Canada’s upcoming nuclear expansion will see the initial reactors relying on foreign sources, such as the United States, for fuel enrichment and fabrication. This shift contrasts with the previous Candu reactor system, which utilized a primarily domestic nuclear supply chain due to Canada being a major uranium producer. Ontario has commenced the construction of the first of four BWRX-300 small modular reactors at the Darlington New Nuclear Project in Clarington, Ont. These reactors, designed by American and Japanese engineers, use low-enriched uranium, unlike the Candus that utilize fuel produced domestically from natural uranium without enrichment.
Ontario Power Generation (OPG) anticipates connecting the first BWRX-300 at Darlington to the grid by the end of 2030, with the other three scheduled for the mid-2030s. Cameco, a uranium mining and nuclear fuel company based in Saskatoon, will mine uranium ore in Saskatchewan and convert it in Port Hope, Ont., before sending it to the United States for enrichment. OPG has also listed France’s Orano and Britain’s Urenco as suppliers of enriched uranium, with an American company handling the manufacturing of finished fuel assemblies in the United States.
This change marks a departure from Canada’s original nuclear program principles, which aimed to have an all-Canadian fuel supply chain to avoid geopolitical risks. The reliance on foreign enriched uranium for the new reactors raises concerns about energy sovereignty and potential disruptions in the fuel supply chain during political conflicts. Despite OPG’s assertion that diversifying suppliers creates a robust chain, Canada remains dependent on foreign entities for enrichment and fabrication processes required for the BWRX-300.
Ontario’s decision to opt for a foreign reactor, as explained by Energy Minister Stephen Lecce, was due to the absence of a viable Canadian alternative capable of generating electricity at the necessary scale. While Canada is developing a domestic reactor, the Candu Monark, it does not meet the requirements for Ontario’s SMR project. The move to global suppliers reduces some risks, but concerns about potential geopolitical vulnerabilities remain.
The use of Small Modular Reactors (SMRs) introduces various considerations, including cost efficiency compared to larger reactors. SMRs offer advantages such as reduced machinery requirements, potentially offsetting the higher per-unit costs. However, the operational savings projected for the BWRX-300 at Darlington have yet to be proven. Despite these developments, Canada’s reliance on foreign enrichment for SMRs poses challenges in ensuring a secure and sustainable energy future.
To achieve complete independence from foreign suppliers, Canada would need to establish its own uranium-enrichment industry. While discussions are open, the ultimate decision rests with the federal government, which is exploring future needs and opportunities in collaboration with provinces and industry stakeholders. The path to self-sufficiency in uranium enrichment poses significant challenges, including high costs, stringent security measures, and international regulatory requirements throughout the facility’s lifecycle. Additionally, the shift towards new reactors raises concerns about nuclear waste management and the potential impact on existing disposal plans.
