Three Key Questions Utilities Should Consider When Evaluating Advanced Reactors
The U.S. power grid is undergoing a transformation driven by rapid electrification, domestic manufacturing growth, and the rise of artificial intelligence, all contributing to increased electricity demand. A report from Lawrence Berkeley National Laboratory estimates that data centers alone could consume between 9.5% and 15.3% of total U.S. electricity consumption by 2030. Overall, electricity demand is expected to grow by approximately 15–20% by 2035—requiring an additional 80–110 GW of firm capacity. As utilities and other stakeholders consider new generation technologies like advanced nuclear reactors, they must evaluate more than just safety; commercial risks such as reactor design, supply chain readiness, licensing progress, workforce availability, operability, performance, and reliability are equally important. Advanced reactors vary significantly in their risk profiles across these dimensions, necessitating a comprehensive assessment of technology deployability and commercial viability. A key consideration is capital efficiency over the full lifetime of a project—encompassing not just initial costs but also financing, construction duration, O&M expenses, refueling outages, refurbishment needs, and decommissioning. Reactor designs with passive safety features or those operating at atmospheric pressure may offer cost advantages by reducing system complexity and reliance on specialized components.
Topics: Advanced reactors Capital efficiency Electricity demand growth Grid transformation