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Small modular nuclear reactors in a regional clean energy transition strategy: A case study on SaskPower's selection of small modular reactors and conditions for successful implementation

Pachiorka, Zara Lily LU (2024) In IIIEE Master Thesis IMEM02 20241
The International Institute for Industrial Environmental Economics
Abstract
Small modular nuclear reactors (SMRs) are a complex solution for Saskatchewan’s energy transition from fossil fuels to low-carbon sources. As Saskatchewan predominantly relies on fossil fuels for its electricity needs, the consideration of SMRs by SaskPower is in hopes of decreasing carbon emissions and maintaining energy security. SMRs offer several advantages, including modularity, grid stability, and a minimal carbon footprint compared to renewable alternatives. However, challenges such as high capital costs, regulatory and licensing hurdles, technology uncertainty, and the potential negative effects of radiation pose significant barriers. The successful implementation of SMRs in Saskatchewan could have broader implications for the... (More)
Small modular nuclear reactors (SMRs) are a complex solution for Saskatchewan’s energy transition from fossil fuels to low-carbon sources. As Saskatchewan predominantly relies on fossil fuels for its electricity needs, the consideration of SMRs by SaskPower is in hopes of decreasing carbon emissions and maintaining energy security. SMRs offer several advantages, including modularity, grid stability, and a minimal carbon footprint compared to renewable alternatives. However, challenges such as high capital costs, regulatory and licensing hurdles, technology uncertainty, and the potential negative effects of radiation pose significant barriers. The successful implementation of SMRs in Saskatchewan could have broader implications for the adoption of SMRs globally, positioning the province as a critical case study of the viability and impact of SMRs within the energy sector. There is little research on SMRs to date. Evaluating the rationale behind proposing SMRs in an energy strategy and the factors for their success can have a global impact in a world that requires clean energy transitions urgently. This project will use Saskatchewan as a case study and assess why SaskPower has chosen SMRs as an option (RQ1), whether their proposed timeline is realistic (RQ2), and the conditions that could lead to SMR implementation succeeding or failing (RQ3). Data was collected through reference cases, document analyses, and 6 interviews with different levels of stakeholders. The results reveal that emission reduction goals were the most obvious reasons for looking at SMRs in Saskatchewan, but economic incentives and strong social support motivated the decision as well. SaskPower’s timeline is ambitious for a new-to-Canada technology and will likely face delays at both the regulatory and construction phases. SMRs will likely succeed if electricity prices from nuclear remain competitive, is social support remains strong, and if no major nuclear incidents happen geographically close to Canada. Those factors for success can easily be flipped and be the factors for SMR failure. It is recommended that social engagement and support be closely monitored, economic competitiveness of electricity prices must be maintained, and all of the safety precautions regarding potential negative effects be taken. (Less)
Please use this url to cite or link to this publication:
author
Pachiorka, Zara Lily LU
supervisor
organization
course
IMEM02 20241
year
type
H2 - Master's Degree (Two Years)
subject
keywords
Nuclear power, Small modular reactors, Clean energy transition, Saskatchewan, SaskPower
publication/series
IIIEE Master Thesis
report number
2024.34
ISSN
1401-9191
language
English
id
9171322
date added to LUP
2024-08-21 07:37:35
date last changed
2024-08-21 07:37:35
@misc{9171322,
  abstract     = {{Small modular nuclear reactors (SMRs) are a complex solution for Saskatchewan’s energy transition from fossil fuels to low-carbon sources. As Saskatchewan predominantly relies on fossil fuels for its electricity needs, the consideration of SMRs by SaskPower is in hopes of decreasing carbon emissions and maintaining energy security. SMRs offer several advantages, including modularity, grid stability, and a minimal carbon footprint compared to renewable alternatives. However, challenges such as high capital costs, regulatory and licensing hurdles, technology uncertainty, and the potential negative effects of radiation pose significant barriers. The successful implementation of SMRs in Saskatchewan could have broader implications for the adoption of SMRs globally, positioning the province as a critical case study of the viability and impact of SMRs within the energy sector. There is little research on SMRs to date. Evaluating the rationale behind proposing SMRs in an energy strategy and the factors for their success can have a global impact in a world that requires clean energy transitions urgently. This project will use Saskatchewan as a case study and assess why SaskPower has chosen SMRs as an option (RQ1), whether their proposed timeline is realistic (RQ2), and the conditions that could lead to SMR implementation succeeding or failing (RQ3). Data was collected through reference cases, document analyses, and 6 interviews with different levels of stakeholders. The results reveal that emission reduction goals were the most obvious reasons for looking at SMRs in Saskatchewan, but economic incentives and strong social support motivated the decision as well. SaskPower’s timeline is ambitious for a new-to-Canada technology and will likely face delays at both the regulatory and construction phases. SMRs will likely succeed if electricity prices from nuclear remain competitive, is social support remains strong, and if no major nuclear incidents happen geographically close to Canada. Those factors for success can easily be flipped and be the factors for SMR failure. It is recommended that social engagement and support be closely monitored, economic competitiveness of electricity prices must be maintained, and all of the safety precautions regarding potential negative effects be taken.}},
  author       = {{Pachiorka, Zara Lily}},
  issn         = {{1401-9191}},
  language     = {{eng}},
  note         = {{Student Paper}},
  series       = {{IIIEE Master Thesis}},
  title        = {{Small modular nuclear reactors in a regional clean energy transition strategy: A case study on SaskPower's selection of small modular reactors and conditions for successful implementation}},
  year         = {{2024}},
}