by The Nuclear Power Market is estimated to be valued at US$ 399.09 GW in 2023 and is expected to exhibit a CAGR of 1.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Nuclear power is one of the low-carbon sources of electricity and has long been used commercially for electricity generation. Nuclear power plants generate electricity through the heat released from the fission of nuclear fuel such as uranium-235. The key products in this market include pressurized water reactors, boiling water reactors, pressurized heavy water reactors, and fast breeder reactors. The major end-users include utilities and non-OECD countries.
Market Dynamics:
One of the key drivers for the nuclear power market is growing demand for reliable and low-carbon electricity sources. Electricity demand is increasing globally due to rapid urbanization and industrialization. At the same time, many countries are focusing on reducing their dependence on fossil fuels and curbing greenhouse gas emissions to meet their COP21 commitments. Nuclear power, which produces no direct greenhouse gas emissions during operation, is increasingly being viewed as a viable alternative to fossil fuel-based power generation.
Another driver is progress on small modular reactors. Small modular reactors (SMRs) are factory-built, self-contained nuclear reactors that are smaller than conventional reactors. SMRs promise improved safety through passive cooling and modularity that allows for phased construction and reduced financing requirements. Several SMR designs are under development and some projects are moving towards commercialization in late 2020s, which is expected to boost the nuclear power market during the forecast period.
Segment Analysis
The nuclear power market can be segmented by reactor type into boiling water reactors (BWRs), pressurized water reactors (PWRs), and other reactor types. The PWR segment dominates the market and is expected to continue its dominance over the forecast period. PWRs accounted for around 60% of operating nuclear power plants globally as of 2020. They have several advantages over BWRs such as lower pressure in the primary cooling circuit, which makes the design less complex.
PEST Analysis
Political: Nuclear power receives strong political support in countries like China, India and Russia as it helps reduce reliance on fossil fuels. However, some countries are moving away from nuclear due to safety and waste concerns.
Economic: Nuclear power plants have high capital costs but low operating costs. They provide a stable source of electricity without fluctuating fuel prices. Supportive government policies around financing are important for nuclear growth.
Social: Public opposition to nuclear energy exists over safety hazards of accidents and radioactive waste storage. Transparency around regulations helps improve social acceptance.
Technological: Innovation in reactor designs like small modular reactors and generation III+ reactors enhances safety and lowers costs. Use of additive manufacturing can improve maintenance efficiency.
Key Takeaways
The global Nuclear Power Market Growth is expected to witness high growth, exhibiting CAGR of 1.2% over the forecast period 2023 to 2030, due to increasing emphasis on clean energy sources. The market size for 2023 is estimated at US$ 399.09 GW.
Regional analysis: The Asia Pacific region dominates the global nuclear power market led by China, India and Japan. China is expected to be the fastest growing market driven by strong government support to increase non-fossil fuel energy sources. By 2030, the country aims to have total installed capacity of at least 70GW from nuclear power.
Key players: Key players operating in the nuclear power market are GE-Hitachi Nuclear Energy Inc., Westinghouse Electric Company LLC, STP Nuclear Operating Company, SKODA JS AS, China National Nuclear Corporation, Bilfinger SE, BWX Technologies Inc., Doosan Heavy Industries & Construction Co. Ltd, Mitsubishi Heavy Industries Ltd, Bechtel Group Inc., Japan Atomic Power Co., and Rosatom Corp. These companies are focusing on partnerships, new product launches and mergers & acquisitions to strengthen their market position.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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