Southeast Asia’s Nuclear Energy Expansion: A Strategic Market for Nuclear Business and Investment
Southeast Asia is entering a transformative phase in its energy sector, with nuclear power emerging as a cornerstone of economic growth, energy security, and sustainability. Governments across the region are advancing nuclear power integration into their national energy strategies, opening a multi-billion-dollar market for global investors, technology providers, and energy companies. As electricity demand surges and nations accelerate their decarbonization commitments, nuclear energy is set to become a fundamental part of the region’s power mix, unlocking expansive business and investment opportunities across the nuclear value chain.
Indonesia: Advancing Nuclear Leadership with Bold Plans
Indonesia, Southeast Asia’s largest economy, is at the forefront of nuclear development, actively transitioning away from its fossil fuel-heavy energy mix. In 2023, fossil fuels accounted for 86% of Indonesia’s electricity generation, with coal alone contributing over half of the country’s 90 GW installed capacity. To diversify its energy sources and reduce emissions, Indonesia is targeting the deployment of its first small modular reactor (SMR) by 2030, followed by large-scale nuclear power plants by 2036.
The National Energy Council has identified 29 potential sites for nuclear facilities, with plans to develop between 45 GW and 54 GW of nuclear capacity by 2050. Recently, Presidential Special Envoy for Climate and Energy Hashim Djojohadikusumo stated at an energy forum that Indonesia aims to build nuclear power plants for cleaner energy, with a target of 4.3 GW, including floating SMRs. The government has also announced plans to develop more than 20 nuclear power plants by 2050, reinforcing its commitment to nuclear expansion.
ThorCon, through its Indonesian subsidiary, is preparing to establish a 500-MW nuclear plant in Bangka-Belitung by 2032, while state-owned PT PLN is collaborating with U.S. and Japanese partners to deploy SMRs below 300 MW, catering to electrification needs in remote regions. International players—including South Korea, Russia, France, and China—have expressed strong interest in Indonesia’s nuclear sector, recognizing the government’s commitment to innovative solutions such as floating SMRs and a roadmap targeting over 20 nuclear power plants by mid-century. These efforts align with Indonesia’s pledge to reduce emissions by 29% by 2030, positioning the country as a key player in the regional nuclear energy landscape.
Malaysia: Laying the Foundation for Nuclear Power Deployment
Malaysia remains heavily reliant on fossil fuels, which account for over 80% of its electricity generation, while hydropower contributes only 17%. Following a proposal by the National Energy Council (MTN), the Cabinet designated nuclear as a post-2035 power generation option. MyPOWER, under the Energy Transition and Water Transformation Ministry (Petra), has been tasked as Malaysia’s nuclear energy programme implementation organisation (NEPIO) to oversee preparations under the IAEA framework.
The Malaysian Nuclear Agency (MNA), with over four decades of expertise, operates the Triga Puspati research reactor and will play a key role in nuclear development. To build public awareness, The Ministry of Science, Technology, and Innovation (MOSTI) is coordinating educational initiatives with the Communications Ministry, including forums and expert dialogues. Additionally, plans are in place to train a skilled workforce for managing nuclear infrastructure. "A crucial development is Lynas' rare earth refinery in Pahang, the largest outside China, which is advancing technology to extract thorium for use as nuclear fuel. This aligns with Malaysia’s goal of achieving net-zero emissions by 2050 and diversifying its energy mix.
Philippines: Reviving Nuclear Ambitions to Secure Energy Independence
The Philippines is accelerating efforts to integrate nuclear power into its energy mix, with a focus on enhancing energy security and sustainability. Coal currently dominates the country’s electricity generation at 60%, underscoring the urgency of diversifying power sources.
Despite the completion of the Bataan Nuclear Power Plant (BNPP) in 1984, the facility was never commissioned. However, a 2022 executive order reinstated nuclear energy into the national energy policy, with a target of 1,200 MW of nuclear capacity by 2032 and 4,800 MW by 2050. Korea Hydro & Nuclear Power (KHNP) is currently conducting a feasibility study on the potential recommissioning of BNPP, which could see nuclear energy integrated into the grid within five years.
