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    1. Home
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    3. >Decision to turn back on nuclear was a strategic mistake, EU's Von der Leyen says
    Finance

    Decision to turn back on nuclear was a strategic mistake, EU's von der leyen says

    Published by Global Banking & Finance Review®

    Posted on March 10, 2026

    3 min read

    Last updated: March 10, 2026

    Decision to turn back on nuclear was a strategic mistake, EU's Von der Leyen says - Finance news and analysis from Global Banking & Finance Review
    Tags:FinanceEnergyEuropean UnionClimateNuclear Power

    Quick Summary

    EU Commission President Ursula von der Leyen calls the past reduction of nuclear power in the EU a strategic misstep, highlighting the bloc’s energy vulnerability and introducing a €200 million support plan for small modular reactors to bolster energy security and low-emission power.

    Table of Contents

    • EU's Nuclear Energy Policy and Its Consequences
    • Decline in Nuclear Power Usage
    • Dependence on Fossil Fuel Imports
    • Germany's Nuclear Phase-Out
    • Nuclear Renaissance?
    • France's Advocacy for Nuclear Power
    • Supply Chain Diversification
    • Current Uranium Supply Sources
    • Standardisation and Competition in Nuclear Projects
    • Additional Information

    Reducing nuclear energy a 'strategic mistake', EU chief says

    By Forrest Crellin and Gianluca Lo Nostro

    EU's Nuclear Energy Policy and Its Consequences

    PARIS, March 10 (Reuters) - Reducing Europe's nuclear energy sector was a "strategic mistake", EU chief Ursula Von der Leyen said on Tuesday, as governments grappled with an energy crunch from the Iran war.

    Decline in Nuclear Power Usage

    Europe produced around a third of electricity from nuclear power in 1990, but that has fallen to 15%, the EU Commission president told an event in Paris, leaving it reliant on oil and gas imports whose prices have surged in recent days.

    Dependence on Fossil Fuel Imports

    Being "completely dependent on expensive and volatile imports" of fossil fuels put Europe at a disadvantage to other regions, von der Leyen said in a speech at a nuclear energy event.

    "This reduction in the share of nuclear was a choice, I believe that it was a strategic mistake for Europe to turn its back on a reliable, affordable source of low-emissions power." 

    Germany's Nuclear Phase-Out

    Germany, where von der Leyen is from, took a political decision under former Chancellor Angela Merkel to phase out nuclear power plants owing to public opposition and safety concerns after the 2011 Fukushima disaster. 

    Europe's exposure was first illustrated in 2022 with the end of cheap supplies of Russian gas after the invasion of Ukraine.

    Nuclear Renaissance?

    France's Advocacy for Nuclear Power

    France, Europe's biggest nuclear energy producer, argues stable, low-carbon power from nuclear plants is key to improving the competitiveness of heavy industries. 

    Supply Chain Diversification

    French President Emmanuel Macron said the bloc - where nuclear power producers still use a large amount of Russian enriched uranium - needed to move away to other reliable suppliers. 

    "We need to cooperate internationally to make progress on this issue, to diversify our supply sources," he told the Paris event. "We must also continue investing and innovating in order to expand enrichment capacity further," he said, adding that France planned to increase its own capacity.

    Current Uranium Supply Sources

    Moscow supplies about 15% of uranium used in the EU, according to data from the Euratom supply agency for 2024, the most recent year available. 

    Canada provided about 34% followed by Kazakhstan with 24%.

    France imported 39% of its enriched uranium from Russia in 2025, customs data showed.

    Standardisation and Competition in Nuclear Projects

    Macron also proposed standardising reactor designs across Europe. That could benefit France's state-owned nuclear giant EDF, which has struggled to win recent tenders for new projects.

    In 2024 South Korea's KHNP won a tender worth at least $18 billion to build a new nuclear power plant in the Czech Republic, a decision which losing bidder EDF sought to block in the courts.

    Additional Information

    ($1 = 0.8584 euros)

    (Reporting by Kate Abnett, America Hernandez, Gianluca Lo Nostro, Forrest Crellin, Bart Meijer and Inti Landauro;Editing by Sudip Kar-Gupta and Andrew Cawthorne)

    Key Takeaways

    • •Von der Leyen labels the decline from ~33 % (1990) to ~15 % nuclear share today as a strategic error given Europe’s lack of fossil fuel production.
    • •The EU is launching a €200 million guarantee from its Emissions Trading System to push development of small modular reactors (SMRs), aiming for early 2030s deployment.
    • •SMRs are part of EU’s broader bid to enhance energy autonomy amid volatile fossil fuel markets; yet, most SMR designs remain in early stages, with licensing and deployment challenges ahead.

    References

    • European Industrial Alliance on Small Modular Reactors Unveils Strategic Action Plan - Internal Market, Industry, Entrepreneurship and SMEs
    • Böll EU Brief 01/2026 | Small modular reactors – smaller regulation? | Heinrich Böll Stiftung | Brussels office - European Union
    • Nuclear power in the European Union

    Frequently Asked Questions about Decision to turn back on nuclear was a strategic mistake, EU's Von der Leyen says

    1Why did Ursula Von der Leyen call the EU’s move away from nuclear energy a strategic mistake?

    Von der Leyen stated that reducing nuclear power made the EU more dependent on imported fossil fuels and less energy secure.

    2What percentage of EU electricity was generated by nuclear power in 1990 compared to now?

    In 1990, nuclear power provided one third of the EU’s electricity; now it is close to 15%.

    3What new actions did the EU announce regarding nuclear energy?

    The EU announced a €200 million guarantee to stimulate investment in small modular nuclear reactors with a goal for their operation by the early 2030s.

    4What event prompted renewed focus on Europe’s energy sources?

    Soaring energy prices caused by conflict in the Middle East highlighted Europe’s vulnerability and dependency on fossil fuel imports.

    5How will the funding for small modular reactors be sourced?

    The funds will come from the EU’s Emissions Trading System.

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