The Government's ambition for deploying modular nuclear
technologies in the UK has been broadly welcomed by the Chair of
the Environmental Audit Committee, though he has called for more
details of the delivery plan as soon as practicable.
Today the Environmental Audit Committee publishes
correspondence from Secretary of State for Energy Security
and Net Zero , responding to the
Committee's questions as part of its examination of the role of
small modular nuclear reactors (SMRs) in generating clean energy.
Like conventional nuclear reactors, SMRs use nuclear fission
technology, but have a lower power output. They are expected to
be produced and assembled on-site in factories, which supporters
say will generate cost savings, though critics giving evidence to
the Committee challenged the Government's scientific and business
case for SMRs.
The Government set out its plans to back further nuclear
technologies in the Civil Nuclear Roadmap published in January
2024. However, in his recent letter,
Committee Chair drew attention to the current
lack of certainty around the future role of SMRs in the UK's
energy mix. Despite the Government's plans to pledge £215 million
towards developing SMRs, the Chair said that current plans at
this stage inevitably lacked clarity.
In response, the Secretary of State says the Government would
“maintain flexibility” over the specific technologies it would
pursue, to ensure value for money. She says the Government would
offer more clarity on the “optimal mix” of nuclear technologies
as the programme develops: until SMRs were deployed commercially,
it would not be possible to quantify the potential savings they
could offer.
In the letter, the Secretary of State does not commit to making a
value for money assessment on its SMRs policy, nor to facilitate
a review by the National Audit Office, but does say that “like
all major government programmes, the SMR programme will be
subject to rigorous value for money and approvals processes.”
“Thinking in this area is currently being developed,” she says,
but confirms that the Government's ambition is for SMRs to make a
material contribution to electricity generation by the
mid-2030s.
Chair of the Environmental Audit Committee, , said:
“I thank the Secretary of State for this response, though at this
stage of technology development it is perhaps not surprising that
it leaves several important questions unanswered. Will small
modular reactors play a substantial role in decarbonizing the
UK's energy supply? What would that cost the taxpayer and the
electricity consumer? These are questions we still don't know the
answers to.
“The Committee cannot gain a clear picture of the cost savings
SMRs could deliver, as well as the likely investment needed to
enable the first SMR projects to begin generating power, until
such time as the design competition has concluded and the
successful bids been evaluated.
“The Government's past experience with complex and often
expensive nuclear projects makes its caution understandable.
However, given the Government's intention to take at least two
projects through to final investment decisions by 2029, it will
be down to the new Parliament to gain much greater clarity from
the Government on the role to be played by SMRs in decarbonizing
the country's energy mix, and the resulting risks to be borne by
taxpayers and electricity consumers.”
