Head of Nuclear Energy Agency warns of unprecedented growth in consumption
Access to electricity will determine “economic success or failure” as global demand for electric power is expected to rise sharply, the head of the Paris-based OECD Nuclear Energy Agency (NEA) said.
William Magwood, director-general of the NEA, told the Baltic Nuclear Energy Forum in Gdansk that projections point to “unprecedented growth” in electricity consumption worldwide.
Magwood said governments around the world have started to pay closer attention to nuclear energy as part of their response to rising demand.
He said the conditions for nuclear development had begun to change in recent years, particularly following the war in Ukraine, which exposed vulnerabilities in energy systems.
Countries have since recognised that energy security is “earned, planned for, something you prepare for in order to have it”, he said.
Magwood said that while there is growing interest in nuclear power, challenges remain, particularly in financing projects.
He pointed to uncertainty linked to long construction timelines and first-of-a-kind projects, adding that once such uncertainty is reduced, the sector could return to a commercial footing.
He also warned about the need for industry mobilisation, including supply chain capacity and workforce development.
Magwood said regulators have also adapted to the changing environment, noting that “regulators have also realised the world has changed” and that governments want them to be “enablers” not just guardians of public safety.
An online event organised by the NEA last year heard that innovative financing methods will be needed to fund planned large-scale nuclear construction as the industry seeks to meet its self-imposed goal of tripling capacity by 2050 in order to reduce carbon emissions and fight climate change, a webinar was told.
Magwood told the webinar it was a “timely moment” to discuss nuclear construction funding due to a Cop28 commitment to triple nuclear generation capacity by 2050, a commitment that was later backed by 14 major financial institutions.
