The Role that Nuclear Can Play in Energy Transition

As the world grapples with the urgent need to decarbonise and secure reliable energy supplies, nuclear power is re-emerging as a pivotal component of the energy transition. With global ambitions to reach net-zero emissions by mid-century, nuclear energy offers a stable, low-carbon power source that can complement intermittent renewables, bolster energy security and drive sustainable economic growth.

Reliable Baseload Power for a Decarbonised Future

Nuclear energy distinguishes itself through its capacity to deliver continuous, 24/7 baseload electricity—a quality that is critical as the world increasingly relies on renewables like wind and solar, whose outputs can fluctuate with weather conditions. This reliable power generation is essential not only for stabilising grids but also for reducing greenhouse gas emissions, thereby supporting national and international climate targets. As nations intensify their decarbonisation efforts, the role of nuclear power is being re-evaluated, with recent reports suggesting that nuclear could account for a substantial share of low-carbon electricity in the future.

Technological Advancements Driving Change

Significant advancements in nuclear technology have reinvigorated the sector. Innovations such as small modular reactors (SMRs) and next-generation designs are set to address long-standing concerns over safety, cost and construction timelines. SMRs, in particular, offer the promise of reduced upfront capital expenditure, enhanced safety features through passive cooling systems and the flexibility to be deployed incrementally as demand grows. These technological breakthroughs not only lower barriers to entry for new nuclear projects but also enable integration with renewable energy systems, forming a robust and flexible energy mix.

Global Policy Momentum and Investment Trends

Recent policy developments and investments have underscored a global consensus on the importance of nuclear energy in achieving a decarbonised future. International energy authorities and industry leaders are increasingly advocating for nuclear as a cornerstone of clean energy strategies. For instance, legislative and policy initiatives in major nuclear-exporting nations are now setting ambitious targets for nuclear capacity expansion to support energy security and meet climate goals. Furthermore, substantial investments by private corporations and strategic partnerships with technology companies are signalling renewed confidence in nuclear power. These initiatives demonstrate that nuclear energy is not only viable but also essential for addressing the growing demand for low-carbon, dispatchable power, especially in sectors where renewables alone cannot meet energy needs.

Economic and Environmental Implications

From an economic perspective, nuclear energy offers long-term benefits despite its high initial capital costs. The longevity and reliability of nuclear plants can lead to lower operational costs over their lifetime compared to fossil fuel-based systems. This cost stability, combined with the environmental benefits of minimal carbon emissions, makes nuclear a compelling option for governments and investors alike. Moreover, nuclear power's ability to support industrial processes, such as desalination and hydrogen production, further enhances its role in the energy transition. While challenges related to radioactive waste management and public perception persist, ongoing innovations in reactor design and waste processing are steadily addressing these concerns.

Conclusion

Nuclear energy is poised to play an increasingly important role in the global energy transition. Its ability to provide stable, low-carbon power makes it an indispensable complement to renewable energy sources. Advances in reactor technology, combined with strong policy momentum and growing private-sector investment, are setting the stage for a nuclear renaissance. As the world moves towards a decarbonised future, embracing nuclear power—alongside renewables—will be essential for building a resilient, sustainable energy system capable of powering the global economy well into the future.