Clean nuclear: Oxford start-up 10 years ahead of government targets in race to build fusion plant

First Light Fusion's reactors could produce energy much more cheaply than other renewables

An Oxford start-up developing nuclear fusion technology has raised $25m (£19m) in fresh cash as it plots a "first-of-its-kind" plant to be ready well ahead of government targets. 

First Light Fusion, which was spun out of Oxford University, said the latest funds would allow it to almost double its team of scientists and engineers to more than 60 staff, and upgrade its equipment to speed up development of the fusion plant, where energy is produced by fusing together atoms in a safe, non-polluting process.

It believes its technology, which uses a "projectile" process to spark the reaction, "accelerates the pathway to a commercial grid-ready reactor", potentially bringing forward government targets which currently aim for a plant to be operating as soon as 2040. 

First Light Fusion is planning to have developed its power plant in the 2030s, meaning commercial fusion could be possible as much as ten years earlier than the Government has been anticipating.

The company will first need to demonstrate "gain" whereby more energy is generated by the reactor then went into it, and expects to be able to do that by the middle of the 2020s. 

The power could cost significantly less than other renewable energy sources, according to estimates, with First Light forecasting fusion energy could cost as little as $25 per megawatt hour compared with $100 per MWh for traditional nuclear energy and up to $50 per MWh for onshore wind.

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Chief executive Dr Nick Hawker said: "It is vital that as we progress towards achieving fusion, we continue to advance our other workstreams so we can maintain momentum towards both gain, but also delivering a workable grid-ready fusion reactor."

News of the fundraise, which involved backing from existing and new investors, such as Australian fund Hostplus, IP Group and Oxford’s spin-out backer Oxford Sciences Innovation, comes weeks after the Government’s green plan provided a boost to the sector.

As part of the efforts to get Britain to net zero by 2050, Boris Johnson has pledged that up to £170m will be allocated to develop "advanced modular reactors", which are much smaller than traditional nuclear power stations.

A further £222 million has gone towards a government nuclear fusion project based at the Culham Centre for Fusion Energy.

Meanwhile, earlier this month, the UK took a major step forward in building a nuclear fusion power station, kicking off the search for a site.

It is hoping to beat other countries including the US and Canada to develop the technology, seen as key for decarbonisation. 

Giles Wilkes, a former economic adviser to Theresa May last month said: “Fusion is a transformative tech, which if it has a one in 10 shot is probably worth it."  

Dr Hawker said he was certain that start-ups would be the one to solve nuclear fusion. "It’s not going to be someone in their basement. An individual cannot solve this problem. And the national labs are going too slow." 

He said his start-up was "not bound by all the rules, which are appropriate rules, around procurement and fairness. We don’t have any of that red tape, so that allows us to go faster."