In an attempt to make the nuclear sector of India more attractive to foreign investors and promote private sector participation, the FM announced plans to amend the law of nuclear responsibility and establish a nuclear energy mission.
The movement seems to be strategically scheduled as the prime minister prepares for a visit to the US, where the energy cooperation is likely to be discussed.
The FM said that at least five developed indigenous people small modular reactors (SMRS) would be operational by 2033. For this, a disbursement of RS 20,000 million rupees for research and development has been assigned. India has established a goal of generating at least 100 gigawatts of nuclear energy by 2047. SMRs are a new generation of compact nuclear reactors that offer profitable and scalable energy solutions.
He Civil Liability Law for Nuclear Damage (2010) has been a great impediment to private participation in the sector due to the willingness to walk liabilities in nuclear suppliers, in addition to the operator, in case of nuclear damage.
Moving to eliminate the greatest political obstacle in the development of the nuclear energy sector in India and make the industry friendly with the industry, the Minister of Finance, Nirmala Sitharaman, in its budget on Saturday announced that the Atomic Energy Law (1963) and the Civil Liability Law for nuclear damage. (2010) (Clnda) will be amended.
The objective is to develop at least 100 gigawatts (GW) of nuclear energy by 2047, make the country’s nuclear sector more attractive to investment abroad and a greater participation of the private sector.
In another significant announcement, the FM said that at least five modular reactors (SMR) will develop in 2033 and a disbursement of RS 20,000 million rupees for research and development in such SMRs will be assigned. Small modular reactors (SMR) are a new generation of compact nuclear reactors that offer profitable and scalable energy solutions. The measure is expected to contribute significantly to reduce the dependence of the country of fossil fuels.
Almost two decades after India obtained an exemption from the group of nuclear suppliers (NSG) after the Indian-United States nuclear agreement in 2008, India can see global actors in the nuclear energy sector.
The Clnda has been the greatest impediment to the participation of the private sector due to the disposition that liabilities in nuclear suppliers in addition to the operator in case of nuclear damage are walking. This provision, inserted in the law in 2010 against the advice of experts, has also been considered contrary to the international obligations of India.
“For an active association with the private sector towards this objective, amendments will be taken to the Atomic Energy Law and the Civil Liability Law for Nuclear Damage,” said Sitharaman.
An amendment to the Atomic Energy Law can see PSU Nuclear Energy Corporation of India losing its position as the only nuclear reactor operator in the country, which makes room for private sector operators.
Since nuclear remains a critical strategic sector, there will continue to be a strong presence of the government, but aspects of the sector can be opened for private participation.
The FM proposal to amend the laws of responsibility occurred ahead of the visit proposed by Prime Minister Modi to the United States and, following the United States, last month eliminated restrictions at the Bhabha Atomic Research Center , the Indira Gandhi Atomic Research Center and the Indian Rare Land.
Modi described the decision to promote the private sector as “historical.” “This will guarantee an important contribution of civil nuclear energy in the development of the country in the next time,” he said.
Jitendra Singh, minister of the Union of the Department of Atomic Energy, said: “The announcement of the nuclear energy mission will be a decision that will start around the world …”
Anil Kakodkar, a senior nuclear scientist and former president of the Atomic Energy Commission and head of the Atomic Energy Department, told Toi: “The (decision) is a strong indicator that the government has recognized the importance of nuclear energy to perform The aspiration of ‘Viksit Bharat’ with a zero net condition.
That option cannot happen without an important role of nuclear energy … (but) is very challenging since the government needs an effective implementation mechanism. “
Ramping Up Power is a key element in India’s plan to reduce its carbon footprint and achieve the net zero 2070 target by promoting industries that are difficult to decarbonize, such as steel and cement.
