Episode #31
Financing Nuclear: The Risk and Capital in Securing Canada’s Energy Future with Chris Keefer
How do we finance nuclear power plants in Canada? In this episode, Riccardo applies his experience financing large infrastructure projects to a deep-dive discussion with Chris Keefer. The Toronto physician and the President of Canadians for Nuclear Energy has excellent questions about the renaissance of this energy source and the process of funding these vast, costly, and promising initiatives. Riccardo explains why nuclear has historically depended on sovereign balance sheets, public utilities, and government-backed financing—and why the long-tail construction risk of the sector makes private lenders wary. The conversation compares nuclear to other major infrastructure and energy assets, from hydroelectric projects and bridges to combined-cycle gas turbines. Along the way, Chris and Riccardo unpack key financing concepts and why construction certainty is such a major determinant of cost of capital. The discussion explores existing projects, such as Hinkley Point C, Sizewell C, the Thames Tideway Tunnel, and Ontario’s nuclear context to show how risk is assigned, priced, and sometimes pushed back onto governments or ratepayers. Ultimately, the episode highlights that there is no universally good or bad financing model. The right structure depends on policy objectives, owner capability, risk appetite, market conditions, and whether the project can attract private capital without driving up the long-term cost of electricity. For Ontario and other jurisdictions considering new nuclear, the central challenge is not simply whether to use public or private money, but how to bring the right capital into the project while keeping the cost of that capital low. Key takeaways Why public interest infrastructure often requires more than a simple public-versus-private financing debate The benefits of public-sector or sovereign-backed financing for nuclear projects; Why transferring risk to the private sector can make electricity more expensive; What select UK nuclear power plants reveal about different nuclear financing models; Why Ontario’s experienced nuclear owner position may shape how future projects are financed. Quote: “Project finance is asset-agnostic." -Riccardo Cosentino The conversation doesn’t stop here—connect and converse with our community via LinkedIn: Follow Navigating Major Programmes: https://www.linkedin.com/company/navigating-major-programmes/ Read Riccardo’s latest at www.riccardocosentino.com Follow Riccardo Cosentino: https://www.linkedin.com/in/cosentinoriccardo/ Follow Chris Keefer: https://www.linkedin.com/in/chris-keefer-md-166a3698/
