SMR use in Singapore’s data centers pushed

Other experts prefer an energy mix that includes nuclear, hydrogen, and imported RE.

Nuclear power is the “right step” for Singapore as it works toward decarbonizing its energy sources in the long run, an industry leader said.

“We see nuclear as part of a longer-term solution for decarbonisation and energy security," Yoon Young Kim, cluster president for Singapore and Brunei at Schneider Electric, told Singapore Business Review.

“Nuclear power plants are twice as reliable as natural gas plants,” he said in an email response, citing the US Energy Information Association (EIA). Nuclear power led all US energy sources with a capacity factor of over 92.3% in 2024.

Kim backed Singapore’s move to build its nuclear energy expertise, particularly in small modular reactors (SMR).

“This is an important focus area given that Singapore hosts numerous data centers," he said, adding that with a capacity of more than 1.4 gigawatts, Singapore ranks among the world’s most densely concentrated data center hubs.

Kim said SMRs are a “good fit” for Singapore because it lacks the land and raw materials needed to produce renewable energy at scale. SMRs are about a tenth to a quarter the size of a traditional nuclear power plant, according to Idaho National Laboratory.

"SMRs are also built in factories, so they can be deployed in a relatively short time and with consistent quality,” Kim said. “They do not require large land mass for deployment, and they use less water than solar-powered plants.”

Sanjeev Gupta, market leader for Asia-Pacific energy and commodity at Ernst & Young Global Ltd., said nuclear power plants offer high energy density and low greenhouse gas emissions. “But they come with safety concerns, waste disposal issues and high initial costs,” he said in an emailed reply to questions.

Gupta added that a diversified energy mix, which includes nuclear, hydrogen, and imported renewable energy like solar for Singapore, noting that it would be the most effective strategy to achieve sustainability goals whilst addressing energy security concerns.

Dinita Setyawati, senior electricity policy analyst for Southeast Asia at energy think tank Ember, earlier told Asian Power that Singapore should explore alternative solutions, noting that SMRs may have a limited impact on the country's energy mix.

Singapore remains keen on nuclear power, including SMRs, as announced in the 2025 budget. In August 2024, it signed a civil nuclear cooperation deal with the US. To advance its green energy initiatives, the government also topped up the Future Energy Fund by $5b to develop infrastructure for the country’s energy transition. 

Gupta said the fund would support critical infrastructure projects like building undersea cables for importing low-carbon electricity and establishing hydrogen terminals and pipelines.