Ontario Power Generation has chosen GE Hitachi Nuclear Energy to deploy a small modular reactor (SMR) at the Darlington Nuclear Generating Station.

The provincial Crown corporation made the announcement on December 2.

The project, which is potentially valued in the billions of dollars, will see OPG and GE work together on the SMR engineering, design and planning, preparing the licencing and permitting materials, and performing site-preparation activities.

Their goal is to launch Canada's first commercial, grid-scale SMR as early as 2028.

"We know nuclear is a key proven zero emissions baseload energy source that will help us achieve net zero as a company by 2040, and act as a catalyst for efficient economy-wide decarbonization by 2050," said OPG president and CEO Ken Hartwick. "By moving forward, with our industry-leading technology partner GE Hitachi, on deployment of innovative technology for an SMR at Darlington, OPG is paving the way on the development and deployment of the next generation of nuclear power in Canada and beyond."

The Darlington Nuclear Generating Station is the only site in Canada with an approved environmental assessment and regulatory licence for new nuclear. Developing and installing an SMR at the site will provide an important new source of clean nuclear energy. Doing so is especially important as demand for energy is widely expected to ramp up as transportation and other sectors electrify.

A single SMR of about 300 megawatts in size can prevent between 0.3 and 2 megatonnes of carbon dioxide emissions per year, depending on where it is located and what kind of power it is displacing.

"With today's announcement, Ontario is leading the way in new nuclear technologies – like SMRs – that represent tremendous economic and environmental opportunities for our province and all of Canada," said Energy Minister Todd Smith. "SMRs can provide reliable and emission-free energy while creating jobs, economic growth and export opportunities. Our opportunity to be a leader in this technology and showcase Ontario's nuclear expertise to the world is right now."

The other significant benefit of the SMR project is the economic impact the project itself is expected to create.

A 2020 study performed by the Conference Board of Canada suggests that over its construction schedule and its subsequent 60 years of operation, a single SMR in Ontario could generate an annual average of approximately 700 jobs during project development, 1,600 during manufacturing and construction, 200 during operations, and 160 during decommissioning.

The estimated impact on gross domestic product could be more than $2.5 billion and result in an increase of provincial revenues of more than $870 million.

Beyond that, the project is expected to drive economic growth in the province, with as much as 80 percent of the components for the project being sourced in Ontario, and spur SMR development elsewhere in the country.

Site preparation will begin in the spring of 2022, pending appropriate approvals. The work will include installation of the necessary construction services. OPG aims to apply to the Canadian Nuclear Safety Commission for a license to construct by the end of 2022.

Featured image: The Darlington Nuclear Generating Station (CNW Group/Ontario Power Generation Inc.)