Next-Generation Nuclear Power Can Meet Data Center Energy Demand—If Regulations Allow It

Private sector interest in SMRs persists, as demonstrated by Meta’s deal with Oklo and TerraPower. But if SMRs are to meet the large-scale energy demand of data centers, major regulatory reform remains necessary.

“Many data center companies have a strong preference for electricity from SMRs, and are even willing to pay a price premium for it, because of the reliable, clean energy SMRs can provide,” says Josiah Neeley, an energy analyst at the R Street Institute. “The big question is whether SMRs can be permitted and built on a fast enough time scale to meet that growing demand.”