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Energy

Ontario Leads the G7 by Building First Small Modular Reactor

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A concept image of a GE Hitachi BWRX-300 small modular reactor (SMR), the nuclear technology Ontario Power Generation is using for its new project adjacent to the existing Darlington nuclear plant. (GE-Hitachi)

From Energy Now

Construction will create 18,000 Canadian jobs, add up to $500 million annually to Ontario’s economy and help secure clean, reliable energy

With electricity demand in Ontario set to soar by at least 75 per cent by 2050, the Ontario government has approved Ontario Power Generation’s (OPG) plan to begin construction on the first of four small modular reactors (SMRs) at the Darlington nuclear site. Once complete, this SMR will be the first of its kind in the G7, producing enough reliable, affordable and clean electricity to power the equivalent of 300,000 homes, supporting thousands of good-paying jobs across the province and helping secure Ontario’s energy supply for decades to come.

The construction of the four units will support the government’s plan to protect Ontario’s workers and economy by creating up to 18,000 Canadian jobs and injecting $500 million on average annually into Ontario’s economy. The construction, operation and maintenance of the four units will add $38.5 billion to Canada’s GDP over the next 65 years. The government has worked with OPG to ensure that 80 per cent of project spending goes to Ontario companies and that construction and operations will protect Ontario workers and jobs by sustaining an estimated 3,700 highly-skilled, good-paying jobs for the next 65 years.

“This is a historic day for Canada as we start construction on the first small modular reactor in the G7, creating 18,000 jobs for Canadians,” said Stephen Lecce, Minister of Energy and Mines. “This nation-building project being built right here in Ontario will be led by Canadian workers using Canadian steel, concrete and materials to help deliver the extraordinary amount of reliable and clean power we will need to deliver on our ambitious plan to protect Ontario and unleash our economy.”

The BWRX-300 is a small-scale nuclear reactor that uses commercially available uranium to generate power. The four SMRs will be vital to powering new homes, historic investments to build Ontario and fuel a thriving economy. Once complete, they will produce 1,200 megawatts (MW) of electricity, enough to power the equivalent of 1.2 million homes, to help bridge a power gap that could emerge in the early 2030s in the absence of net-new baseload power sources added to the grid.

More than eighty Ontario companies have already signed agreements with OPG to deliver this first-of-a-kind project, establishing themselves as leaders in the growing domestic and global markets for new nuclear technologies. The government has also negotiated additional commitments from GE Hitachi that will create jobs in Ontario, that will soon be unveiled.

Ontario’s Independent Electricity System Operator (IESO) concluded that the Darlington New Nuclear Project is the best option to meet growing demand in terms of costs and risks, when compared against non-emitting generation alternatives. This, combined with OPG’s outstanding track-record on the Darlington Refurbishment Project, factored into the government’s decision to support the Darlington New Nuclear Project.

Within Canada, the Ontario government and OPG are collaborating with power companies in Alberta, Saskatchewan and New Brunswick as they work towards the deployment of SMRs in their jurisdictions. Around the world, the government has helped secure job-creating agreements that deploy Made-In-Ontario components to build SMR’s for the world.

Advancing construction on the Darlington New Nuclear Project SMRs is just one part of Ontario’s Affordable Energy Future, the government’s vision as it plans for rising energy demand.

A concept image of a GE Hitachi BWRX-300 small modular reactor (SMR), the nuclear technology Ontario Power Generation is using for its new project adjacent to the existing Darlington nuclear plant. (GE-Hitachi)

Quick Facts

  • The government is supporting OPG’s $20.9 billion budget for the Darlington New Nuclear Project, which includes site preparation, engineering and design work to date, as well as the construction of all four small modular reactors.
  • During project development OPG will continue to build respectful, collaborative relationships with the communities of the Williams Treaties First Nations, while pursuing potential opportunities for their equity partnership in the project. This would be a first-of-its-kind partnership in Canada for nuclear energy generation, reflecting the government and OPG’s commitment to ensure local First Nations benefit from new projects in their territories.
  • Once complete, the Darlington New Nuclear Projects four SMRs will produce 1,200 megawatts (MW) of electricity, enough to power 1.2 million homes.
  • According to the IESO, the province would need to build up to 8,900 MW of wind and solar paired with battery storage to replace the output of four SMRs. The IESO also concluded this alternative approach would carry significant risks including significant land requirements and the need for large scale transmission build out.
  • The first SMR will cost $6.1 billion, along with costs for systems and services common to all four SMRs of $1.6 billion. Costs are expected to decline with each subsequent unit as efficiencies are gained, similar to the Darlington Refurbishment Project.
  • OPG began site preparation for the first SMR in December 2022. Ontario announced that OPG would begin planning and licensing for three additional SMRs, for a total of four SMRs at the Darlington nuclear site in July 2023. OPG obtained a Licence to Construct (LTC) for Unit 1 from the Canadian Nuclear Safety Commission (CNSC) in April 2025.
  • To reduce costs the Government of Ontario is exploring potential financial instruments that would benefit ratepayers, and in parallel, OPG continues to explore other optimal financing arrangements.

