The European race toward climate neutrality in 2024 has gained a new key player: the European Industrial Alliance on Small Modular Reactors (SMRs), an industrial partnership aimed at having Europe’s first mini nuclear reactors operational by the early 2030s. Behind the technical name lies a clear political and economic message: Brussels wants next-generation nuclear energy to be part of the decarbonized energy mix alongside renewables.
In a context of volatile energy prices, reindustrialization needs, and increasingly ambitious climate targets, SMRs present themselves as a complementary piece to wind, solar, and energy storage. The alliance seeks to turn that promise into real projects by aligning companies, regulators, banks, research centers, and administrations under a common roadmap.
What is an SMR and why is Brussels so interested?
Small Modular Reactors (SMRs) are compact nuclear power plants designed to be mass-produced, shipped in parts, and assembled on-site. Compared to traditional large reactors, they promise:
- Enhanced intrinsic safety, thanks to next-generation designs with passive safety systems.
- Lower initial costs, requiring more modest and scalable investments.
- Versatility in energy use, as they can generate electricity, industrial heat, and help produce low-carbon hydrogen.
- A smaller land footprint, making them attractive for industrial zones or urban district heating networks.
The European Commission places SMRs within the framework of the European Green Deal, the Fit for 55 Package, and REPowerEU, as additional tools to decarbonize hard-to-abate sectors: steel, chemicals, transportation, hydrogen production, and urban heating.
Far from replacing renewables, the community narrative positions them as a stable and manageable complement in increasingly electrified energy systems.
An industrial alliance to move from reports to projects
The European Industrial Alliance on SMRs was formally created in February 2024, after two years of preparatory work in the so-called “SMR pre-Partnership.” The goal is as ambitious as it is concrete: to facilitate and accelerate the development, demonstration, and deployment of the first SMR projects in Europe by the early 2030s.
To achieve this, the alliance:
- Will identify the most promising, safe, and cost-efficient SMR technologies likely to receive support.
- Will support specific projects from design to deployment, acting as a platform for technical, regulatory, and financial guidance.
- Will work to strengthen the European nuclear supply chain, including fuel and raw materials.
- Will analyze investment barriers and propose innovative financing models combining public funds and private capital.
- Will identify R&D and talent needs that can be addressed through European programs like Euratom and targeted training strategies.
The alliance operates as an inclusive platform: public and private entities from the EU that meet basic establishment and activity criteria can join. To do so, they must sign a declaration of adhesion and submit a registration request evaluated by the alliance’s governance body.
2024: From launch to the first General Assembly
The year 2024 has been pivotal in getting things started. On March 22, a dissemination event was held in Brussels with over 500 participants, where the European Commission and leading European nuclear associations outlined the alliance’s scope, goals, and timeline.
Following that, a membership period opened and closed on April 12. Shortly thereafter, on May 29 and 30, the First General Assembly took place in Brussels, with about 240 attendees in person and around 140 online. During this meeting, the following were validated:
- The governance structure.
- The functioning of the working groups.
- Short-term priorities and next operational steps.
By the end of 2024, the alliance already exceeded 320 members, including energy companies, manufacturers, research centers, sector associations, administrations, and regulatory bodies. Since then, eight Technical Working Groups (TWGs) have been established, covering the entire lifecycle of SMRs:
- Industrial applications to connect projects with energy-intensive consumers.
- Technology and R&D, focusing on reactor design, validation, and improvement.
- Supply chain, with an emphasis on components, fuel, and logistics.
- Skills and training, the foundation for the upcoming Nuclear Skills Academy.
- Public engagement, aimed at social dialogue and citizen acceptance.
- Nuclear safety and safeguards, in coordination with regulators.
- Cycle of fuel and waste management, one of the most sensitive areas.
- Funding, essential for structuring bankable business models.
In 2024, a first batch of nine SMR projects was also identified and announced for targeted work in specific groups, reflecting the technological diversity of the field, including advanced designs like lead-cooled fast reactors.
From governance to the Strategic Action Plan
The organizational work doesn’t stop at the initial family photo. In 2025, the alliance adopted its First Strategic Action Plan, setting a concrete agenda of actions for the next five years: from supporting pilot projects and regulatory harmonization to specific supply chain and workforce qualification initiatives.
