AI’s Power Needs Means New Nuclear Power Tech Can’t Fail, US Energy Official Says

Naureen S. Malik, Bloomberg News

Engineers walk in the installation of a unit that conducts experimental studies on Small Modular Reactors in Saint-Paul-les-Durance, France. Photographer: Nicolas Tucat/AFP/Getty Images , Photographer: Nicolas Tucat/AFP/Getty Images

(Bloomberg) -- Surging electricity demand for artificial intelligence and data centers means next-generation nuclear power “can’t fail,” according to a top US Energy Department official.

David Crane, undersecretary for infrastructure at the department, said he’s now “very bullish” on emerging designs for so-called small modular reactors. That’s a significant shift from his earlier stance, when “I didn’t really see” a case for using the technology.

The comments underscore the need for new power sources to meet demand from AI, electric vehicles and factories after about a decade of flat electricity usage. This demand is spurring interest in SMRs, said Crane.

“It’s in the can’t-fail category,” Crane said Tuesday at the American Council on Renewable Energy Finance Forum event in New York. “As far as I can tell, it’s the only technology that can give you the concentration of zero-carbon power.”