Quotes

“This is a proud achievement for Ontario – this small modular reactor project is not only powering our future, it is driving real results for our economy. With thousands of good-paying jobs, billions in economic impact, and made-in-Ontario expertise leading the way, we are showing the world what our workers and industries can achieve.”

– Peter Bethlenfalvy
MPP, Pickering-Uxbridge

 

“The launch of Canada’s first grid-scale small modular reactor at Darlington marks a major milestone for our Province—powering growth, creating jobs, and securing a clean energy future right here in Durham Region. This transformative project will strengthen our Region’s economy, provide long-term careers, and reinforce Durham’s role as a leader in clean nuclear innovation.”

– Lorne Coe
MPP, Whitby, Parliamentary Assistant to the Minister of Children, Community and Social Services, and Parliamentary Assistant to the Minister of Colleges, Universities, Research Excellence, and Security

 

“Today’s announcement is the next step to strengthening Ontario and Canada’s energy security while supporting thousands of good-paying jobs for workers in the region. Once complete, this SMR will be the first of its kind in the G7, delivering clean reliable and affordable electricity to homes and businesses.”

– Todd McCarthy
MPP, Durham

 

“As the first mover on SMRs, this made-in-Ontario project will create jobs for the province’s workers, contracts for Ontario’s booming supply chain, and showcase our capabilities and expertise to the world to further grow our domestic industry while strengthening Canada’s energy security. As we saw through the refurbishment project, building a fleet of SMRs with the support of Ontario’s strong nuclear supply chain will provide further opportunities to learn, identify efficiencies, and expand the supply chain. All of this invaluable, irreplaceable experience will prepare us to take on the next large nuclear project.”

– Nicolle Butcher
President and Chief Executive Officer, OPG

 

“This is a proud moment for GE Vernova Hitachi and Ontario as we move from vision to reality with construction of the G7’s first SMR, the BWRX-300. With dozens of Ontario-based suppliers contributing to this project, we’re not just building a reactor—we’re generating thousands of good-paying jobs, driving investment into communities across the province, and reinforcing Ontario’s global leadership in clean energy technology. That leadership is already opening doors to international export opportunities for Ontario companies, helping position our province as a global hub for next-generation nuclear innovation. GE has been part of Canada’s nuclear story from the very beginning, and we’re honoured to carry that legacy forward by delivering a made-in-Ontario solution that strengthens our economy and powers our future.”

– Lisa McBride
Country Leader, GE Vernova Hitachi SMR Canada

 

“Clarington is excited to team up with the Ontario Government and OPG to advance new nuclear technology. As we host the first SMR in the G7, we’re paving the way for clean energy that will benefit everyone. Our leadership in this global nuclear renaissance is thrilling. The Darlington SMR project promises thousands of jobs during construction and hundreds more during operations, boosting economic growth and job creation in Clarington now and in the future.”

– Adrian Foster
Mayor, Clarington

 

“The Ontario Government’s approval of OPG’s small modular reactor project at Darlington represents a major milestone in the province’s clean energy strategy. This project will deliver long-term economic and environmental benefits across Ontario, including thousands of skilled jobs and a reliable, low-carbon power supply. We commend the Province for its continued commitment to investing in innovative and future-focused energy solutions.”

– Olena Hankivsky
Mayor, Municipality of Port Hope

 

“I am excited to be part of this historic announcement. Haldimand County looks forward to working with Minister Lecce on bringing clean energy to Ontario, thousands of jobs and millions of dollars annually into Ontario’s Economy.”

– Shelley Ann Bentley
Mayor, Haldimand County

 

“The Township of St. Clair recognizes the very real impacts the projected shortage of power will have not only in our municipality, but also province-wide. That is why the Ontario Government’s announcement today authorizing the construction of the first of four small modular reactors at the Darlington nuclear site is very exciting.”