Meanwhile, the European Commission is preparing a broader SMR Strategy, scheduled for 2026, which will integrate the role of these reactors within the European energy system and the pathway to climate objectives for 2040 and 2050.
The alliance builds on:
- The prior work of the SMR pre-Partnership, which produced five key reports on market, licensing, funding, supply chain, and R&D.
- The explicit recognition by the European Parliament, which in 2023 highlighted SMRs’ potential for energy transition and called for accelerating the nuclear supply chain.
Opportunities and uncertainties: clean energy, jobs, and social acceptance
From a climate perspective, the proposal is clear: SMRs could provide stable, low-carbon electricity and heat, facilitate the production of clean hydrogen, and deliver process heat solutions for industries like steel or chemicals, where full electrification is challenging.
Economically, the alliance positions itself as a reindustrialization lever: strengthening European nuclear engineering, securing contracts in heavy industries, creating high-skilled jobs, and potentially exporting technology and services to other markets.
Yet, success is not guaranteed. The European Commission and stakeholder forums have identified significant challenges:
- Licensing: national regulatory frameworks are still not fully adapted to modular, serial designs.
- Funding: SMRs require clear business models and long-term regulatory certainty to attract private investment.
- Waste management: even with lower volumes, safe disposal of high-activity waste remains a central debate.
- Public acceptance: without transparent dialogue with citizens and local communities, nuclear projects will face resistance.
Therefore, the alliance dedicates specific groups to public engagement, safety, safeguards, and fuel cycle, involving municipalities, NGOs, and civil society organizations in the discussion.
Who can join the alliance?
The European Industrial Alliance on SMRs functions as an open platform for:
- Industrial and energy companies.
- Equipment and component manufacturers.
- Fuel and service providers.
- Banks, funds, and financial institutions.
- Research centers, universities, and training organizations.
- Public administrations and regulators.
Interested entities must meet eligibility criteria, sign the alliance declaration, and submit a registration form. Individual applications are not accepted; only organizations with legal personality.
A new front in the fight for climate and competitiveness
This alliance sends a clear signal: next-generation nuclear energy, in the form of small modular reactors, is part of the European energy future debate. Not without conditions—safety, transparency, waste management—but with the conviction that meeting the 2040 and 2050 climate goals will be difficult without all low-carbon technologies on the table.
The coming years will reveal whether the coordinated efforts of this alliance translate into tangible results: SMRs under construction and operating in Europe by the early next decade, powering factories, district heating networks, and hydrogen plants, opening a new chapter in the continent’s energy policy.
Frequently Asked Questions (FAQ)
1. What exactly is a Small Modular Reactor (SMR), and how does it differ from a traditional nuclear power plant?
An SMR is a smaller nuclear reactor designed to be mass-produced in factories and assembled on-site in modules. Compared to conventional plants, it requires a lower initial investment, can be deployed incrementally, and typically features advanced safety systems with passive safety features. The electrical capacity is lower, but this can be offset by installing multiple modules and better adapting to local grid or industrial needs.
2. How can SMRs help decarbonize industries like steel, chemicals, or transportation?
SMRs produce not only electricity but also high-temperature process heat, essential for energy-intensive industries. This heat can directly power industrial processes or be used to produce low-carbon hydrogen, which serves as a raw material or fuel in sectors like steelmaking, fertilizer production, or heavy transportation. Replacing fossil fuels in these applications helps reduce emissions where electrification is challenging.
3. What role does the European Industrial Alliance on SMRs play in the EU’s climate targets for 2040 and 2050?
The alliance acts as a catalyst: coordinating industry, regulators, banks, and research centers to turn SMRs from promising technology into concrete projects operating in the early 2030s. Its efforts support the European strategy for significant emission reductions by 2040 and climate neutrality by 2050, helping SMRs complement renewables and other low-carbon options.
4. What kinds of organizations can join the alliance, and what benefits do they gain?
Organizations such as energy and industrial companies, equipment manufacturers, financial institutions, universities, research centers, administrations, and regulators can join, provided they meet the criteria set by the European Commission. The main benefits include being at the core of decision-making and design of Europe’s SMR ecosystem, early access to information, participation in pilot projects, regulatory engagement, and increased visibility with financial and political stakeholders.
via: European Union