ATOMS FOR PROFIT

PRIVATE COMPANIES IN ENERGY-INTENSIVE INDUSTRIES LIKE STEEL, CEMENT, PETROCHEMICALS AND METAL ARE INCREASINGLY LOOKING AT NUCLEAR POWER TO DECARBONISE. HOWEVER, ECONOMIC VIABILITY AND A RELIABLE SUPPLY OF URANIUM WILL BE CRITICAL FOR BIG INVESTMENTS IN SMALL MODULAR REACTORS

- BY RICHA SHARMA

INDIA’S NUCLEAR ENERGY journey began in 1969 with the commissioning of its first plant at Tarapur, Maharashtra. It was a significant step towards harnessing nuclear technology for meeting the nation’s energy needs. More than five decades later, the country’s nuclear power sector is poised to enter a new era.

The trigger? The Indian government’s move to facilitate private sector participation in the sector. In a significant move, it allocated ₹20,000 crore for the Nuclear Energy Mission in Union Budget 2025-26 to facilitate the development of Bharat Small Reactors (BSRs). While the Nuclear Power Corporation of India Ltd (NPCIL) will continue to operate nuclear plants, private companies have been allowed to invest in BSRs for captive use.

The opening up of the atomic energy sector to private sector investments comes 20 years after the stalled India-US deal aimed at promoting nuclear power and energy security. India has set an ambitious goal of reaching 100 GW nuclear capacity by 2047, and nuclear power is also set to play a key role in the nation’s decarbonisation strategy, as companies look to replace their fossil fuel-based captive power plants.

In mid-February this year, the country’s top nuclear scientists met over 30 industry leaders. The meeting was attended by executives from Adani Group, Reliance, Tata, JSW, Jindal Steel, Vedanta, Hindalco Industries, as well as some renewable energy companies. As part of the discussions, which focused on investment opportunities in the nuclear sector, several operational issues were flagged.

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