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India's Nuclear Sector from Vajirao & Reddy Institute

By : Author Desk Updated : 2025-03-22 17:18:02
  • Context: In March 2025, IAEA Director General Rafael Mariano Grossi praised India’s nuclear sector for being one of the most dynamic globally.
  • India is increasing its cooperation with the IAEA on nuclear technology, safety, and security.
KEY HIGHLIGHTS
  • Global Recognition: Grossi highlighted India's growing role in nuclear energy, especially in Asia. India is collaborating closely with the IAEA on safety, technology, and regulations.
  • Diplomatic Engagements: External Affairs Minister S. Jaishankar met Grossi during the Raisina Dialogue 2025, discussing nuclear safety and non-proliferation, highlighting India’s role in nuclear diplomacy.
  • Workforce Development: India’s efforts in training nuclear experts were praised, with the IAEA collaborating with India’s Department of Atomic Energy (DAE) and the Global Centre for Nuclear Energy Partnership (GCNEP) to build a skilled workforce, including the launch of a new Nuclear Engineering Course.
  • Raisina Dialogue 2025: The dialogue showcased India’s growing importance in global nuclear discussions.
BUDGETARY FOCUS Union Budget 2025-26: Nuclear Energy in India’s Future
  • Objective: Strengthening nuclear capabilities as part of the long-term energy strategy for a sustainable and developed India (Viksit Bharat). The government aims to increase nuclear power capacity to 100 GW by 2047.
Key Budget Highlights:
  • Nuclear Energy Mission: ?20,000 crore allocated for Small Modular Reactors (SMRs) R&D with the goal of building five indigenous SMRs by 2033.
  • Policy Reforms: Amendments to the Atomic Energy Act and Civil Liability for Nuclear Damage Act to encourage private sector involvement.
  • Private Sector Partnerships: Collaborations on Bharat Small Reactors (BSRs) and SMRs, focusing on cost-effective energy solutions for industries like steel and aluminum.
INDIA’S NUCLEAR CAPACITY EXPANSION
  • Objective: Increase nuclear power from 8,180 MW to 22,480 MW by 2031-32.
  • New Projects: 10 new reactors in Gujarat, Rajasthan, Tamil Nadu, Haryana, Karnataka, and Madhya Pradesh. Notable project: Kovvada Plant (6 x 1208 MW) in Andhra Pradesh in partnership with the USA.
  • Recent Developments:
    • Rajasthan Atomic Power Project Unit-7 (RAPP-7) achieved criticality in September 2024.
    • Prototype Fast Breeder Reactor (PFBR) made significant progress, achieving milestones in March 2024.
NUCLEAR POWER PLANTS IN INDIA STRATEGIC FOCUS AREAS
  • Energy Security: Nuclear power as a long-term energy solution.
  • Environmental Sustainability: Integrating nuclear energy with renewables to reduce carbon emissions.
  • Private Sector Role: Expanding private sector participation through public-private partnerships.
  • Technological Innovation: Developing advanced reactors like SMRs and PFBR to enhance India’s position in global nuclear energy.
REGULATORY LANDSCAPE
  • Atomic Energy Act, 1962: Grants exclusive government authority over nuclear energy.
  • Atomic Energy Regulatory Board (AERB): Regulates safety and compliance in nuclear facilities.
  • Civil Liability for Nuclear Damage Act, 2010: Caps liability at ?1,500 crore, with government backing.
SIGNIFICANCE OF NUCLEAR ENERGY
  • Current Contribution: Nuclear energy accounts for 1.6% of India’s energy generation.
  • Energy Diversification: Reduces reliance on coal (55% of India’s energy mix).
  • Climate Change Mitigation: Nuclear energy is a low-carbon source, supporting India’s net-zero emissions target by 2070.
  • Reducing Import Dependence: Helps reduce reliance on imported fossil fuels (e.g., 85% crude oil, 50% natural gas).
KEY ISSUES IN INDIA’S NUCLEAR SECTOR
  • Limited Share in Energy Mix: Nuclear still contributes only 1.6% of India’s total energy.
  • Investment Challenges: High capital cost and long timelines for nuclear projects.
  • Dependence on Imported Nuclear Fuel: Limited domestic uranium reserves lead to reliance on imports.
  • Safety Concerns: Public opposition due to safety fears (e.g., Fukushima incident).
  • Technological Delays: Delays in projects like the Prototype Fast Breeder Reactor (PFBR).
  • High Cost: Nuclear energy has higher capital costs compared to renewable energy sources.
  • Waste Management: India lacks a permanent radioactive waste disposal system.
MEASURES TO REVAMP INDIA’S NUCLEAR SECTOR
  • Enhancing Private Sector Participation: Amend the Atomic Energy Act, 1962 to allow private sector involvement in reactor operations.
  • Expanding Indigenous Technology: Focus on developing technologies like Fast Breeder Reactors and Small Modular Reactors (SMRs).
  • Streamlining Land Acquisition: Integrate the Right to Fair Compensation and Transparency in Land Acquisition Act, 2013 for easier land acquisition.
  • Strategic Nuclear Fuel Reserves: Secure long-term uranium supplies through agreements with countries like Russia, Kazakhstan, and Canada.
  • Fast-Tracking Regulatory Approvals: Reform the Atomic Energy Regulatory Board (AERB) and establish the National Nuclear Energy Authority (NNEA) for quicker regulatory approvals.
  • Sovereign Green Bonds: Issue green bonds to attract international investment in nuclear energy projects.
  • Skill Development: Expand training programs at BARC and other institutions for reactor operations, R&D, and waste management.
  • Local Manufacturing: Integrate nuclear energy into Make in India and Production Linked Incentive (PLI)
  • Promoting SMRs: Develop Small Modular Reactors to meet decentralized energy needs, especially in remote areas.
  • International Technology Transfer: Pursue agreements with countries like USA, Japan, and South Korea for advanced reactor designs.
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