– Jeff Agar
Mayor, Township of St. Clair

 

“The Government of Ontario’s approval for OPG to begin construction on its trailblazing Darlington New Nuclear Project is leading the way in delivering the next generation of nuclear plants across North America and internationally. Aecon is proud to bring its diverse nuclear expertise and multidisciplinary capabilities to play a prominent role in safely executing this exciting project to meet the energy demands of future generations in Ontario.”

– Jean-Louis Servranckx
President and Chief Executive Officer, Aecon Group Inc.

 

“This is an exciting day for Clarington, Durham Region, and Canada. Being home to the first site globally to start construction on SMRs demonstrates the leadership role that our region plays in the new nuclear sector. This is a monumental step forward by the Ontario Government for energy security and availability in Canada. Congratulations to OPG on this milestone.”

– John Henry
Regional Chair and Chief Executive Officer, Regional Municipality of Durham

 

“Ontario’s SMR project builds on Ontario’s clean energy advantage by putting Ontario at the forefront of clean energy knowledge and technology that can be exported around the world. The OEA supports the Ontario Government’s plan to make the Province a world leader in nuclear energy and maintain nuclear power as a core element of Ontario’s clean affordable energy sector.”

– Vince Brescia
President and Chief Executive Officer, Ontario Energy Association

 

“Today’s announcement by the Government of Ontario turns vision into reality for the Province’s clean energy future. The construction of the Darlington New Nuclear Project will deliver clean, reliable power that our economy needs to thrive, while driving innovation, investment, and good-paying jobs across the province. By deploying the first grid-scale SMR in the G7, Ontario is cementing its place as a global nuclear leader and an emerging energy superpower.”

– Giles Gherson
President and Chief Executive Officer, Toronto Region Board of Trade

 

“The start of construction on this SMR is a meaningful step forward for Ontario and for Canada. It reflects what can be accomplished through strong leadership, technical excellence, and a clear vision for the future. It also carries real opportunity—for Indigenous-owned businesses to be part of critical infrastructure projects in ways that create long-term impact. We’re proud to support OPG in this work and to stand alongside other supply chain partners helping to drive this project forward.”

– Clint Keeler
President, Voyageur Services Limited

 

“This historic milestone by the Government of Ontario is not only a bold step forward in clean energy innovation, but a powerful demonstration of how local businesses can directly contribute to—and benefit from—nation-leading projects. We are proud to see so many Clarington businesses directly support the construction of the first SMR. We commend OPG and the Provincial Government for their commitment to local economic development and for working with Ontario-based suppliers. Their leadership sets the tone for what’s possible when industry and community work together to power our future.”

– Bonnie Wrightman
Executive Director, Clarington Board of Trade

 

“Ontario’s historic investment in small modular reactors is a powerful statement of confidence in our province’s skilled workforce and energy future. The Darlington SMR project not only secures clean, reliable power for generations, it creates thousands of good-paying jobs and reinforces our position as a global leader in nuclear innovation. LiUNA members are proud to be at the forefront of this transformative project, building the infrastructure that powers our economy, strengthens our communities, and ensures prosperity for working families across Ontario.”

– Joseph Mancinelli
International Vice President, Canadian Director, Labourers’ International Union of North America (LiUNA)

 

“The Ontario Building Trades and Helmets to Hardhats Canada proudly support the Ontario Government’s development of Small Modular Reactors (SMRs) as a key part of Canada’s clean energy future. The construction of SMRs offers prosperous careers for Building Trades workers including Canada’s veterans transitioning to civilian life. We stand ready to help build this next generation of nuclear technology safely, efficiently, and with the highest standards of craftsmanship.”

– James Hogarth
President, Provincial Building and Construction Trades Council of Ontario

 

“To begin construction on the SMR’s at Darlington amidst significant global uncertainty makes it crystal clear that Ontario is not about to hit the pause button or sit on the sidelines and wait. Rather at this pivotal time OPG and the Province are showing their commitment to ensuring that Ontario remains a front runner in clean, reliable baseload power production. At a time when we need to invest in our own energy security, and in the very men and women who power our great province… the government is doing just that in creating jobs, creating clean power, and creating the supply chain that will position us to showcase our world leading nuclear expertise. The International Brotherhood of Boilermakers congratulates OPG, the vendor partners, and the Ontario Government on their announcement to begin the construction phase of North America’s first grid-sized SMR.”

– Jonathan White
Director, International Brotherhood of Boilermakers

 

“The power sector labour market partners have negotiated a 5-year agreement that will provide the labour relations stability to make this historic project by the Ontario Government and OPG a success.”

