SMRs Not Viable Short-Term, Taiwan Must Plan Early: Expert

Why It Matters

The assessment signals that Taiwan must diversify its energy strategy beyond immediate renewables, influencing policy, investment, and infrastructure decisions for the next decade. Early planning for SMRs could secure a low‑carbon, fuel‑secure backup as the island pursues its nuclear‑free goal.

Key Takeaways

• SMRs unsuitable for Taiwan's 2030 energy needs.
• Nuclear power provides stable, low‑carbon electricity in Taiwan.
• Gas‑fired power costs rose ~150% during Russia‑Ukraine war.
• Land scarcity limits large‑scale renewable expansion.
• Early regulatory and industrial planning needed for future SMR adoption.

Pulse Analysis

Taiwan’s energy mix is at a crossroads. After the 2025 shutdown of its second Maanshan reactor, the island entered a "nuclear‑free" era, relying heavily on imported natural gas and a patchwork of solar and wind farms. The abrupt 150% surge in gas‑fired power costs during the Russia‑Ukraine war exposed the volatility of fuel‑price dependent generation, while dense urban development leaves little room for large‑scale renewable farms. This dual pressure forces policymakers to reconsider how to balance reliability, affordability, and carbon reduction.

Globally, small modular reactors promise factory‑built components, reduced construction times, and enhanced safety features compared with traditional large reactors. Yet the technology remains in early commercial stages; no off‑the‑shelf SMR design is currently certified, and cost projections vary widely. Critics point to persistent nuclear waste, uncertain licensing pathways, and the need for extensive grid integration studies. For Taiwan, the lack of a mature supply chain means any SMR purchase before 2030 would carry significant financial and schedule risk, a reality echoed by Lee Min’s cautionary remarks.

Despite these hurdles, Lee argues that proactive measures can position Taiwan to capitalize on SMR advances when they mature. Developing a clear industrial strategy, establishing a dedicated regulatory framework, and coordinating research institutions with potential vendors will reduce future barriers. Early engagement also allows the government to align SMR deployment with long‑term decarbonization targets, ensuring that when the technology becomes cost‑effective, Taiwan can integrate it seamlessly into its energy portfolio. Such foresight could safeguard energy security while meeting climate commitments.