5 Advances In Small Modular Reactor Technology
Developments, 2020 Edition, IAEA.
https://aris.iaea.org/Publications/SMR_Book_2020.pdf.
6 Office of Nuclear Energy Bureau, “Benefits of
Small Modular Reactors”, Office of Nuclear Energy.
https://www.energy.gov/ne/benefits-small-modular-reactors-smrs.
7 World Nuclear News Bureau, “China’s
demonstration HTR-PM enters commercial operation”, World Nuclear News, 06 Dec
2023.
https://www.world-nuclear-news.org/Articles/Chinese-HTR-PM-Demo-begins-commercial-operation.
8 Niti Aayog, “A Report on the role of small
modular reactors in the energy transition”, May 2023.
9 Office of Nuclear Energy Bureau, “Benefits of
Small Modular Reactors”, Office of Nuclear Energy.
https://www.energy.gov/ne/benefits-small-modular-reactors-smrs.
10 Clara Anne Lloyd, “Modular Manufacture and
Construction of Small Nuclear Power Generation Systems”, May 2019.
file:///Users/roshankhaniejo/Downloads/CALloyd_ModularManufacture
SMR_PhDThesis_final.pdf
11 Convention on Nuclear Safety, “International
Atomic Energy Agency INFORMATION CIRCULAR”, 5 Jul 1994.
https://www.iaea.org/sites/default/files/infcirc449.pdf.
12 Niti Aayog, “A Report on the role of small
modular reactors in the energy transition”, May 2023.
13 IAEA, “Technical Meeting on Generic User
Recommendations and Considerations for Small Modular Reactor Technologies”,
IAEA Headquarters, Vienna, Austria, 28-30 May 2024.
https://www.iaea.org/sites/default/files/24/03/evt2304522_information_
sheet_tm_intouch.pdf.
14 Ibid.
15 Department of Atomic Energy, “Union Minister
Dr Jitendra Singh says,
India taking steps for development of Small
Modular Reactors (SMR),
with up to 300 MW capacity to fulfil its
commitment to Clean Energy
transition”.
https://pib.gov.in/PressReleasePage.aspx?PRID=1879298.
16 AERB, “Nuclear Power Plants”, 30 Apr 2024.
https://www.aerb.gov.in/english/regulatory-facilities/nuclear-power-plants.
17 Dr. Ajit Kumar Mohanty, Chairman, Atomic
Energy Commission and Secretary, Department of Atomic Energy, India’s Statement
at Nuclear Energy Summit Brussels 2024, 21 Mar 2024.
https://dae.gov.in/indias-statement-at-nuclear-energy-summit-brussels-2024/
18 Business today, “Indian Oil in talks with
NPCIL to build small nuclear reactors for its refineries”, 03 Apr 2024.
https://www.businesstoday.in/industry/energy/story/indian-oil-in-talks-with-npcil-to-build-small-nuclear-reactors-for-its-refineries-424182-2024-04-03.
19 Ibid.
20 Press Information Bureau, “Government of
India, Department of Atomic Energy”.
https://pib.gov.in/newsite/PrintRelease.aspx?relid=101204.
21 LandT Heavy Engineering, “Nuclear Power
Plant”.
https://www.larsentoubro.com/heavy-engineering/products-services/nuclear/.
22 IAEA, “Technical Meeting on Generic User
Recommendations and Considerations for Small Modular Reactor Technologies”,
IAEA Headquarters, Vienna, Austria, 28-30 May 2024.
https://www.iaea.org/sites/default/files/24/03/evt2304522_information_sheet_tm_intouch.pdf.
@Dr Roshan Khanijo is the
Assistant Director (Research), at United Service Institution of India. She is a
strategic analyst. Her areas of focus are security, nuclear doctrines and force
structures, disarmament and arms control, niche technologies. She has authored,
edited books, monographs and occasional papers.
Journal of the United Service Institution
of India, Vol. CLIV, No. 636,
April-June 2024.