The Canadian government has included small modular reactors (SMRs) among clean energy technologies eligible for a new investment tax credit. This was seen as a clear sign that nuclear power is considered clean energy on par with other low-carbon technologies.

Chrystia Freeland, Deputy Prime Minister and Minister of Finance, said today’s focus is “on … building an economy that works for all … even as we face global headwinds, the investments we make today will make Canada more resilient and prosperous for generations to come.” “

In its April 2022 budget, the federal government pledged to create an investment tax credit for clean technology investments focused on zero-emission technologies, battery storage solutions, and clean hydrogen.

The government also said in a statement that it would consult “additional suitable technologies (such as large-scale nuclear and large-scale hydropower)”. The government will announce specific details on what these technologies will be in the 2023 budget. The investment tax credit is expected to be worth C$6.7 billion (US$5 billion) over five years starting 2023-2024.

“The inclusion of nuclear power in the investment tax credit for clean energy technologies is an important step for the industry and great news for our climate and economy,” said John Gorman, president and CEO of the Canadian Nuclear Association (CNA). .

This confirms what we’ve been saying for years at CNA: nuclear power is clean energy and should be an important part of Canada’s strategy to reduce emissions towards net zero while maintaining energy security.