Ontario and the federal government have allocated a combined $3 billion to construct Canada’s inaugural small modular reactors, an innovative nuclear energy technology set to be erected adjacent to the Darlington power plant. Prime Minister Mark Carney, alongside Premier Doug Ford in Bowmanville, unveiled the new funding, designating the Darlington New Nuclear Project as a venture of national significance eligible for expedited processing.
The initiative entails the construction of four small modular reactors (SMRs) near the Darlington Nuclear Station, with the province contributing $1 billion through the Building Ontario Fund and Ottawa investing $2 billion via the Canada Growth Fund. Carney hailed the development as a pivotal move that would position Canada as a trailblazer within the G7 by pioneering a novel form of nuclear reactor, emphasizing the enduring benefits of this “generational investment” in sustaining Canada’s global leadership in clean energy.
Earlier approval by the Ford government granted Ontario Power Generation (OPG) the go-ahead to commence work on the first SMR within the project. The total project cost, disclosed at $20.9 billion, includes an estimated $7.7 billion for the initial reactor construction. Upon completion, the four SMRs are projected to generate 1,200 megawatts of electricity, sufficient to power 1.2 million households, according to Carney. Anticipated growth in power demand across Ontario, estimated at 75% by 2050, underscores the necessity for such advancements in energy infrastructure.
Ford underscored the project’s role in fortifying Ontario’s economic competitiveness and resilience, particularly against U.S. trade tariffs. The initiative is forecasted to create 18,000 jobs during construction and sustain 3,700 positions annually for the next 65 years, with a strategic focus on promoting local labor and resources. Carney highlighted that the SMRs would inject $500 million annually into Canada’s supply chain, contributing over $38 billion to the country’s GDP over the ensuing six and a half decades.
Construction of the SMRs is already in progress, with OPG financing the project through a blend of internal funds and debt, offsetting costs through electricity tariffs over the project’s lifespan. The Canadian Nuclear Safety Commission granted OPG a construction license for the first SMR earlier this year, with operations scheduled to commence in 2030. Notably, a significant portion of project expenditures is earmarked for Ontario-based companies, with limited allocations to European, Asian, and U.S. firms primarily involved in the development of the BWRX-300 power plant model by GE Hitachi, the chosen design for the venture.
Ontario stands poised to pioneer the BWRX-300 technology, a compact iteration of GE Hitachi’s existing boiling water reactor model, marking a groundbreaking endeavor in nuclear innovation.
