Following the release of a new report from the National Academies of Sciences, Engineering, and Medicine on the future of advanced nuclear reactors in the United States, experts in policymaking, finance, regulation, community engagement, and energy technologies convened a workshop recently on how a safe and secure foundation for the nuclear industry going forward can be laid.

The International Energy Agency has published a new report examining opportunities for the nuclear power industry to address concerns related to energy security and climate change. The Path to a New Era for Nuclear Energy explores areas of policy, innovation, construction, and financing with an emphasis on investment-related issues regarding small modular reactors.

The IEA report describes encouraging developments taking place in the nuclear energy industry, such as increasing investment, technology advances, and supportive policies in many countries. But it also notes that certain key challenges need to be overcome if nuclear energy is to meet the needs of rising electricity demand, including demands from artificial intelligence and data centers. In addition to examining the present global status of nuclear power, the report evaluates the long-term outlook, quantifying expected capacity and investment through 2050.

The 2024 edition of Climate Change and Nuclear Power has been released by the International Atomic Energy Agency. The 99-page report focuses on the need for a significant increase in investment to achieve goals for expanding nuclear power.

The report: According to the IAEA, the report delves into the financing of nuclear projects as ambitious climate targets draw nearer. It also explores the imperative for financial frameworks to help nuclear energy become a cornerstone of global decarbonization efforts and highlights the challenges and best practices in financing nuclear projects.

Hall

Nuclear energy stocks “have become far more compelling to many investors in recent years,” and “there are good reasons to support this carbon-free source of energy,” according to investment entrepreneur and financial lecturer Jason Hall. In an article recently published by The Motley Fool, Hall discusses the opportunities and risks of investing in nuclear energy companies and offers his perspective on three top nuclear energy stocks.

Nuclear basics and new innovations: Hall started at the beginning, describing the most basic aspects of nuclear energy: the production of heat through fission, the generation of electricity via turbines, and the mining and enrichment of uranium for fuel. He noted that there “are only a small handful of companies with the expertise and financial strength to deal with nuclear reactors, and almost all are either private, state-owned, or the subsidiary operation of a large industrial conglomerate.”

In the newly released 2023 edition of The World Nuclear Supply Chain report, the World Nuclear Association recommends a number of actions to ensure that the international supply chain remains “suitably robust, competitive, and adaptive to meet the anticipated need for long-term operation and new nuclear build.”

The fifth edition of the report provides a market-oriented view that focuses on opportunities and challenges related to nuclear-grade structures, systems, components, and services. Evaluated are supply chain considerations ranging from large-scale reactors to small modular reactors to reactor refurbishment.

The current bull market for uranium seems to be heating up. “Fundamentals are strong, and new political incentives are in place to spur nuclear development,” according to an article on the Proactive Investors website, which also noted that the uranium supply “will need to increase significantly to meet the market’s needs if nuclear is to become a key source of energy in the global push to reduce carbon emissions.”

The latest advances in nuclear fusion, the remaining challenges, and proposals to overcome those challenges are the focus of a new report, Fusion Energy: Potentially Transformative Technology Still Faces Fundamental Challenges, published by the Government Accountability Office.

Shah

American Nuclear Society executive director/chief executive officer Craig Piercy interviewed Jigar Shah, the director of the Department of Energy’s Loan Programs Office (LPO), in an ANS members-only online event on December 7. Shah and Piercy discussed the LPO’s role in assisting the U.S. nuclear energy industry both domestically and internationally in working toward the decarbonization of the power sector. The interview served as a follow-up to Shah’s article in Nuclear News, “Deploy, deploy, deploy: Achieving our climate goals requires nuclear this decade” (November 2022, p. 12).

Shah’s expertise: Before becoming LPO director in early 2021, Shah was president of Generate Capital, which he cofounded as an investment and operating platform for sustainable infrastructure, including distributed energy storage, microgrids, fuel cells, electric vehicles, and organic waste management. He also founded SunEdison, which pioneered “pay as you save” financing for solar energy. In addition, he was the founding CEO of the Carbon War Room, a nonprofit organization that helps entrepreneurs address climate change.

X-energy, a developer of small modular reactors and nuclear fuel technology, has entered into a definitive business combination agreement with Ares Acquisition Corporation (AAC). As a result of the agreement, X-energy will become a publicly traded company, a status that is expected to boost its growth strategy, investment opportunities, and financial flexibility. In addition, X-energy will receive differentiated sponsorship by Ares Management Corporation, which describes itself as a “leading global alternative investment manager.” The transaction is expected to be finalized in the second quarter of 2023.

Nuclear energy “has exceptional characteristics that make it uniquely qualified to address all three facets of the energy trilemma: affordability, sustainability, and reliability,” according to a new report, Solving the Energy Trilemma: The Case for Nuclear as a Sustainable Investment. Developed by the Center for ESG and Sustainability (CESG), which has a partnership with Columbia University’s International Research Institute for Climate and Society, the report concludes, “Even absent ESG [environmental, social, and governance] considerations, nuclear is an investible asset. However, its strong ESG performance makes the case for investment even stronger.”

The trend of big-tech billionaires of Silicon Valley investing in next-generation nuclear energy startup companies continues. In a March 22 article on the Bloomberg website, Lizette Chapman, of the site’s venture capital group, writes that these investors view nuclear power as “a solution to both cutting carbon emissions and weaning the world off now-controversial Russian gas.”