India’s Nuclear Power Expansion: Roadmap to 100 GW Capacity by 2047

In the 2025–26 Budget, the Union Finance Minister announced a plan to increase India’s nuclear power capacity from about 8,180 MW to 100 GW by 2047. This aligns with India’s goals of Viksit Bharat by 2047 and net-zero emissions by 2070.

Key Restrictions on the Atomic Energy Act, 1962

• State Monopoly: Nuclear power generation was restricted exclusively to the Government of India.
• Role of DAE: The Department of Atomic Energy (DAE) was authorised to own, build and operate nuclear power plants.
• Limited Private Participation: Private sector participation in nuclear power generation was not permitted under the framework.

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Current Status and Strategic Importance

• Low Energy Share: Nuclear energy currently contributes about 3% of India’s total electricity generation, significantly lower than countries such as France, where it accounts for nearly 70%.
• Baseload Power: The minimum, continuous level of electricity demand that must be supplied at all times by stable and reliable power sources.
  • Unlike solar and wind energy, which are intermittent, nuclear power provides reliable baseload electricity with continuous generation.
  • Nuclear power plants are highly land-efficient, requiring significantly less land compared to solar or wind power for similar electricity generation.
• Capacity Targets: India’s installed nuclear capacity is about 8,180 MW, and the government aims to expand it to 100 GW (1 lakh MW) by 2047.

Socio-Economic and Environmental Goals

• Rising Energy Demand:  Expanding nuclear capacity is important for India’s development, as per capita electricity consumption of about 1,400 kWh remains much lower than China at about 7,000 kWh and the United States at about 12,000 kWh.
• Net-Zero Commitment: Nuclear energy supports India’s target of achieving net-zero emissions by 2070, as it provides low-carbon electricity with minimal operational emissions.

SHANTI Act

• Ending Monopoly: The proposed SHANTI Act (Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India) seeks to replace the Atomic Energy Act, 1962, which earlier restricted nuclear power generation largely to government entities.
• Private Sector Participation: The new framework proposes to allow private sector participation in the construction and operation of nuclear power plants, enabling industries to meet their energy requirements while reducing dependence on fossil fuels.
• Liability Framework Reform: The Act also proposes revisions to the Civil Liability for Nuclear Damage Act, 2010, which had discouraged foreign investment by imposing liability on equipment suppliers in case of accidents.

Regulatory and Operational Reforms

• Statutory Status for Regulator: The Atomic Energy Regulatory Board (AERB) is proposed to be granted statutory status, strengthening its regulatory independence instead of functioning only under the Department of Atomic Energy.
• Revised Liability Framework: The proposed reforms seek to limit supplier liability, encouraging foreign companies to invest and supply nuclear technology in India.

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Innovation and Indigenisation

• Cost Reduction through Indigenous Technology: Imported nuclear reactor designs are relatively expensive. 
  • Therefore, strengthening domestic manufacturing and indigenous reactor development can help reduce costs and enhance technological self-reliance.
• Small Modular Reactors (SMRs): The government is promoting SMRs, which are factory-fabricated reactor modules assembled on-site, helping reduce construction time and overall costs.
• Financial Support for R&D: The government has allocated financial support for the development of indigenous SMR technologies to strengthen domestic nuclear innovation.

Advanced Fuel Strategy (Thorium & HALEU)

• Thorium Potential: India possesses one of the world’s largest thorium reserves, offering significant potential for long-term nuclear energy security.
• Improving Fuel Cycle Efficiency: The use of HALEU (High-Assay Low-Enriched Uranium) is being explored to enhance reactor efficiency and accelerate the utilisation of thorium resources in India’s nuclear fuel cycle.

Challenges in Achieving the 100GW Nuclear Target

• High Capital Costs: Nuclear power projects involve very high upfront investment, and reliance on imported reactor designs can lead to higher electricity tariffs without adequate indigenisation.
• Nuclear Waste Management: Safe long-term storage and disposal of radioactive waste remains a major technological and environmental challenge, requiring secure containment for extended periods.
• Public Acceptance: Public concerns regarding nuclear safety, shaped by past accidents such as Chernobyl and Fukushima, continue to influence the acceptance of nuclear power projects.

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Conclusion

The successful implementation of the SHANTI Act will depend on clear rules, transparent regulation, and effective mechanisms for tariffs, liability, waste management, and governance to ensure a robust and credible nuclear energy framework.

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