Despite growing recognition of the strategic importance of small modular reactors (SMRs), European Union policy and regulatory frameworks are not yet fully equipped to support their deployment, a US-based thinktank has said in a report.

According to the Clean Air Task Force report, regulatory, financial, human resource and infrastructure barriers hinder the rapid deployment of SMRs at scale.

Key barriers include long and complex state aid approval processes, limited flexibility in existing support mechanisms, fragmented licensing regimes across member states and a lack of a coordinated industrial strategy for SMR technology selection and deployment.

These challenges create uncertainty for investors, delay final investment decisions and risk leaving the EU behind in the global race to commercialise advanced nuclear technologies, the report concludes.