Financing nuclear power projects in African countries remains a major challenge, but small modular reactors (SMRs) particularly could provide a flexible and cost-effective solution requiring lower upfront investment, the International Atomic Energy Agency (IAEA) has said.

In a report on the outlook for nuclear energy in Africa, the IAEA said the adaptability of SMRs could make them ideal for remote areas, where grid expansion is impractical, and for repurposing decommissioned coal fired power plants to reduce the costs of new nuclear sites.

Due to their significant power rating, large nuclear power plants of 1,000 MW or more are not suitable for the overall grid capacity in numerous African countries, so developing SMRs may be preferable for generating capacity and investment scale reasons, the report said.