Small modular reactors (SMRs) have gained international attention due to their modular design, small footprint, and cost advantages compared to conventional reactors. Multiple types of SMRs are under development globally, and regulatory agencies are working toward a comprehensive and harmonized regulatory framework for ensuring safety and environmental protection. However, several aspects related to SMRs require further investigation, including the behavior of nuclear fuel under high pressures and temperatures (1000 °C), radiation exposure levels during normal and accident conditions, management of different types and volumes of nuclear waste, and their safe storage and disposal. Additionally, the modular design and compact size of SMRs make them suitable for deployment in remote locations, including the Arctic region. However, before introducing SMR technology, a thorough study of Arctic soil is necessary, particularly in the context of changing climate. Probabilistic risk assessment (PRA) plays a vital role in evaluating the safety and reliability of nuclear power plants, specifically focusing on assessing cross-unit interactions in the case of multimodule SMRs. Furthermore, given the use of low-enriched uranium fuel and the potential for limited on-site personnel in remote locations, effective nuclear safeguards and material accountancy measures are crucial to prevent the diversion of nuclear materials. In this paper, an investigation is conducted to explore the advantages and challenges involved in the deployment of emerging SMR technologies for electricity generation and other applications.