A view of Tarapur’s atomic energy station. The legal amendments to the Civil Liability Law for nuclear damages and the Atomic Energy Law will be introduced into the next session of the Parliament Monzón. | Photo credit: VV Krishnan/The Hindu
* India could allow foreign companies to take a participation of up to 49% in their nuclear power plants, three government sources said, since New Delhi prepares plans to open their most saved sector to help achieve objectives to reduce carbon emissions.
The Government has considered changing its Nuclear Foreign Investment Frame since 2023. However, the need to increase nuclear capacity has become pressing as India seeks to replace carbon intensive coal with cleaner energy sources.
The investment in the sector has the potential to stimulate rates negotiations with the states of Sinito, although officials could not say if the problem would be linked to any commercial agreement.
In 2008, a civil nuclear agreement with the United States provided agreements worth many billions of dollars with US companies. However, companies have been dissuaded by the risk of unlimited exposure in case of accident and no foreign investment has been allowed in Indian nuclear plants.
If the latest proposals are made, together with the plans to relieve nuclear responsibility laws and allow national private actors to be in the sector, they could eliminate impediments to the government of the Government to expand nuclear for 12 capacity.
The sources said that any foreign nuclear investment would still require the previous approval of the Government instead of automatically allowing.
The Ministry of Finance of India, the Atomic Energy Department and the Prime Minister’s office did not respond to Reuters consultations.
The three sources asked not to be appointed because the proposals are still under consideration.
They said that the necessary legal changes would probably be presented to the Federal Cabinet soon and that the Government aims to obtain the amendments to the Civil Riability Law for Nuclear Damage of 2010 and the Atomic Energy Law of 1960 approved in the Monzón session.
The amendments to the Atomic Energy Law would allow the Government to issue licenses to private companies to build, possess and operate a plant and mine and manufacture atomic fuel, the three sources said.
Government monopoly
Under government control, the total Indian nuclear generation is approximately 8 GW, 2% of the country’s installed electricity capacity.
As the country seeks to get away from coal, it seeks to complement wind and solar energy with atomic energy to meet the high demand for night energy.
The atomic energy department has said that foreign companies such as Westinghouse Electric, Gehitachi, Electricite de France and Rosatom were interested in participating in the country’s nuclear energy projects as technology partners, contractors and service providers.
Indian conglomerates, including Reliance Industries, Tata Power, Adani Power and Vedanta LTD, also have hero’s discussions with the government to invest $ 26 billion in the nuclear energy sector.
Posted on April 25, 2025