Robeco acknowledges the usefulness of nuclear power in particular situations. Nevertheless, for funds with a specific focus on sustainability, our view is that it is not desirable to invest in companies that have a significant exposure to nuclear energy.
Nuclear power has always been controversial, with strong opinions on both sides of the argument. We understand why some are attracted to nuclear power as a solution to society’s growing energy demand. It has a low carbon footprint, helping to achieve decarbonization targets, it ensures sufficient baseload power, and new nuclear technologies may be more flexible and provide improved safety features.
While researchers, environmentalists and a large number of policymakers agree on the need to stop global warming, there is disagreement on the overall desirability of this low-carbon power source.
Our assessment of the sustainability impact over the nuclear life cycle and the estimated risks of nuclear power technology lead us to conclude that, for funds with a specific focus on sustainability, it is not desirable to invest in companies that have a significant exposure to nuclear energy.