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IEA sees SMRs reshaping nuclear economics, unlocking private capital by 2050

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Tokyo Electric Power Company (TEPCO) plans to restart the world’s largest nuclear power plant, marking a milestone in the global nuclear revival. (Photo: TEPCO)

Trump Media & Technology Group (TMTG), a media company backed by U.S. President Donald Trump, recently announced its entry into the nuclear fusion sector, once again reigniting debate over whether nuclear power could emerge as a backbone energy source for artificial intelligence data centres. Large-scale nuclear power plants are highly capital-intensive, carry significant risks, and require long payback periods, meaning most projects to date have been initiated by state-owned entities.

The International Energy Agency (IEA) has expressed optimism about the development of advanced nuclear technologies, including small modular reactors (SMRs), which are expected to substantially lower investment barriers and attract greater private-sector participation.

On Dec. 16, the IEA’s first overseas Regional Cooperation Centre, established in Singapore, hosted the third session of its nuclear energy webinar series. The session was led by Tanguy de Bienassis, an energy investment and financial analyst at the IEA, and focused on financing requirements and risk management for nuclear power plants, the prospects of advanced nuclear technologies, and development potential in Southeast Asia.

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