What are SMRs

Small Modular Reactors (SMRs) are emerging as a promising clean energy solution - often discussed in relation to data centres but with potential for applications in many industries requiring reliable low carbon baseload power with scalable deployment.

SMRs are factory built nuclear units typically sized 50–300 MW, offering high-density, 24/7 generation that directly aligns with power availability and sustainability goals. The advantage of being modular units is that they can be located close by, closely integrated power generation with infrastructure and operational demands.

SMRs - Reliable, High-Density Baseload Power

SMRs provide steady, 24/7 output that avoids the intermittency constraints of wind and solar and without requiring vast storage. Traditional gigawatt-scale reactors require vast sites and long construction cycles, but SMRs change the equation. Because they are factory fabricated and shipped in modular sections ready for assembly, SMRs enable faster build times and can be placed on brownfield or decommissioned industrial sites. They can offer a solution to grid bottlenecks.

A Pathway to Low-Carbon Digital Infrastructure

SMRs also strengthen the decarbonisation story for digital infrastructure. Analysts note that nuclear - particularly modular designs - could help power-intensive industries cut emissions while maintaining high availability. Policy signals matter here too: planning and nuclear deployment reforms are being discussed explicitly in relation to enabling SMRs and unlocking possibilities for sites as an enabler for faster low-carbon capacity additions.

What are the challenges?

Despite their promise, SMRs still face hurdles. Early units can carry higher per-kilowatt costs due to limited economies of scale, with long-term competitiveness relying on widespread manufacturing. Regulatory frameworks, originally designed for traditional reactors, must also evolve to ensure efficient licensing while maintaining stringent safety standards. Public opinion will also play a role - where the US and France generate a large amount of their power mix using nuclear, countries like the UK are more limited in their use of these technologies with nervousness or reluctance to provide permits potentially delaying adoption.

Research into SMR waste streams is ongoing, with early findings indicating waste volumes broadly comparable to those of conventional lightwater reactors, however lifecycle management will remain a key focus as deployment scales.

SMRs are increasingly framed as a practical way to deliver clean, high availability power at scale and on short timelines - far quicker and much more localised than any power plant construction would be. The coming years will see if power demands dictate that SMRs are the solution to avoiding the limitations of our grid networks.