India Seeks Nuclear Power Investment Worth $26 Billion

India Seeks Nuclear Power Investment Worth $26 Billion

The Indian government is launching a landmark initiative to attract $26 billion in private investments to its nuclear energy sector. The project aims to increase electricity production and reduce carbon emissions. Major companies like Reliance Industries, Tata Power, Adani Power, and Vedanta Ltd. are being pursued for investments averaging ₹44,000 crore each.

This move signifies a significant shift as India pursues private investment in nuclear power, intending to increase non-fossil fuel-based electricity generation to 50% by 2030 from the current 42%. Discussions involving the Department of Atomic Energy, NPCIL, and private entities are ongoing to finalise the investment plan, targeting the addition of 11,000 MW of new nuclear power capacity by 2040.

Currently, NPCIL manages India’s nuclear power plants, totalling 7,500 MW in operation, with commitments for an additional 1,300 MW. Private firms will finance nuclear plant construction, including land acquisition, while NPCIL retains control of station construction, operation, and fuel management. NPCIL will oversee project operations for a fee, with private investors profiting from electricity sales. Despite a 2010 deal with the United States, India has faced fuel supply shortages as it expands its nuclear programme.

Thus, India postponed adding 2,000 MW of nuclear power from 2020 to 2030, highlighting the complexities of nuclear energy.