Nuclear reactors for Paraguay could cost between $50 million and $4 billion

Paraguay is set to explore nuclear energy for civilian use following a memorandum of understanding signed with the United States. The Regulatory Authority for Radiation and Nuclear (ARRN) anticipates that a microreactor could be operational within five years, and a small modular reactor (SMR) within ten years.

Costs for these installations vary significantly based on technology and scale. According to market data from the US and Canada, microreactors could cost between $50 million and $120 million for a unit produced in series, generating around 5 MW of electrical power. SMRs, designed for commercial deployment, could range from $50 million up to $4 billion, producing between 300 MW and 345 MW of power.

Companies involved in developing these technologies include GE Hitachi Nuclear Energy, TerraPower (backed by Bill Gates), NuScale Power, X-energy, Westinghouse, and Terrestrial Energy. The type of reactors projected for Paraguay are microreactors and SMRs, which have been developed since the 1950s and are now seen as geopolitical tools.

For context, Paraguay's Acaray Hydroelectric Power Plant has a total installed capacity of 210 MW. A single SMR could potentially exceed this capacity by 42% to 64%. The ARRN indicated that while the initiative is in its early stages, the focus is on acquiring reactors from the US or Canada. Implementation could occur in both public and private sectors, with the possibility of selling surplus energy to the national power company, ANDE.