– Alex Lolua
General Manager, Electrical Power Systems Construction Association

 

“As the union representing the professionals who operate Ontario’s nuclear facilities, the Society of United Professionals is glad to see the Government of Ontario’s approval for the construction of the Darlington Small Modular Reactor. Projects like this will mean more good quality, union jobs that you can raise a family on and support our communities. To electrify our economy, meet our long-term clean energy needs, and achieve Canada’s energy independence we will need SMRs to complement our large-scale CANDU nuclear facilities to power our future.”

– Rebecca Caron
President, Society of United Professionals

 

“Today marks a major step forward for Canada’s clean energy future. The start of construction on the first grid-scale small modular reactor in the G7 is a clear signal that Ontario is serious about decarbonization, energy security, economic growth and international opportunities. With a strong domestic supply chain and world-class expertise, our industry is ready to deliver, bringing clean, reliable power to more Canadians while supporting good jobs and local communities.”

– George Christidis
Interim President and Chief Executive Officer, Canadian Nuclear Association

 

“Salit Steel is proud to play a role in this landmark clean energy project. As a Canadian, family-owned company with over 120 years of experience in the steel industry, we are deeply committed to supporting nation-building infrastructure. We’re honoured to contribute our reinforcing steel expertise to a made-in-Ontario solution that will power homes, create good-paying local jobs, and position Canada as a global leader in nuclear innovation. This project by the Ontario Government and OPG is a pivotal step toward a cleaner, more sustainable energy future, and we’re proud to help build its foundation.”

– Steven Cohen
Owner, Salit Steel

 

“Small modular reactors are pivotal to Ontario’s clean energy and economic future. Ontario Tech University is pleased to see the commencement of construction on the first of four SMRs begin at Darlington. As the home of Canada’s only accredited undergraduate nuclear engineering program, we are dedicated to training the next generation of nuclear industry talent from entry to expert. Our students are uniquely positioned to support these investments and will drive innovation and lead the future of clean energy right here in Durham Region.”

– Dr. Steven Murphy
President and Vice-Chancellor, Ontario Tech University

 

“The Ontario Chamber has long advocated for investments in diverse forms of clean energy — including SMRs — to help meet electricity demand for a growing economy. Today’s announcement – and its exciting opportunities for Ontario companies – supports our businesses and workers, positions Ontario as a global nuclear innovation leader, and helps ensure clean, reliable and affordable energy to power our future.”

– Daniel Tisch
President and Chief Executive Officer, Ontario Chamber of Commerce

 

“The IBEW Local Union 353 appreciates all the continued hard work and support by the Ontario Government – we maintain the growth in developing education programs that support our members in preserving the quality of work that our customers expect. The experience with our members and contractors that we have gained over the last 10 years together has helped us to build valued partnerships and expand community outreach programs that are building our province.”

– Salvatore Maltese
Business Rep, IBEW Local Union 353

 

“BWXT applauds the leadership shown by the Ontario government and OPG to secure the economic and environmental future of Ontario through this historic nuclear energy project. Our team is now manufacturing the first reactor pressure vessel for Darlington and we proudly embrace our role as a key partner to the Canadian nuclear industry.”

– John MacQuarrie
President, Commercial Operations, BWXT

Alberta

Alberta Premier Danielle Smith Discusses Moving Energy Forward at the Global Energy Show in Calgary

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From Energy Now

At the energy conference in Calgary, Alberta Premier Danielle Smith pressed the case for building infrastructure to move provincial products to international markets, via a transportation and energy corridor to British Columbia.

“The anchor tenant for this corridor must be a 42-inch pipeline, moving one million incremental barrels of oil to those global markets. And we can’t stop there,” she told the audience.

The premier reiterated her support for new pipelines north to Grays Bay in Nunavut, east to Churchill, Man., and potentially a new version of Energy East.

The discussion comes as Prime Minister Mark Carney and his government are assembling a list of major projects of national interest to fast-track for approval.

Carney has also pledged to establish a major project review office that would issue decisions within two years, instead of five.

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Alberta

Punishing Alberta Oil Production: The Divisive Effect of Policies For Carney’s “Decarbonized Oil”

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From Energy Now

By Ron Wallace

The federal government has doubled down on its commitment to “responsibly produced oil and gas”. These terms are apparently carefully crafted to maintain federal policies for Net Zero. These policies include a Canadian emissions cap, tanker bans and a clean electricity mandate.

