Nuclear power poised to reshape shipping

This is the findings of a new report from Lloyd’s Register (LR) and consultancy LucidCatalyst. Commissioned by Seaspan Corporation, the study examines how small modular reactors (SMRs) could be integrated into large container vessels.

“SMR is a very exciting technology offering several desirable benefits for shipowners and operators, as outlined in this report,” said Seaspan chief technology officer, Peter Jackson. “Naturally there are challenges to overcome, but I am confident that ongoing work in this area and studies like this will soon allow nuclear powered containerships to be operating safely, economically and emission free.”

LucidCatalyst’s modelling suggests the numbers add up: a 15,000 teu ship running on nuclear power could cut roughly US$50 million in annual bunker fuel costs and sidestep another US$18 million in expected carbon charges. The reactors’ compact footprint could even free up around 5% more container space.

Speed is another selling point. The authors say a nuclear-powered ship cruising at 25 knots – roughly 40% faster than today’s norm – could complete 6.3 round voyages per year instead of five, boosting annual cargo capacity by up to 38%.

“Nuclear propulsion offers not just a decarbonised solution, but a transformative economic opportunity,” said Meg Dowling, senior engineer for Nuclear Technology at LR. “These findings give us a strong foundation to define how systems can be integrated within the commercial fleet.”

Cost remains the biggest hurdle, though the report lays out a path to scale. If industry players commit to buying more than 1,000 reactor units over the next decade or so, manufacturing costs could fall to US$750–1,000 per kilowatt, far below conventional nuclear build prices. Reactors would be designed for five-year intervals between refuelling and serviced during normal drydock cycles.

LucidCatalyst’s Eric Ingersoll went further, arguing nuclear could undercut both fossil and green alternatives. “Nuclear propulsion transforms shipping economics, not just emissions,” he said. “The key is organising the market through a cross-industry consortium.”

The report marks the first phase of a three-part programme that will move next into concept design, regulatory engagement and detailed implementation planning.