India's Nuclear Sector

• 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

• 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.