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Financial Express Hyderabad

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January 26, 2026

OFFICIALS SAID STRENGTHENING domestic manufacturing is seen as critical to achieving this target, given the scale of equipment and component requirements involved.

“Incentivising the domestic supply chain is necessary if nuclear capacity is to scale meaningfully over the coming decades,” the official said.

“Without adequate manufacturing depth, project timelines and costs remain exposed.”

Focus on supply chain and SMRs

According to the official, the proposed PLI would enable Indian manufacturers to scale production, reduce dependence on imports and shorten execution timelines. The move is also aligned with India’s plans to expand deployment of Small Modular Reactors (SMRs), which require standardised manufacturing and areliable vendor ecosystem.

“At present, capacities for nuclear-grade components are limited. A structured incentive framework is being examined to enable industries to invest with long-term visibility,’ the official said.

The intent, the official added, is to transform India from a buyer of nuclear equipment into a manufacturing base capable of supplying domestic projects and global markets.

Policy backdrop: SHANTI Act

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