Canada's Nuclear Gambit: Betting on CANDU for an Era of Energy Power

OTTAWA, ON – June 22, 2026

In a move that signals a seismic shift in national energy policy, the Government of Canada today unveiled a sweeping Nuclear Energy Strategy, heralding what the Minister of Energy and Natural Resources called a “new civilian nuclear renaissance.” The ambitious 23-page document lays out a multi-decade plan to double the nation's electrical grid capacity by 2050, placing its indigenous nuclear technology, CANDU, at the very core of its ambitions for energy security, economic prosperity, and global influence.

The strategy was immediately welcomed by AtkinsRéalis, the engineering giant and official steward of the CANDU reactor technology. "Minister Hodgson has demonstrated clear leadership and foresight in advancing a Nuclear Energy Strategy that reflects the ambition and vision Canada's nuclear industry deserves," said Ian L. Edwards, President and CEO of AtkinsRéalis. The company, which stands as the exclusive licensee of the government-owned technology, sees the strategy as a long-awaited endorsement that could unlock decades of growth.

At its heart, the plan is a robust bet on nuclear fission as the indispensable workhorse for a net-zero future. With projections showing electricity demand set to skyrocket due to the electrification of transport and industry, the government argues there is “no credible plan” to meet these needs and climate targets without a massive expansion of nuclear power. This strategy is not just about keeping the lights on; it's a blueprint for re-engineering Canada's economic and geopolitical posture for the 21st century.

Powering the Domestic Engine

The strategy's domestic vision is staggering in scale. It aims to double Canada's nuclear workforce from 90,000 to over 180,000 people by 2050, transforming a mature industry into a high-growth sector. This workforce supports a national supply chain of more than 250 companies that already contributes an estimated $22 billion to the economy annually.

Central to this plan is the commitment to new builds. The strategy sets a target to begin construction on two new large-scale reactors by 2035, with five more planned or under development by 2040. Crucially, it mandates that at least one of these reactors be under construction outside of the traditional nuclear heartland of Ontario by 2035, signaling a true national rollout. Provinces like Saskatchewan, with its vast uranium deposits, along with Alberta and New Brunswick, are identified as key regions for expansion.

To facilitate this, the government is also championing Small Modular Reactors (SMRs). The Darlington New Nuclear Project in Ontario is already set to host the first SMR deployment in the G7, backed by up to $3 billion in combined investment from the Canada Growth Fund and the Building Ontario Fund. The strategy further envisions a Canadian-made microreactor being finalized by 2035 for deployment in remote and northern communities, addressing longstanding issues of energy security and affordability in the Arctic.

A Global Nuclear Play

Beyond its borders, the strategy positions Canada to reclaim its status as a Tier-1 nuclear nation and a global supplier of choice. The plan sets clear export goals: break into at least four new international markets for CANDU technology by 2040 and engage up to ten new nuclear entrant nations over the next 15 years. This isn't just about commerce; it's a calculated act of energy diplomacy.

CANDU technology possesses a unique strategic advantage in today's fraught geopolitical landscape. Unlike most reactors, which require enriched uranium—a market heavily influenced by Russia—CANDU reactors run on natural uranium. This fuel flexibility offers a powerful route to energy sovereignty for nations seeking to decouple from unstable supply chains. Canada, as the world's second-largest uranium producer, is perfectly positioned to offer a complete package: the reactor, the fuel, and the long-term partnership.

The government is signaling it will put its weight behind these exports. Officials have pointed to potential financial backing from the Canadian Infrastructure Bank and have actively supported AtkinsRéalis's recent efforts to promote CANDU technology in Poland, a nation actively seeking to build out its nuclear capacity. Each international CANDU project is seen as a way to forge durable, multi-generational relationships, reinforcing Canada's strategic influence.

The Nuclear Balancing Act

While the strategy paints a bright picture of a low-carbon, high-tech future, it also implicitly acknowledges the immense challenges ahead. The scale of investment is monumental, with some officials suggesting the total cost for new reactors could exceed $100 billion. The strategy itself points toward existing federal funding mechanisms rather than allocating new, large-scale capital upfront, a point critics have seized upon, noting that “an announcement will not build anything.”

The plan also involves a complex technological balancing act. The government is backing both the modernization of its legacy large-scale CANDU design, with a target for a cost-competitive update by 2030, and the parallel development of nimble SMRs. This dual-track approach recognizes that different solutions are needed for different grids and markets, but it also divides focus and resources.

Underpinning this entire endeavor is the persistent public question of nuclear safety and waste. The strategy emphasizes Canada's “world-leading safety regime” under the independent Canadian Nuclear Safety Commission (CNSC). It also points to the work of the Nuclear Waste Management Organization (NWMO) in developing a permanent deep geological repository for spent fuel. However, successfully navigating the regulatory process, securing public acceptance, and managing the multi-generational responsibility of nuclear waste remain the most critical hurdles to turning this ambitious strategy into concrete and steel.