Lok Sabha Question No. 2294 (UNSTARRED), answered on 2025-03-12
Subject: Private Sector Participation in Nuclear Energy Sector
Ministry: ATOMIC ENERGY
Asked by: Shri Rajiv Pratap Rudy

## GOVERNMENT OF INDIA DEPARTMENT OF ATOMIC ENERGY

## LOK SABHA

## UNSTARRED QUESTION NO - 2294

ANSWERED ON 12/03/2025

## PRIVATE SECTOR PARTICIPATION IN NUCLEAR ENERGY SECTOR

## 2294.  SHRI RAJIV PRATAP RUDY

Will the PRIME MINISTER be pleased to state:-

- (a) whether  the  Government  is  proposing  to  lift  the  restrictions  on  private  sector participation in nuclear energy and allow private investors in this field and if so, the details thereof;
- (b) whether the Government has assessed potential challenges such as safety concerns, regulatory  frameworks,  technology-sharing  and  public  apprehensions  arising  from private sector involvement in nuclear energy;
- (c) the  details  of  measures  being  planned  to  address  these  challenges  while  ensuring compliance with international nuclear safety and non-proliferation norms; and
- (d) the manner in which the inclusion of private investors is expected to impact India's nuclear energy production capacity and its long-term energy goals?

## ANSWER

## THE MINISTER OF STATE FOR PERSONNEL, PUBLIC GRIEVANCES AND PENSIONS AND PRIME MINISTER'S OFFICE (DR. JITENDRA SINGH)

- (a) Government has set policy directive to launch Nuclear Energy Mission in view of the country's energy transition efforts. This mission will focus on  Research  and Development  of new  reactors designs &  technologies; as-well-as large scale deployment  of  existing/  established  technology/  design.  The  same  will  necessitate participation of private investors and private sector, including manufacturing industries. For a rapid scale-up, capacity building will be needed and towards this goal, to facilitate an active partnership with Private Sector, amendments to Atomic Energy Act and the Civil Liability for Nuclear Damage Act is being undertaken.
- (b)&(c) A Task Force has been constituted in Department of Atomic Energy (DAE) to look into the amendments required in the Atomic Energy Act. This Task Force has members from DAE, AERB, NPCIL, NITI Aayog, MoLJ and MEA. The Task Force is looking into  various  aspects  like  build,  own,  operation  of  NPPs  by  Private  Sector,  nuclear safety, security, safeguards, fuel procurement / fabrication, waste management, spent

fuel  reprocessing,  etc.  In  addition,  a  separate  Task  Force  is  also  looking  into  Civil Liability for Nuclear Damage Act (CLND Act) to address the concerns raised by private suppliers.

- (d)        In FY 2024-25, as part of Budget Announcement, policy directive has been set to partner  with  the  private  sector  for  setting  up  Bharat  Small  Reactor  (BSR),  and  in pursuance of the same, NPCIL has floated Request-for-Proposal to private industries to finance  and  build  small-sized  220  MW-PHWR  based  NPPs  as  captive  plants  for electricity production. BSRs are proposed to be commissioned and operated by NPCIL, but set-up with private capital. This is majorly to target a wide array of industries viz. Minerals & Metals, Petrochemical etc., which will help in decarbonisation of Industry Sector. Further, with inclusion of private investment, it is expected that as the plan/ roadmap for rapid scale-up of nuclear sector in the country is evolved at strategy level, it would send a strong policy signal to the industry (public & private) to participate and plan for capacity/ infrastructure expansion for nuclear related projects and assure them continuity of business, so that they can remain invested for the long-term. This is also expected to boost 'investor' confidence to make informed investment decisions in the nuclear and even enable fossil sector businesses to divest into nuclear business, in terms of not only financial investment but also re-train & redeploy experienced manpower from the fossil sector. Making Nuclear Power Projects eligible for Climate Finance will be a big boost, to make progress in this mission.

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