Darlington's SMRs: An Energy Gamble with High Costs and Risks

Why the Darlington SMRs Could Burden Ontario's Energy Future

In October 2025, Ontario took a major step toward embracing Small Modular Reactor (SMR) technology with the designation of the four-unit SMR project at its Darlington site as a “Major Project.” This initiative, backed by a $2 billion federal investment along with $1 billion from the provincial Building Ontario Fund, is being touted as a vital element in Canada’s clean-power strategy. However, while the project has been presented as a beacon of innovation, some analysts argue that it threatens to escalate costs and emissions while injecting political risks into the energy framework.

The Illusion of Modernization

Ontario Power Generation’s (OPG) shift toward SMRs reflects a significant pivot from the CANDU reactors that once established the province’s nuclear prowess. While the Canadian approach in nuclear engineering has delivered consistent energy supply and high-skill jobs, the current reliance on GE Hitachi technology poses new challenges. Canadian reactor specialists, well-versed in CANDU systems, will need to master entirely different SMR operations. This transition is expected to lead to greater complications without securing the promised jobs or energy security.

Employment & Economic Concerns

Historically, energy giants like Darlington have been robust job creators, employing around 15,000 workers in a region with a total labor force of 70,000. As the refurbishment of existing reactors continues, the new SMR project might not yield additional employment opportunities. Instead, by diverting billions toward this nascent nuclear technology, Ontario risks destabilizing the solid job base currently grounded in the CANDU reactors.

Nuclear Dependency and Political Risks

Aligning with U.S. technology means subjecting Ontario's energy projects to external regulations and supply chains vulnerable to geopolitical shifts. The current trade tensions between Canada and the U.S. only heighten these dependencies, prompting fears that a change in U.S. policies could jeopardize the necessary fuel supplies or introduce significant operational challenges. This surge in reliance on foreign partnerships raises questions about the sustainability of Ontario's energy sovereignty.

Cost Analysis and The Future

Investments in nuclear projects have historically faced substantial cost overruns and construction delays. With current estimates for the first unit hovering around $6 billion, experts warn that total expenses might triple as unforeseen challenges arise, echoing patterns from previous nuclear projects. The comparison with renewable energy sources sheds light on the economic misalignment; the anticipated cost of SMR electricity could far surpass the developing costs of solar and wind sources. By investing heavily in SMRs, Ontario may inadvertently lock itself into a more costly and carbon-heavy energy future.

Environmental and Emission Risks

The SMR initiative comes with environmental challenges that could compromise Ontario's position on emissions. Although touted as cleaner energy, the project adds complexity to Ontario's existing nuclear landscape, leading to increased emissions from the natural gas plants installed to manage nuclear's inflexible power output. As more fossil fuel generation is added, the paradox of a province aimed at reducing carbon footprints becomes starkly apparent. Choices rooted in SMR expansions threaten to muddy Ontario’s progress towards net-zero emissions.

A Call for Action Towards Renewables

As Ontario embarks on this ambitious SMR project, it is vital to reconsider this trajectory. Expanding on renewable energy capabilities instead seems to be a more economically viable and environmentally responsible route. The combination of vast hydro resources, increasing storage capacities, and local job growth posits a compelling case against the further development of nuclear energy.

In conclusion, while the potential benefits of the SMR program in Ontario are grandly packaged, the underlying risks suggest a heavy toll on energy affordability, environmental integrity, and workforce stability. Engaging with renewable alternatives may not only fulfill Ontario's energy needs but also align more closely with a sustainable and economically sound vision for the future.

Stay informed and involved in the ongoing conversations about Ontario's energy policies. Explore how the shifts in energy strategy impact local contractors and builders, and consider how your practices can adapt toward more sustainable methods.