Fusion Power Plants Don't Exist Yet, But They're Making Money Anyway
In a striking example of the fusion industry's rapid growth, Commonwealth Fusion Systems announced this week that it has secured another customer for its first commercial fusion power plant. Eni, one of the world's largest oil and gas companies, signed a billion-dollar deal to purchase electricity from the facility. However, there's a catch: neither the Virginia-based reactor nor the smaller demonstration model being built by Commonwealth exists yet.
This development highlights the unusual state of affairs in the fusion industry, where investors are pouring billions into building power plants that don't yet exist. Companies like Commonwealth and its competitors are signing massive agreements to sell electricity from reactors that have not been completed or even demonstrated to work as intended.
"It's a bit surreal," said Dr. Dennis Whyte, director of the Plasma Science and Fusion Center at the Massachusetts Institute of Technology (MIT). "We're seeing a lot of investment in fusion, but it's still an experimental field. It's like buying a house before it's built – you hope it will be worth it when it's finished."
The National Ignition Facility at Lawrence Livermore National Laboratory achieved a major milestone for fusion power nearly three years ago. Using the world's most powerful lasers, scientists heated a pellet of fuel to 100 million degrees Celsius, causing hydrogen atoms to fuse and release more energy than was put in.
This breakthrough marked a significant step forward in the development of commercial fusion power plants. However, it also underscores the challenges that remain before such reactors can be built on a large scale.
"The technical hurdles are still significant," said Dr. Whyte. "We need to demonstrate that our design works and can produce electricity efficiently and safely."
Despite these challenges, investors continue to pour money into the fusion industry. Commonwealth Fusion Systems has raised over $1 billion in funding since its inception, with plans to build a commercial reactor by 2025.
The Eni deal is just one example of the growing interest in fusion power from major energy companies. Other players, such as Lockheed Martin and General Fusion, are also making significant investments in the field.
As the industry continues to grow, experts warn that investors should be cautious not to set unrealistic expectations. "We need to be careful not to create a bubble around fusion," said Dr. Whyte. "It's an exciting technology, but it still has a long way to go before it becomes commercially viable."
For now, the fusion industry remains in a state of rapid development and experimentation. While investors are betting big on its potential, experts caution that the path forward will be challenging and uncertain.
Commonwealth Fusion Systems declined to comment on the Eni deal or its plans for building a commercial reactor. However, the company's CEO, Bob Mumgaard, has stated publicly that he expects fusion power to become commercially viable by 2025.
As the industry continues to evolve, one thing is clear: the future of fusion power will be shaped by both technological advancements and market demand.
*Reporting by Technologyreview.*
