Nuclear option ‘on table’ with aim to lift uranium sales
NUCLEAR energy will be critical to reducing global emissions with Australia committing to monitor the new technology as an option to reach net-zero emissions by 2050.
The federal government’s “wholeof-economy” long-term plan to become carbon neutral does not rule out a nuclear future and explicitly recognises the potential for Australia to export uranium to help reduce global emissions.
In a report released on Tuesday, the government said its approach to net zero “keeps all technologies on the table”.
“We will monitor emerging technologies in the early stages of development, like small modular nuclear reactors,” the report said.
“We are open to any low-emissions technologies that contribute to Australia’s net-zero future.”
The International Energy Agency has estimated nuclear power generation would need to double globally over the next 30 years to hold global temperature warming at least below 2C.
The Morrison government’s netzero plan acknowledges the development of small modular reactors using Generation IV technology “offers a potential means to enable production at scale, with easy shipment and grid connection on site”, rather than constructing reactors at single locations.
It is also assumed nuclear energy technology will become at least 6 per cent more efficient by 2050, reducing the amount of uranium required to generate power. However, such technology is not expected to be commercialised until the 2030s.
In the meantime Australia will explore opportunities to export uranium beyond the expected decline from the 2020 level of about $762m per year due to the closure of the Ranger mine in the Northern Territory. Growth in uranium export earnings are expected to resume in the long term, and reach just under $900m by 2050 under a gradual transition scenario, or $1.3bn under a rapid shift.