Description
The Global Nuclear Power Market size was USD 34.4 billion in 2023 and it is expected to grow to USD 46.0 billion in 2031 with a CAGR of 3.7% in the 2023-2030 period.
Global Nuclear Power Market: Overview
China leads globally in nuclear power expansion, aiming to exceed 250 GW capacity by 2035. With 54 reactors operational and 21 under development, China’s nuclear goals are unmatched. India is also enhancing its nuclear capabilities, boasting 22 active units and 7 in progress. Recently, India approved the construction of 10 indigenous pressurized heavy water reactors, targeting a 7 GW total capacity. Russia demonstrates innovative nuclear use, operating nuclear-powered icebreakers and establishing a floating plant in the Arctic. These examples illustrate varied global approaches to nuclear energy.
Furthermore, worldwide measurements such as the Paris Agreement increase the need for sources of energy that are low in carbon. The OECD’s net-zero emission scenario stresses the need of nuclear power in addressing the effects of climate change. In the business world, Rosatom’s global expansion, EDF’s large reactor fleet, as well as Westinghouse’s purchase all indicate industry confidence. Together, the above instances depict a situation in which nuclear power develops as a critical respondents in the move to more environmentally friendly energy.
Global Nuclear Power Market: Covid-19 Impact
The COVID-19 pandemic initially caused a 3% reduction in global nuclear power generation during Q1 2020, owing to decreased electricity demand. Delays in repair and construction tasks contributed to a calculated 2.5% drop in production in 2020. Despite the delays, nuclear power plants scheduled activities and operated with greater flexibility. Notwithstanding construction difficulties, nuclear power’s role in providing reliable electricity throughout the pandemic underlines its significance. Following the outbreak, nuclear energy is prepared for assistance with recovery in the economy and low-carbon growth in infrastructure, since there is a growing concentration on environmentally friendly power alternatives.
Global Nuclear Power Market: Growth Drivers
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Energy Security:
Nuclear power is a steady, dependable source of energy that minimises dependency on volatile fossil fuel markets and enhances energy security. The US Ministry of Energy promotes nuclear energy’s role in lowering emissions, promoting economic growth, and mitigating global warming, especially through Small Modular Reactor (SMR) development. Globally, security professionals praise nuclear power for improving national security, political stature, and network resilience. Its contribution to economic wellness, as shown by the International Atomic Energy Agency (IAEA), emphasises its significance in the post-pandemic recovery. Nuclear power’s considerable contribution to power generation in the United States as well as Canada assures a consistent, clean energy supply, thus boosting both countries’ security of power.
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Climate Change Mitigation:
Nuclear power is a renewable power source, which makes it an important part of attempts to combat global warming. With growing worries about emissions of greenhouse gases and their environmental impact, nuclear power provides a potential alternative to energy generated from fossil fuels generation.
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Technological Advancements:
Nuclear reactor technology developments, such as Generation IV reactors and modular small reactors (SMRs), are driving the nuclear power industry ahead. These innovations offer improved safety, efficiency, and cost-effectiveness, increasing nuclear power’s viability in the global energy environment.
Global Nuclear Power Market: Restraining Factors
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Safety Concerns:
After major accidents such as Chernobyl and Fukushima, safety remains the primary concern in the nuclear energy business. Safety factors influence public opinion of nuclear power, and addressing security issues is critical for the industry’s growth in the future.
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Nuclear Waste Management:
The industry continues to face enormous obstacles in dealing with nuclear waste. Safe and long-term preservation solutions for radioactive waste are critical for meeting public concerns and compliance with regulations.
Global Nuclear Power Market: Opportunity Factors
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Decarbonization Initiatives:
As government pledge to lowering carbon emissions via international arrangements such as the Paris Agreement, there will be an increasing demand for sources of renewable energy such as nuclear power. Nuclear energy has the ability to play a major role in attaining goals for reducing emissions while also ensuring a stable supply of energy.
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Infrastructure Development:
Emerging countries’ rapid urbanisation and development create a demand for new energy infrastructures. Nuclear power projects provide customers for building infrastructure, employment creation, and economic development in these areas.
Global Nuclear Power Market: Challenges
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Cost Competitiveness:
The high cost of capital associated with nuclear power plant construction and upkeep limit the industry’s productivity, particularly when compared to alternative power sources like solar and wind power.
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Public Acceptance:
Popular acceptance of nuclear power differs greatly between nations and groups. Addressing worries regarding safety, nuclear waste, and proliferation dangers is critical to winning public trust and support for renewable energy initiatives.
Global Nuclear Power Market: Segmentation
Based on Reactor Type: The market is segmented into Pressurized Water Reactor (PWR), Boiling Water Reactor (BWR), Fast Breeder Reactor (FBR), High-Temperature Gas-Cooled Reactor (HTGR), and Others. PWR and BWR are the most widely deployed reactor types globally.
Based on Application: The market is segmented into Power Generation, Research, Propulsion, and Desalination. Power generation accounts for the largest share of nuclear power usage, followed by research and propulsion applications.
Based on Region: The market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Asia Pacific is the largest market for nuclear power, driven by growing energy demand and government support for nuclear energy projects.
Global Nuclear Power Market: Regional Insights
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North America:
North America’s nuclear power business has reached maturity, with six reactors operating and more initiatives in the works. Duke Energy’s plan for second 20-year renewals for all 11 reactors shows its commitment to extending operating life. Similarly, Xcel Energy is looking for someone to renew its licence for the Monticello facility. Constellation Energy’s $800 million investment aims to boost electricity output in Illinois. The Department of Energy, EPRI, and ASME are carrying out studies on ageing parts, which will eventually be used to guide worldwide regulatory options to choose from. Plant safety can be ensured through extremely strict testing methods, that include acoustic exams. The NRC’s supervision conduct involves comprehensive assessment of performance.
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Europe:
Europe is an important market for the use of nuclear power, with many countries relying on nuclear power to meet their electrical requirements. This dependency emphasises nuclear power’s major contribution to this region’s energy picture, as well as its importance for ensuring stable and long-term power supplies for European nations.
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Asia Pacific:
Asia Pacific leads the global nuclear power market, led by Japan, China, South Korea, and India. These countries have aggressive renewable energy expansion plans to stimulate economic growth and fulfil increasing demands for electricity.
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Latin America:
Latin America has very limited nuclear power capacity, with Brazil and Argentina spearheading the region’s nuclear energy growth. However, nuclear power faces a number of problems, including funding restrictions, regulatory barriers, and public opposition.
- Middle East & Africa:
The Middle East and Africa have emerging nuclear power markets, with countries like the United Arab Emirates (UAE) and South Africa pursuing nuclear energy projects. These regions offer opportunities for nuclear power development to meet growing energy demand and diversify energy sources.
Global Nuclear Power Market: Competitive Landscape
Areva SA, Westinghouse Electric Company LLC, General Electric Company, Rosatom State Atomic Energy Corporation, China National Nuclear Corporation (CNNC), Korea Electric Power Corporation (KEPCO), and Mitsubishi Heavy Industries, Ltd.
Global Nuclear Power Market: Recent Development
- May 29, 2024: Westinghouse Electric Company delivered the first reload of VVER-1000 fuel assemblies to Kozloduy Nuclear Power Plant (KNPP) in April, marking a key fuel diversification milestone in Bulgaria.
- February 14, 2024: GE Vernova’s Nuclear Fuel business, Global Nuclear Fuel (GNF), announced that it has received approval from the U.S. Nuclear Regulatory Commission (NRC) to manufacture, ship and analyze the performance of nuclear fuel with Uranium-235 enrichments of up to 8 weight percent.
