- Nuclear energy is set to generate a record amount of electricity in 2025, with over 70 gigawatts of new capacity under construction worldwide and more than 40 countries planning to expand nuclear power as part of their energy systems.
- Despite well-known challenges like waste management and high upfront costs, nuclear energy’s ability to produce consistent, low-carbon electricity positions it as a crucial solution for meeting global energy demand and decarbonization goals.
- China and Russia are leading the global nuclear expansion, with concerns about the concentration of nuclear technology and uranium supply chains in these countries, which could expose the market to risks and grant them significant political leverage.
In 2025, nuclear energy is set to achieve its highest level of generation ever, marking a significant turning point in the global energy landscape. A new report from the International Energy Agency (IEA) reveals that the conditions for a “new era of growth in nuclear energy” are firmly in place. The public and private sectors have aligned in support of nuclear expansion, driven by the need to meet growing energy demands while addressing the pressing challenge of decarbonization.
The IEA’s Executive Director, Fatih Birol, highlighted the ongoing comeback of nuclear energy, which is poised to generate a record amount of electricity this year. He also noted that more than 70 gigawatts of new nuclear capacity are currently under construction worldwide—one of the highest rates in the past 30 years. Additionally, over 40 countries are actively planning to increase nuclear’s role in their energy systems.
While the challenges of nuclear energy, such as waste management, high upfront costs, and the potential for catastrophic accidents, are well known, its supporters argue that the benefits far outweigh the risks. In the context of the global energy trilemma—providing energy that is sufficient, clean, and affordable—nuclear energy offers critical solutions. As the demand for clean and reliable energy intensifies, nuclear’s ability to generate low-carbon electricity consistently and on-demand, unlike variable renewable sources such as wind and solar, becomes more valuable.
Global investment in nuclear power is sharply rising, with annual investments expected to reach $75 billion by 2030. A total of 63 nuclear reactors are currently under construction, and upon completion, they will add 70 gigawatts of additional capacity to the global grid. A significant portion of this growth can be attributed to the private sector, particularly the technology industry, which has increasingly turned to nuclear power to meet the round-the-clock energy needs of expanding data centers. The surge in investment is also fueled by the growing demand for energy in the tech sector, which seeks to meet decarbonization targets while keeping up with the explosive energy consumption driven by artificial intelligence.
However, much of this nuclear growth is being driven by China, which relies on Russian technology and manufacturing. According to the IEA, out of the 52 reactors that have begun construction since 2017, 25 are of Chinese design, while 23 are of Russian design. This concentration of nuclear technology and uranium production in just a few countries presents risks to the global energy market, underscoring the need for greater diversity in supply chains.
In fact, the global expansion of nuclear energy has proven to be a vital lifeline for the Russian economy. This has complicated efforts by Western powers to impose energy sanctions on Russia in response to its actions in Ukraine. While economic sanctions on Russia remain a crucial tool for global leaders seeking to pressure Putin, these sanctions are weakened if the U.S. and Europe simply replace Russian fossil fuels with Russian-enriched uranium.
The concentration of nuclear technology and uranium supply chains in China and Russia also creates vulnerabilities in the market, increasing the risk of supply disruptions and granting these countries significant political leverage. The cost of nuclear fuel has already surged since Russia’s invasion of Ukraine, and experts warn that future shocks are likely unless the market is diversified soon.
