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in summer 2023 with the greater When considering capital costs, and add additional modules, allowing
prevalence of renewables and ERCOT’s nuclear appears uncompetitive long-term scalability.
cautious power reserve management. compared with alternatives. The Typically, a small modular reactor
These conditions have also created financial advisory firm Lazard found has up to 300 megawatts of capacity
an opportunity during peak load pe- the unsubsidized levelized cost of energy and requires far less acreage than a
riods for utility-scale batteries, whose for a nuclear plant can be more than traditional large reactor. Some designs
capacity in Texas soared over the twice that of a combined-cycle natural are expected to be more flexible and
past two years. Battery technology is gas plant, one that generates electricity should have the ability to ramp up and
uniquely suited to discharge during from both primary generation and down to meet shifting load require-
critical periods, when solar and wind from converting waste steam to power. ments, unlike conventional units.
output fades. However, the current (Levelized cost is the net present cost One of the promises of the modular
state of technology prevents their use over the lifetime of a generating facility, reactors is far lower upfront capital
as a source of baseload power, that generally spanning 30 to 50 years). investment than conventional nuclear
is, dependably available and capable In a reversal of long-term trends, facilities. But there are concerns that
of running twenty-four hours a day, public support in the U.S. for nuclear the modular reactors may not be as
seven days a week. energy has increased over the past cost effective as imagined, and the
decade, with a narrow majority sup- cost per megawatt remains high com-
Keeping the Grid Running porting it. Opponents remain fearful pared with fossil fuel generation. In

Nuclear energy provides a minor of risks following incidents such November 2023, another demonstra-
portion of Texas’ current generating as the Fukushima Daiichi accident, tion program fund recipient canceled
portfolio. Texas’ two nuclear plants, when a Japanese power plant released its project, citing significant increases
combining for more than 5 gigawatts radioactive material following an in previously projected costs.
of nameplate (or total) output, fulfill earthquake in March 2011. While much of the cost increase
the role of baseload power. To put As aging U.S. power generation can be attributed to inflation that
that capacity in perspective, the state facilities face rounds of permit exten- plagued many infrastructure pro-
has 22 gigawatts of installed solar sions at state and federal levels, twelve grams in 2023, concerns remain
capacity and more than 38 gigawatts reactors nationwide have been decom- about the cost/benefit of modular
of installed wind capacity. missioned over the past ten years, reactors in Texas and elsewhere.
Conventional light-water nuclear most in response to local opposition. Management of nuclear waste is
reactors are not well equipped to meet another challenge. Annually, tradi-
the flexible energy needs of a grid with Small Modular Reactors Among tional nuclear reactors in the U.S.
robust intermittent resources, since re- New Technologies produce about 2,000 metric tons of
actors are not designed to ramp up or Despite barriers to approval, nu- spent fuel in the aggregate, which is
down quickly in response to demand. clear backers cite the power source’s currently stored at the power plants
A significant expansion of convention- carbon-free operations, reliability, in temporary pools or dry casks.
al nuclear capacity would increase the generation capacity, and energy den- The long-term goal is permanent
steady baseload supporting the electric sity. Development of advanced nuclear storage at an approved, central
grid and reduce the amplitude of the reactor technology may address many geologic repository, but progress on
daily power demand cycle currently of the challenges that have stymied site selection has been at a standstill
required of natural gas plants. growth of conventional nuclear. for two decades. Although modular
However, new nuclear facility The Department of Energy reactors would likely produce far less
developers confront high costs, launched its Advanced Reactor spent fuel, concerns have surfaced
regulatory requirements, and pockets Demonstration Program in 2020 to aid that some units would create many
of public opposition. nuclear research and development in more times the amount of spent fuel
While fuel and operating costs the hope of spurring new technology, per unit of electricity generated than
for conventional nuclear plants are including smaller and more flexible traditional reactors.
relatively inexpensive, construction nuclear reactor options. The program In addition to the federal efforts to
costs are enormous, and the federal has since announced multiyear spur advanced nuclear deployment,
permitting process stretches over awards totaling about $4.6 billion to Texas Gov. Greg Abbott announced
several years while billions of dollars three projects, including a demonstra- the formation of the Advanced Nucle-
in expenses are incurred, making cost tion project planned for Texas. ar Reactor Working Group in 2023.
recovery highly uncertain. Expansion The Texas effort, expected to be The group is charged with assessing
of Plant Vogtle in Georgia, completed completed by 2030, involves small the feasibility of making the state a
in 2023, marked the first nuclear modular reactors. Such units can be leader in nuclear power. With a team
reactor to receive regulatory approval manufactured at one site then shipped comprised of academics, business
in thirty years. It was seven years late and assembled at the point of use. leaders, and nuclear engineering
and $17 billion over budget. A site can start hosting one module experts, the working group seeks to

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