- Saturday, March 01, 2025
By: Shubham Ghosh
The Narendra Modi government is reportedly reconsidering its policy of banning foreign investment in the nuclear power industry and allowing private players in the sector.
The move is aimed at pushing for cleaner energy.
According to a report by Reuters that cited two government sources, the measures have been recommended by a government panel which is headed by prime minister Modi.
The panel is set up by NITI Aayog, India’s government think tank.
The government plays a central role in developing and running nuclear power stations under India’s Atomic Energy Act 1962. Domestic private firms, on the other hand, are permitted to take part as “junior equity partners” by supplying components and helping build them.
The Modi-led panel has recommended changes to the rule and to policies related to India’s foreign investment in a bid to enable both domestic and foreign private companies to complement nuclear power generation by public firms, the report added.
The aim is to decrease carbon emissions and focus on nuclear since it can supply energy round the clock, unlike solar energy, the officials told the news outlet on conditions of anonymity since they were not authorised to speak to the media.
Jitendra Singh, India’s minister of state in atomic energy, said last November that the country should look into private players’ participation in developing small modular reactors. It was also in the same month that the department held closed-door talks with both domestic and global industry players who expressed significant interest, one of the officials told the news outlet.
India does not allow foreign investment in the nuclear power sector.
India’s current nuclear power capacity is 6,780 MW and it is adding 21 more units with a capacity of 7,000 MW by 2031.
