Canada has taken its first major step into the nuclear energy frontier as the government recently approved a nuclear power project with a total investment of 20.9 billion Canadian dollars (approximately 15.1 billion USD). The project will construct the world’s first industrial-scale Small Modular Reactor (SMR) in Ontario, marking the G7’s inaugural foray into this field. This breakthrough development is set to inject strong momentum into the still-nascent modular nuclear energy industry.
According to a statement issued on Thursday by Ontario Power Generation (OPG), the company has received regulatory approval to begin building the first unit of a set of four SMR reactors, which are designed by GE Vernova, a subsidiary of General Electric. Last month, the Canadian Nuclear Safety Commission granted a construction permit for the Darlington New Nuclear Project.
Amid growing attention from global tech companies and governments for stable, clean energy, nuclear power is enjoying renewed interest. SMR technology, based on an innovative model of factory-fabricated modules assembled on site, offers significant advantages such as reduced costs and shorter construction periods compared to traditional large reactors. Currently, only China and Russia have operating SMR projects, with the Darlington project set to become the first real-world application among the G7 nations.
At a press conference on-site at the Darlington project, Ontario’s Minister of Energy and Mines, Steve Lecce, stressed that electricity demand in the province is expected to surge by 75% by 2050. Without decisive action, Ontario’s economic development and future prospects could face serious challenges.
The initial unit is expected to require an investment of 6.1 billion Canadian dollars, while the costs for subsequent units are projected to decrease as technological expertise advances. Moreover, with rising electricity demand driven by data centers and new manufacturing facilities, GE Vernova’s gas turbine business has experienced booming demand, with its stock price doubling over the past year. The company is also ramping up its nuclear energy investments, having spent 50 million USD to upgrade its North Carolina facility and further its SMR research and development efforts.
As part of a strategic initiative, Ontario Power Generation signed an agreement with GE Hitachi Nuclear Energy in 2023 to deploy a BWRX-300 SMR unit at the Darlington site. This model produces around 300 megawatts—about one-third of the capacity of traditional nuclear reactors—demonstrating the flexible potential of modular design.
