ABB: Powering Net Zero with Nuclear Baseload, Policy & SMRs

In 1932, John Cockcroft, Ernest Walton and Ernest Rutherford discovered that splitting lithium atoms released large amounts of energy. The first commercial nuclear power station, Calder Hall in the UK, was opened in 1956 and in 2025, SMRs are gaining popularity and being deployed. 

According to the IEA, nuclear energy now avoids 1.5 gigatonnes of global emissions and 180 billion cubic metres of global gas demand each year with 413 GW of capacity across 32 countries. With energy systems around the world decarbonising, carbon free nuclear power is an attractive choice. 

Per Erik Holsten is President of ABB Energy Industries and has worked in the energy sector for more than 30 years across both hydrocarbons and renewables. He began his career as an engineer before progressing to senior leadership roles. 

Per Erik shares his expertise on nuclear power and global decarbonisation with Energy Digital.

Why is it important to decarbonise energy?

The imperative for decarbonisation stems from the need to enable a net zero society, create a more diverse energy ecosystem and transition to a more sustainable energy future. It remains fundamentally true that the greenest unit of energy is the one we don't use. We must reframe how we think about energy production, seeking realistic and cost-effective ways to reduce emissions and scale up low-carbon solutions.

The energy transition is not a simple "either-or" challenge, but rather about achieving synergy across three critical pillars - security, sustainability and affordability. Our goal must be to accelerate clean energy deployment in a way that enhances reliability and ensures that more sustainable solutions do not compromise energy security or economic stability.

What role can nuclear play in bringing energy towards net zero?

ABB is in favour of all low-carbon energy sources, including nuclear. Nuclear power is increasingly recognized as a crucial component of a net zero future. The IEA’s 2050 Net Zero Pathway clearly states that while clean energy technologies like solar PV and wind are important, they alone are insufficient to deliver net zero emissions. Large-scale, smarter infrastructure networks, including nuclear power and innovative technologies such as small modular reactors (SMRs), are essential.

As a complement to intermittent renewable energy sources, nuclear provides consistent, reliable baseload power that can support a stable energy grid. With growing electricity demand, particularly driven by the electrification of transportation and industry, nuclear offers a reliable solution as part of the future energy mix.

What are the benefits of nuclear energy?

Nuclear energy offers several key advantages. According to the IEA, SMRs present particularly promising opportunities, offering lower capital costs, enhanced safety and greater deployment flexibility compared to conventional nuclear power plants. The technology provides consistent, low carbon electricity that can help stabilise power grids and support the integration of more intermittent renewable sources.

In countries like Sweden, where we recently partnered with Blykalla on an SMR project, nuclear power reactors already provide about 30% of electricity, demonstrating the technology's potential for meaningful grid contribution. Sweden also has a goal to achieve a fossil-free electricity system by 2040, with nuclear power playing a key role in this transition.

Electricity demand will increase around the world as more and more industrial processes decarbonise and the rapid growth of data centres continues. New power generation capacity will be needed to keep pace, and nuclear – along with other low-carbon energy sources including the likes of hydro, solar, offshore wind and geothermal – need to be part of the solution.

How can policy support nuclear energy?

The energy transition is a long game – change won’t happen overnight. Therefore, policy plays a critical role in enabling development across the energy mix, not just in nuclear. Stable, long-term policy frameworks are essential for providing businesses with confidence over longer term planning and investment decisions across financial and technological domains. 

Governments can support businesses by accelerating public sector processes; approving permits with greater speed and ambition; creating clear and consistent regulatory environments; and providing investment signals that translate into action by businesses.

What challenges is nuclear power facing?

According to the IEA report The Path to a New Era for Nuclear Energy, the renewed momentum behind nuclear could lead to a record breaking year in 2025. With 70 GW of new nuclear capacity under construction globally, it represents one of the highest levels in the last three decades.

We know that initial capital costs remain a challenge, along with the need for continued technological innovation. However, emerging technologies like SMRs are addressing many of these concerns by offering more flexible, safer and potentially more economical solutions.

What can collaborations and partnerships do to support the energy transition?

Collaboration is paramount. No single company or country can drive the energy transition alone. Partnerships along the entire value chain are instrumental in accelerating the commercialisation not only of advanced nuclear technologies but across the new energy mix.

Our recent collaboration with Blykalla on an SMR pilot project exemplifies this approach. Through our partnership, we're exploring how automation, electrification and digitalisation solutions can support nuclear technology development, including robust cybersecurity frameworks to ensure safety compliance.

The pilot facility is based near the coastal town of Oskarshamn, 340km south of Stockholm, and will test proof of concept before expanding to future plants. ABB’s expertise in power distribution, control and automation technologies, as well as system integration, will lay the groundwork for a successful deployment of advanced nuclear technologies on the pilot reactor project, helping to advance next-generation nuclear technology. 

This project has moved forward because the Swedish government has policy in place that supports nuclear energy expansion in pursuit of clean electricity. This level of policy certainty creates the strong investment signal for the private sector that I mentioned earlier – ensuring that partnerships like that of ABB and Blykalla are based on strong foundations for success.

As the momentum behind nuclear energy continues to gather pace, we see opportunities to extend our work with companies that build SMRs, providing them with the technologies that safeguard their automation, electrification and digital scope and help deliver safe, efficient and sustainable operations.

How can a successful energy transition be achieved?

A successful transition requires a multifaceted approach. Collaboration, policy certainty, technological innovation and strategic investment – all are needed to succeed – but the key thing is that we should seek progress over perfection and increase the diversity of our energy mix.

At ABB, our goal is to enable industries to "outrun – leaner and cleaner" by leveraging technologies in automation, electrification and digitalisation to help industries become more productive, efficient and sustainable. Essentially, we help them to outperform. 

The path to decarbonisation is complex but achievable. Nuclear energy, when developed responsibly and integrated strategically, can play a pivotal role in our global efforts to create a more sustainable energy future.