Small nuclear reactors are designed to produce electricity more efficiently compared to their larger counterparts used in traditional nuclear power plants. The compact size allows for better heat management and the utilization of advanced cooling techniques, resulting in a higher conversion of nuclear energy to electricity. This increased efficiency helps maximize power output with fewer resources and reduced environmental impact.

As coal-fired power plants are retired, there is a need for reliable and affordable zero-emission replacements. To date, a large fraction of coal’s displacement has come from natural gas. Although cleaner than coal, natural gas is still a fossil fuel and therefore has associated greenhouse gas emissions. Nuclear power is a clean, dispatchable source of energy that can provide baseload power to the grid. The report “Investigating Benefits and Challenges of Converting Retiring Coal Plants into Nuclear Plants” was released in 2022 by the U.S. Dept. of Energy. The report estimated that approximately 80% of retired or active coal plant sites in the U.S. are suitable to host advanced reactors smaller than the gigawatt scale.

Bill Gates’ nuclear innovation company, TerraPower, has taken the lead in developing advanced nuclear reactors. The Natrium reactor is designed to be more efficient and less expensive than current nuclear reactors. With a 345 MW sodium-cooled fast reactor and a molten salt-based energy storage system, the plant’s output can be boosted to 500 MW during peak power demand. The storage technology enables the reactor to integrate seamlessly with renewable resources, potentially revolutionizing the nuclear industry and providing carbon-free energy to billions.

Small modular nuclear reactors may become the go-to energy source to backup renewable sources — built to run consistently and as a flexible, carbon-free resource. Those right-sized reactors are emerging now that the U.S. government has incentivized them, making them more attractive for lenders and utilities.

Energy demand is expected to triple by 2050. Amid calls for emissions reductions and net-zero targets, we need a reality check: how are we going to reverse climate change if energy is in everything we do, and energy itself contributes to the problem? We need solutions that will help us pull trillions of tons of carbon from the air without adding more in the process—a tool far more powerful than solar panels or wind turbines. This tool already exists, and it’s nuclear power.

Nuclear power is in a strange position today. Those who worry about climate change have come to see that it is essential. The warming clock is ticking—another sort of countdown—and replacing fossil fuels is much easier with nuclear power in the equation. And yet the industry, in many respects, looks unready to step into a major role. It has consistently flopped as a commercial proposition.