Following meetings in Saskatoon in early June between Prime Minister Mark Carney and Canadian provincial and territorial leaders, the federal government expressed renewed interest in the completion of new oil pipelines to reduce reliance on oil exports to the USA while providing better access to foreign markets.  However Carney, while suggesting that there is “real potential” for such projects nonetheless qualified that support as being limited to projects that would “decarbonize” Canadian oil, apparently those that would employ carbon capture technologies.  While the meeting did not result in a final list of potential projects, Alberta Premier Danielle Smith said that this approach would constitute a “grand bargain” whereby new pipelines to increase oil exports could help fund decarbonization efforts. But is that true and what are the implications for the Albertan and Canadian economies?


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The federal government has doubled down on its commitment to “responsibly produced oil and gas”. These terms are apparently carefully crafted to maintain federal policies for Net Zero. These policies include a Canadian emissions cap, tanker bans and a clean electricity mandate. Many would consider that Canadians, especially Albertans, should be wary of these largely undefined announcements in which Ottawa proposes solely to determine projects that are “in the national interest.”

The federal government has tabled legislation designed to address these challenges with Bill C-5: An Act to enact the Free Trade and Labour Mobility Act and the Building Canada Act (the One Canadian Economy Act).  Rather than replacing controversial, and challenged, legislation like the Impact Assessment Act, the Carney government proposes to add more legislation designed to accelerate and streamline regulatory approvals for energy and infrastructure projects. However, only those projects that Ottawa designates as being in the national interest would be approved. While clearer, shorter regulatory timelines and the restoration of the Major Projects Office are also proposed, Bill C-5 is to be superimposed over a crippling regulatory base.

It remains to be seen if this attempt will restore a much-diminished Canadian Can-Do spirit for economic development by encouraging much-needed, indeed essential interprovincial teamwork across shared jurisdictions.  While the Act’s proposed single approval process could provide for expedited review timelines, a complex web of regulatory processes will remain in place requiring much enhanced interagency and interprovincial coordination. Given Canada’s much-diminished record for regulatory and policy clarity will this legislation be enough to persuade the corporate and international capital community to consider Canada as a prime investment destination?

As with all complex matters the devil always lurks in the details. Notably, these federal initiatives arrive at a time when the Carney government is facing ever-more pressing geopolitical, energy security and economic concerns.  The Organization for Economic Co-operation and Development predicts that Canada’s economy will grow by a dismal one per cent in 2025 and 1.1 per cent in 2026 – this at a time when the global economy is predicted to grow by 2.9 per cent.

It should come as no surprise that Carney’s recent musing about the “real potential” for decarbonized oil pipelines have sparked debate. The undefined term “decarbonized”, is clearly aimed directly at western Canadian oil production as part of Ottawa’s broader strategy to achieve national emissions commitments using costly carbon capture and storage (CCS) projects whose economic viability at scale has been questioned. What might this mean for western Canadian oil producers?

The Alberta Oil sands presently account for about 58% of Canada’s total oil output. Data from December 2023 show Alberta producing a record 4.53 million barrels per day (MMb/d) as major oil export pipelines including Trans Mountain, Keystone and the Enbridge Mainline operate at high levels of capacity.  Meanwhile, in 2023 eastern Canada imported on average about 490,000 barrels of crude oil per day (bpd) at a cost estimated at CAD $19.5 billion.  These seaborne shipments to major refineries (like New Brunswick’s Irving Refinery in Saint John) rely on imported oil by tanker with crude oil deliveries to New Brunswick averaging around 263,000 barrels per day.  In 2023 the estimated total cost to Canada for imported crude oil was $19.5 billion with oil imports arriving from the United States (72.4%), Nigeria (12.9%), and Saudi Arabia (10.7%).  Since 1988, marine terminals along the St. Lawrence have seen imports of foreign oil valued at more than $228 billion while the Irving Oil refinery imported $136 billion from 1988 to 2020.

What are the policy and cost implication of Carney’s call for the “decarbonization” of western Canadian produced, oil?  It implies that western Canadian “decarbonized” oil would have to be produced and transported to competitive world markets under a material regulatory and financial burden.  Meanwhile, eastern Canadian refiners would be allowed to import oil from the USA and offshore jurisdictions free from any comparable regulatory burdens. This policy would penalize, and makes less competitive, Canadian producers while rewarding offshore sources. A federal regulatory requirement to decarbonize western Canadian crude oil production without imposing similar restrictions on imported oil would render the One Canadian Economy Act moot and create two market realities in Canada – one that favours imports and that discourages, or at very least threatens the competitiveness of, Canadian oil export production.


Ron Wallace is a former Member of the National Energy Board.

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