Meanwhile, U.S.-based NuScale Power has proposed up to $7.5 billion in SMR investments, identifying key deployment sites across the country. The Nuclear Energy Programme Implementing Organization (NEPIO) has expanded to 24 government agencies, signaling strong state backing for nuclear development. The Philippines is also strengthening international partnerships to facilitate technology transfer, infrastructure expansion, and regulatory advancements.
Vietnam: Accelerating Nuclear Infrastructure Development
Vietnam is fast-tracking its nuclear energy plans, directing state-owned enterprises such as Electricity of Vietnam (EVN) and Vietnam Oil & Gas Group (Petrovietnam) to advance the construction of two nuclear plants in Ninh Thuan province by 2030. The project consists of two facilities, each with two reactors, located in Phuoc Dinh and Vinh Hai.
To streamline nuclear expansion, the government is revising its atomic energy laws and power development strategy. Vietnam has also signed agreements with key international partners—including Russia, Japan, South Korea, France, and the U.S.—to strengthen technical expertise and investment flows.
A significant milestone in Vietnam’s nuclear trajectory was the recent agreement between Rosatom and EVN, reaffirming Vietnam’s commitment to nuclear power during Russian Prime Minister Mikhail Mishustin’s visit to Hanoi. This development highlights Vietnam’s strategic intent to leverage global expertise in scaling its nuclear infrastructure.
Beyond the Big Four: Expanding Nuclear Prospects in Southeast Asia
Several Southeast Asian nations are advancing nuclear energy initiatives, expanding the region’s commercial potential. Thailand is developing a regulatory framework for SMR deployment, with the Energy Regulatory Commission (ERC) and Atoms for Peace signing an MoU to study policies supporting nuclear power plant development. Singapore has entered a nuclear cooperation agreement with the U.S., focusing on expertise exchange across government, industry, and research sectors. Meanwhile, Laos, Cambodia, and Myanmar are showing growing interest in nuclear energy as part of their long-term infrastructure and energy security strategies.
Why Businesses Should Capitalize on Southeast Asia’s Nuclear Market Now
Southeast Asia’s nuclear expansion is not just a regulatory shift—it is a high-growth commercial opportunity. Companies that establish an early presence in this market stand to secure long-term contracts in a sector backed by strong government commitments, rising electricity demand, and an urgent need for decarbonization. Key investment opportunities include:
Reactor Vendors & Engineering Firms: Companies specializing in nuclear reactors, SMRs, and large-scale power plants can secure multi-billion-dollar government contracts.
Financial Institutions & Private Equity: Nuclear infrastructure projects require extensive funding, offering lucrative investment vehicles through public-private partnerships (PPPs), sovereign-backed loans, and equity financing.
Fuel Supply Chain & Waste Management: The expansion of nuclear energy will drive demand for uranium enrichment, nuclear fuel processing, spent fuel management, and waste disposal solutions.
Regulatory Consulting & Safety Compliance: Firms specializing in nuclear law, licensing, and safety compliance will play a critical role in shaping the region’s nuclear regulatory landscape.
Strategic Outlook: A High-Return Market for Visionary Investors
Southeast Asia’s nuclear energy expansion represents one of the most lucrative investment opportunities in the global energy sector today. With governments committing to nuclear power, major industry players forming strategic alliances, and regulatory frameworks evolving, the time to enter the market is now.
Companies that position themselves as early movers—whether through direct investments, technology partnerships, or infrastructure development—will secure long-term revenue streams, benefit from government-backed stability, and gain a competitive advantage in one of the fastest-growing nuclear markets in the world. For energy corporations, financial institutions, and technology providers, Southeast Asia’s nuclear surge is not just an opportunity—it is an essential avenue for sustained growth and industry leadership.
