30 July 2024

Small Modular Reactors – Frequently Asked Questions

ATSE's report Small Modular Reactors – The technology and Australian context explained is contributing to a national conversation on future energy sources for Australia. These Frequently Asked Questions cover additional details about the report's contents and methods. 

Last updated - 31/07/2024

Read the full Small Modular Reactors – The technology and Australian context explained report.


Why were the Rolls-Royce SMR and Westinghouse AP-300 SMR not included in report?

The Rolls-Royce and Westinghouse SMR designs are not in our analysis because they're not judged to be in late stage or near deployment by the World Nuclear Association, the leading body representing the promotion interests of the industry.

Currently, the Rolls-Royce and Westinghouse designs are judged by the World Nuclear Association to be at earlier stages of development.

Westinghouse is currently engaged in a pre-application process with the USA Nuclear Regulatory Commission regarding a design certification process for their new AP300 design.

Earlier this year, the Polish government reportedly approved a “decision-in-principle” to build a Rolls-Royce SMR, but no build date or criteria are specified. Licensing and review through the appropriate regulator would still be needed.

Why isn’t the approved NuScale 55MWe SMR included in the report?

The NuScale 77MWe reactor is included in the report (see page 7). This design is currently under review in the USA with their Nuclear Regulatory Commission, with a target completion date of August 2025.

In 2022, NuScale received a licence for a smaller 55MWe reactor which has since been removed from the market and is no longer in development. That approval covered the reactor power unit only, not the full building to house it. This is noted on page 6 of the report:OECD-developed SMR designs have yet to be licensed for construction by relevant OECD country regulators, noting that an early iteration 55 MWe VOYGR reactor by the company NuScale was licensed in 2022 in the United States. This licence was cancelled by NuScale in 2023 as it has chosen to pursue a larger reactor size.” 

Why does the report only focus on OECD countries?

ATSE focused on designs for SMRs from the OECD and classified by the World Nuclear Association as in late stage or near deployment, as these are the only ones for which reliable public information could be found and which could realistically be acquired for construction in Australia.

ATSE is aware of SMRs in use in Russia and China. Neither country is a member of the OECD Nuclear Energy Agency which facilitates international cooperation and coordination, including shared standards. 

As far as we can tell, the Chinese SMRs are not intended for commercial production or available for Australia as a potential technology. Similarly, the two SMRs in Russia are not commercially available and appear to be limited to very specific use cases.

Moreover, countries outside the OECD will not necessarily use the shared standards coordinated by the OECD Nuclear Energy Agency, limiting opportunities for their commercialisation. Other OECD countries are the most comparable global economies to Australia, with similarities in governance and legislative systems, as well as existing advanced technological and industrial relationships.

Who wrote the report?

ATSE is a learned Academy which counts over 900 of Australia’s leading engineers and applied scientists as its Fellows. This includes specialists in nuclear engineering and energy infrastructure.

This report was developed by a working group of Fellows who were asked to investigate SMRs explaining macro technological developments, licencing and release timescales, risks and opportunities; all framed within the Australian context.

The scope-of-work required ATSE Fellows with demonstrated analytical skills in technical-industry structure, market and Australian regulatory knowledge.

The group of ATSE reviewers included a wide range of experts from across academia and industry, with decades of experience in this space.

How long has this report been in development and what was the process leading to its publication?

ATSE has been working on a technical explainer on Small Modular Reactor technology since November 2023. Information, progress reports and updates were provided to ATSE Fellows using our Assembly, Policy Steering Group and Newsletter mechanisms.

The working group provided an interim report to ATSE’s Policy Steering Group in March 2024. A summary version of the report was fully drafted in June 2024 and a group of Fellow reviewers with energy and related domain expertise was convened. Their comments informed the final version of the summary report, publicly released in July 2024.

Some media outlets have reported that it will be possible for Australia to procure SMRs in the 2030s. Is this correct?

Based on developer announcements and regulatory processes, it is possible that several prototype SMRs may be licenced, commissioned and built in OECD countries by the mid-2030s. Commercial releases could commence by the late 2030s to mid-2040s, with a mature market likely emerging during the mid to late 2040s, depending on regulatory approvals and investment and resource allocation.

If Australia pursues nuclear technology, the least risky option would be to procure SMRs once several designs have been established and operated in other OECD countries. The technology remains unproven, with no SMRs operational in an OECD country. If Australia chose to pursue SMRs before a global market for SMRs emerges, the financial and technical risk would be significant.

A mature, well-functioning SMR market would:

  • Have transitioned from full-scale prototypes to ongoing commercial SMRs delivered using well-established manufacturing facilities and robust supply chains.
  • Offer a choice of SMR systems from various established and successful vendors.
  • Provide transparent and proven capital and operating costs from multiple operating vendors and sites.
  • Demonstrate the operational safety and environmental performance of SMRs in line with Australian society’s expectations.
  • Require a suitably scaled nuclear-power qualified skills base.

Currently, none of these conditions exists in Australia.

Are nuclear submarines powered by Small Modular Reactors?

Yes, nuclear submarines are powered by a form of Small Modular Reactor. However,  it is unclear if they adhere to all the SMR definitions set out in page 5 of the ATSE report. 

The World Nuclear Association listing of SMRs in “near term deployment – development well advanced” does not list any OECD military reactor designs.

Nuclear submarine reactors which are being delivered as part of AUKUS use a highly enriched Uranium fuel that differs from commercial reactor systems.

A more detailed review of both nuclear submarine and other marine reactor systems can be found in this article from the World Nuclear Association: Nuclear Powered Ships.

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24
July
Small Modular Reactors – The technology and Australian context explained

SMRs could potentially form part of Australia’s future low-carbon energy mix, utilising existing transmission infrastructure and contributing to baseload power, or providing dispatchable power in a high-renewables grid. As an emerging technology, in 2024 the cost and operational performance of this technology has not yet been demonstrated.

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