Canada’s upcoming nuclear expansion will see the initial reactors relying on foreign sources, including the United States, for fuel enrichment and fabrication. This shift marks a significant change from the traditional Candu reactor system, which for over 50 years had a predominantly domestic supply chain due to Canada being the second-largest uranium producer globally.
Ontario has commenced the construction of the first of four planned BWRX-300 small modular reactors (SMRs) in Clarington, Ont., known as the Darlington New Nuclear Project. Unlike Canada’s Candu reactors, which utilize domestically produced natural uranium, the American-Japanese-designed BWRX-300 operates on low-enriched uranium.
Ontario Power Generation (OPG) anticipates connecting the first BWRX-300 unit at Darlington to the grid by the end of 2030, with the remaining three scheduled for the mid-2030s. Cameco, a Saskatchewan-based uranium mining and fuel company, will mine uranium ore in Saskatchewan and convert it in Port Hope, Ont., before sending it to the United States for enrichment. France’s Orano and Britain’s Urenco are also enlisted by OPG as enriched uranium suppliers, while an American company will handle the fabrication of the final fuel assemblies in the United States.
Experts highlight that this transition contradicts the original principles of Canada’s nuclear program. By outsourcing fuel enrichment, Canada risks compromising its energy sovereignty and exposing itself to long-term geopolitical uncertainties. Mark Winfield from York University warns that relying on imported enriched uranium could leave Canada vulnerable to potential disruptions in the nuclear fuel supply chain during political conflicts.
Ontario’s Energy Minister, Stephen Lecce, explained that the decision to opt for a foreign reactor was due to the absence of a Canadian alternative capable of generating electricity at the required scale. The American-Japanese BWRX-300 was selected for its advanced technology and reduced risks associated with constructing a unique reactor.
While utilizing multiple enrichment suppliers may mitigate the supply risk, concerns remain. The absence of a Canadian enrichment capability leaves Ontario dependent on foreign sources, potentially exposing it to external geopolitical influences. Despite the federal government downplaying the supply risk, Canada’s reliance on foreign enrichment poses challenges for long-term energy security.
Establishing a domestic uranium-enrichment industry could eliminate Canada’s dependence on foreign suppliers, but the high costs and stringent security requirements of such a facility present significant challenges. Ontario remains open to discussions on this matter, with provinces like Saskatchewan, New Brunswick, and Alberta also exploring potential nuclear projects involving SMRs.