Small modular nuclear reactors have the potential to be an economically competitive source of energy in Canada, but whether or not they are deployed will depend on factors including the availability of other low-carbon alternatives, natural gas prices and carbon pricing, a feasibility study released by four power companies.

The study says energy generated by SMRs is expected to be economical compared to other low-carbon alternatives and could be used to support reduction in carbon emissions and meet new energy demands. The choice of SMR technology and speed of commercialisation will play a significant role in the cost of deployment.

It concludes that for off-grid applications, such as remote mines or communities, SMRs need to be economically competitive with diesel generation – including the cost of fuel and transport.