From left, John R. MacQuarrie, president of Commercial Operations at BWX Technologies Inc; Robyn Manley, president of Paradymshyft Nuclear Advisory; and Aaron Johnson, senior vice-president, Nuclear at Aecon Group Inc., speaking at a recent event on the future of nuclear.Jenna Muirhead
Canada and the world are facing dual imperatives to decarbonize the energy supply and achieve energy security amid a volatile geopolitical landscape, said participants at a recent panel discussion exploring the future of nuclear.
The conference, co-sponsored by the Globe and Mail and Westinghouse Canada, highlighted the national nuclear energy sector’s significant opportunity to cement its early-mover advantages and help Canada and other nations achieve these goals.
Canada not only has the abundant supply of uranium necessary for nuclear expansion but also decades of leadership in nuclear research, technology and deployment. Seventeen reactors supply 15 per cent of the country’s energy and major refurbishment projects that will build out gigawatts of new nuclear capacity are under way at three generating stations.
The federal government has also invested heavily in the development and deployment of innovative small modular reactors (SMRs). The world’s first SMR is set to be built at Ontario Power Generation’s Darlington site, with the first unit expected to be in commercial operation by 2029 and the rest coming online by the mid-2030s.
Renewed U.S. relations
Gathering as the spectre of trade war with the United States loomed large, participants at the event agreed that the sector can play a critical role in any renewed relationship with Canada’s largest trading partner.
“Setting tariffs aside for a second, [the new U.S. administration has] a number of policy objectives that are well aligned with Ontario and Canada,” said James Scongack, chief operating officer and executive vice-president at Bruce Power. “The first [is] to see energy dominance in North America, reducing reliance on other jurisdictions, whether that’s for oil and gas, for electricity, for critical minerals. There’s a real opportunity for Canada and Ontario to play an important role.”
Ehren Cory, chief executive officer of the Canadian Infrastructure Bank, said sabre-rattling from the U.S. is likely to impact the whole energy sector, recalling that early into his tenure people were talking about the importance of investing in east-west grid interconnectedness, not just north-south.
“That was true then; it’s really, really true now,” he said. “If Canada wants to be economically competitive, drive growth and productivity, low-cost reliable electricity is at the heart of that – it’s at the heart of how we build new industries and support the ones we have. That’s only going to amp up the need to invest in things like nuclear.”
Public opinion on nuclear has shifted positively in recent years, with Canadian politicians championing nuclear as a key component of the country’s clean energy future, and the public more likely to see the energy source as clean and safe.
“We’ve got the recognition and support, now it’s about execution,” said John Arthur Gorman, president of Westinghouse Canada.
Nuclear is “practically the only thing” that’s going to allow Canada to triple its renewable energy by 2030 and meet its climate goals, said Robyn Manley, president of Paradymshyft Nuclear Advisory. But there are still some hurdles to clear for that to happen.
The federal government needs to address regulatory uncertainty around project approval timelines, Mr. Scongack said. “When we have that unpredictability as to when a project may commence, it’s hard to plan not only your investment but your recruitment and sequencing of a work force,” he said, pointing to the refurbishment project at the Bruce nuclear station as a model for regulatory certainty.
Ms. Manley said she believes the Canada Nuclear Safety Commission is “certainly mindful of trying to be efficient,” and Natural Resources Canada wants to find ways to make the federal impact assessment process more streamlined. However, fast-tracking projects can’t “run roughshod” over the duty to consult First Nations, she said.
Another challenge, said Mr. Cory, is private capital’s perception of the nuclear sector. “I talk to a lot of private investors who are scared about the base technology, when I don’t think they should be. It’s well-proven technology.”
Nuclear power play
The country has a powerful edge in large reactor technology. The Candu heavy-water reactor was developed in Canada; the intellectual property is owned by the Canadian government, but AtkinsRéalis (formerly SNC-Lavalin) purchased the right to develop Candu reactors in 2011. Westinghouse – which developed a series of light-water reactors, including the AP1000, of which there will be 18 operating globally by 2030 – is now under Canadian ownership, having been acquired by Brookfield Asset Management and Cameco Corp. Both companies have been preparing for new reactor sales in Canada and abroad.
AtkinsRéalis executive vice-president of nuclear for Canada, Gary Rose, highlighted estimates that the world needs 1,000 new reactors to meet global energy demand, adding that he hopes 100 of them will be Candus. The company is currently developing a new, larger reactor model, called the Monark.
Mr. Rose said the Candu reactors only require natural uranium, not enriched fuel, which is particularly attractive to countries that don’t want to be dependent on other nations for their reactor fuel supply chain.
Mr. Gorman noted that Westinghouse and AtkinsRéalis technologies have different applications and generally don’t compete head-to-head in most markets.
“This is Canada’s moment,” he said. With the “first-mover advantage we have and the momentum we have right now,” Canada should aspire to have its two technologies “serve the global market,” he said.