[Global Focus] Even Bill Gates Is Hooked... US Accelerates Nuclear Power Development

Bipartisan Support for 'Nuclear Energy Act' in US
Surging Energy Demand Amid AI Boom... Rising Interest in Nuclear Power
Closely Linked to National Security... Countries Accelerate Efforts

As awareness of the crises surrounding artificial intelligence (AI) and climate change grows, the United States is accelerating its efforts in nuclear power generation. The strategy aims to produce eco-friendly energy through nuclear power while securing energy leadership from Russia and China.

On the 9th (local time), U.S. President Joe Biden signed the bipartisan 'ADVANCE Act' to strengthen the nuclear energy industry. The act simplifies the procedures for nuclear power plant licensing and reduces the fees companies must pay for nuclear plant permits. Earlier, in March, the Biden administration also supported a $1.5 billion (approximately 2 trillion KRW) policy loan for restarting decommissioned nuclear plants.

Dominion Energy's North Anna Power Station in Virginia, USA
[Photo by AP Yonhap News]

'Nuclear Power' Receives Bipartisan Support Ahead of U.S. Presidential Election

Despite fierce competition between the ruling Democratic Party and the opposition Republican Party ahead of the U.S. presidential election, the Nuclear Power Act unusually secured bipartisan support. Both parties have joined forces to rebuild the nuclear ecosystem. The Biden administration and Democrats, who prioritize eco-friendliness in their national agenda, plan to reduce dependence on fossil fuels and lower greenhouse gas emissions through nuclear energy. The Republicans expect job creation and economic growth effects from the nuclear industry.

With explosive growth in AI, semiconductors, and electric vehicles, energy demand is surging. Data centers, essential for AI, have earned the nickname "electricity guzzlers." Recently, big tech companies like Google are trying to integrate generative AI into their search services. According to the U.S. Electric Power Research Institute, ChatGPT consumes ten times more electricity than traditional search. According to Rystad Energy, just accounting for data center construction for AI support and electric vehicle adoption, U.S. electricity demand is expected to increase by 290 TWh by the end of 2029. This capacity matches the entire electricity demand of T?rkiye, the world's 18th largest economy.

Fossil fuels such as coal and oil emit carbon, exacerbating the climate crisis. Renewable energies like solar and wind are heavily influenced by environmental changes, making stable power supply difficult. Their generation costs are also higher than other energy sources. Nuclear power is gaining attention as a clean energy source that produces large-scale, stable electricity without carbon emissions.

According to the World Nuclear Association (WNA), the U.S. produced 772.2 billion kWh of energy from nuclear power in 2022, accounting for about 30% of global nuclear power generation. However, most reactors were built in the 1970s and 1980s and are aging, making generational replacement urgent.

Growing Interest in Nuclear Power in Industry Amid AI Boom... Bill Gates Included

Interest in nuclear power is also rising in the industry. According to The Wall Street Journal (WSJ), one-third of U.S. nuclear power plant owners are discussing technology companies and power supply solutions. The AI boom has increased data centers and electricity consumption. Amazon Web Services (AWS) has signed a contract to receive power directly from a nuclear power plant located on the U.S. East Coast. This is to supply electricity to a nuclear-based data center in Pennsylvania secured last March.

Microsoft founder Bill Gates attended the Breakthrough Energy Summit held in London, UK, on the 27th of last month.
[Image source=Reuters Yonhap News]

Investment in nuclear power is also active. A representative case is Microsoft (MS) founder Bill Gates. Until last month, he invested more than $1 billion (approximately 1.377 trillion KRW) in TerraPower, a next-generation small modular reactor (SMR) company, and announced plans to invest several billion more. He has been actively promoting nuclear power through interviews with major U.S. media such as CNN and CBS.

Gates co-founded TerraPower early in 2008 to produce clean energy. SK Inc. and SK Innovation also invested $250 million (approximately 344.3 billion KRW) in 2022. Last month, TerraPower held a groundbreaking ceremony for the next-generation SMR in Wyoming, USA. Although TerraPower has started construction, it has not yet received reactor licensing, but the passage of the Nuclear Power Act is expected to accelerate the project.

Beyond Clean Energy: Closely Linked to National Security

Expanding nuclear power is not limited to the United States. In December last year, representatives from 22 countries, including South Korea and the U.S., attending the 28th United Nations Climate Change Conference of the Parties (COP28), signed a declaration to triple nuclear power plant capacity by 2050 compared to 2020.

The reason countries are expanding nuclear power goes beyond climate change response; it is closely linked to national security. Western countries, which had slowed down in nuclear power after the Chernobyl and Fukushima nuclear accidents, have recently been accelerating again.

In particular, Europe has shown increased interest in nuclear power due to carbon neutrality and the heightened importance of energy security following Russia's invasion of Ukraine. This is to reduce dependence on Russian oil and gas. According to WNA, as of 2022, France produces 62.5% of its total electricity from nuclear power, and Hungary produces 47%.

French President Emmanuel Macron announced plans in 2022 to build up to 14 new nuclear reactors by 2050. At the Davos Forum in January this year, he stated, "With the advent of the AI era, electricity has become even more important," adding, "We are improving energy efficiency by expanding nuclear power in response."

Bill Gates has also emphasized the energy security characteristics of nuclear power and stated that the U.S. should take global leadership. This is because materials used in nuclear power generation could be useful for military-related activities.

Panoramic view of the construction site of the Kursk II Nuclear Power Plant in Russia [Image source=TASS Yonhap News]

The energy security confrontation between the Western bloc centered on the U.S. and China and Russia is also underway. According to foreign media, China is expanding its reactors at the fastest pace in the world. According to the U.S. Energy Information Administration and the International Atomic Energy Agency, China's nuclear power plant capacity has more than doubled over the past decade. As of April this year, China has 55 reactors with a capacity of 53 GW (gigawatts). In 2014, it was less than 20 GW. Additionally, 26 reactors with a total capacity of 30 GW are currently under construction.

Russia is using nuclear energy to expand its global influence. According to major foreign media, Russia is involved in more than one-third of new reactors under construction worldwide, including in China, Iran, and Egypt. Nuclear power generation is a long-term project, and once contracts are signed, long-term friendly relations must be maintained.

According to Russia's TASS news agency, Russia's state nuclear company Rosatom announced that after a summit between Russian President Vladimir Putin and Indian Prime Minister Narendra Modi, they are discussing a joint project to build six new nuclear power plants in India. Additionally, during Putin's state visit to Vietnam last month, Rosatom stated it is considering establishing a nuclear science and technology center in Vietnam and pledged to support Vietnam's nuclear power industry.