Incentives

The two major incentives for SMR deployment are as follows.

1.2.1.1 Reduction of initial investment and associated financial risk

The modular concept allows the investor to achieve the level of total power supply desired by time-sequenced construction increments. Not only does each module increment cost less than that of the large monolithic competitor plant, but the time profile of capital investments can be somewhat offset by revenues from the earliest module deployments as they achieve commercial operation. However, when module construction is staggered, great care must be taken to insure that construction does not adversely impact the safety of the operating SMR.