Ontario is building the world’s first small modular reactor (SMR) engineering and service centre as the Ford government pushes a massive nuclear power expansion.
Backed by a $70-million investment from GE Vernova Hitachi, the centre will support Ontario’s $20-billion SMR megaproject at the Darlington nuclear site.
Provincial Energy Minister Stephen Lecce said the new centre proves that Ontario is “leading the world” in nuclear innovation.
“Nuclear attracts investment, it creates jobs, and it is the constant energy source we need,” Lecce said at the press conference in Toronto. “By locking in this investment from GE Vernova, we are reinforcing our plan to make Ontario a clean energy superpower where our workers build with Canadian materials, operate with Canadian expertise and export the clean technology the world needs.”
Lecce said the new 50,000-square-foot facility, located near the new Darlington SMR project, will serve as a global hub for maintaining and supporting BWRX-300 SMRs. It will train up to 2,000 nuclear professionals each year and create 300 jobs. Currently, around 80,000 people work in Ontario’s nuclear industry.
The project is the first major private investment in Ontario’s nuclear expansion since the Ford government released its long-term “Energy for Generations” plan, which emphasizes attracting private capital to help fund its costly new nuclear projects.
Released last week, the plan projects a major shift toward nuclear power to meet rising electricity demand — while also showing increased reliance on fossil fuels over the next decade, with emissions expected to rise before declining after 2030.
More than 50 per cent of Ontario’s electricity comes from nuclear power. Under the new plan, that share is projected to exceed 70 per cent by 2050, as electricity demand is expected to rise by 75 per cent. The government says nuclear expansion is key to meeting that demand and estimates it will need up to 17,800 MW of new nuclear capacity, equivalent to building five new Darlington stations.
Nuclear projects are complex and costly, and the province says it plans to explore new ownership models and equity partnerships to attract private capital and help finance the expansion.
At the press conference, GE Vernova Canada President Heather Chalmers said the new SMR centre is an important step for Ontario’s nuclear sector and the future of small modular reactors in Canada. “This Ontario-based hub will provide the province with continued access to the best and brightest talent and innovation in the nuclear energy industry while complementing global efforts for deploying the BWRX-300.”
Chalmers said the centre will also include advanced tools, such as a virtual reality simulator for refueling and maintenance training, along with inspection technology and support systems specifically designed for BWRX-300 reactors.
She said the centre will support Ontario’s SMR project at Darlington and help connect the province’s expertise to international markets, and it’s expected to add around $128 million to the province’s economy each year.
“Today’s announcement is not just about a new facility — it’s about building the infrastructure, capabilities, and workforce needed to support the future of SMRs in Canada and around the world.”
Energy experts and environmental advocates have long criticized the Ford government’s heavy investment in nuclear power, saying it ignores Ontario’s strong potential for cheaper, faster renewable options like wind and solar. They warn the nuclear-heavy approach could raise costs, hurt affordability, and increase Ontario’s dependence on foreign energy supplies.
The government, however, argues that nuclear power is more cost-effective and land-efficient than renewables. In today's statement, the government says Ontario would need to build up to 8,900 megawatts of wind and solar, paired with battery storage, to replace the output of four SMRs — an alternative it claims would carry major risks, including large land requirements and the need for significant transmission infrastructure.
But recent studies challenge nuclear’s economic case. The Ontario Clean Air Alliance estimates electricity from new nuclear facilities could cost up to 3.6 times more than onshore wind and three times more than solar. Another report suggests Ontario could save up to $19 billion annually by switching to wind, solar and storage, instead of pursuing the proposed Wesleyville mega-nuclear project near Port Hope.
Growing skepticism over the cost of small modular reactors echoes global concerns. In the US, two reactors in South Carolina were scrapped after $12.5 billion (CAD) was spent, leading to Westinghouse Nuclear’s bankruptcy. Georgia’s Vogtle plant was completed at $48 billion, more than twice its original estimate, making it one of the most expensive infrastructure projects in US history. In the UK and Europe, new nuclear projects are also facing delays, cost overruns and cancellations.
The government has not provided a timeline for the construction of the new SMR service facility.
Abdul Matin Sarfraz / Canada’s National Observer / Local Journalism Initiative
Comments
Very ambitious, considering that the Darlington SMR design is not yet a proven concept. A lot is riding on the claim that the reactor will be able to deliver electricity reliably and affordably. The regulator gave OPG the go-ahead to build it without the safety systems worked out. We shall see... but likely at that point the politicians behind this project will have moved on.
$70 million won’t build a $20,000 million reactor. Where is the rest coming from?
It can be expected to follow Flyvbjerg’s “Iron Law of Megaprojects”, “over budget, over time, under benefits, over and over again”.
It may be worse since this kind of reactor has never been built.
And there is no solution to what to do with the waste, except to store it under supervision indefinitely, or ship it to the sun.
And it has serious potential for the diversion of plutonium to make atomic weapons.
David Huntley, Professor Emeritus, Physics, Simon Fraser University
I was a nuclear cheerleader for 50 years, and still believe it can be done safely.
But the money issue can't be beaten with words. I had a last bit of hope that "SMR" would be some magic wand creating cheaper construction, but the bids we've already seen are just not.
The very last bit of global hope for nuclear is in China, where they are experimenting with many kinds of new reactors. We'd be crazy to not just let them take the risks and jump in only if they find some path to cheaper construction.
In the meantime, Canada's projects are at least not breaking ground; there's no need for more reviews or approvals at an existing site. But if even THAT happy situation can't make a profit, nuclear is over.
Oh, and the solar and especially batteries are going to KEEP getting cheaper, that's the real death sentence.
"Not breaking ground" is probably a negligible plus, given safety is still in question.
I guess the nuclear industry pays kickbacks, while the sun and the wind don't.
Nuclear (and hydro) is more expensive than traditional renewables; but at some point you pay for practicality. If everyone can agree on building a handful of new nuclear plants rather than engaging in partisan fights for the next few decades over wind and solar, while building nothing until it's too late, then there's no point.
It's the same with transitioning to EVs and hybrids over improving public transit and improved rail infrastructure. The latter would be ideal, and maybe we'll get there eventually, but we're on a time limit to make changes and can't afford to spend a decade more in limbo.
Don't let perfect be the enemy of good.
I don't think any of this matters. The Ford government will waste a bunch of money. Probably nothing will get built. Solar and wind + storage, being cheap and fast to build and becoming even more so, will get built.
Some nuclear grifters will walk away with some stacks of money.