S&TGS3+ GS2

NPCIL Plans Design Unit to Support Private Nuclear Power Entrants

Indian Express·2026-08-27· Read original

"NPCIL Plans Design Unit to Support Private Nuclear Power Entrants"

Prelims Facts

  • •India's total installed nuclear capacity is 8.7 GWe, all operated by NPCIL using indigenous PHWR technology.
  • •The SHANTI Act (Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India) was enacted in December 2025, opening India's nuclear sector to private participation for the first time.
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Key Terms

PHWR (Pressurised Heavy Water Reactor)

indigenous Indian reactor using natural uranium fuel and heavy water moderator, avoiding enriched uranium imports.

SHANTI Act

Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India; enacted December 2025, opens nuclear sector to private participation.

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Study Note

BackgroundCore Concept

Background

India's civil nuclear programme was built on strategic self-reliance. After the 1974 Pokhran nuclear test, India faced a prolonged technology-denial regime that cut it off from international nuclear commerce. Forced into self-sufficiency, the country developed the Pressurised Heavy Water Reactor (PHWR) as its indigenous workhorse. PHWRs use natural uranium as fuel and heavy water as a moderator, avoiding dependence on enriched uranium from foreign suppliers. This gave India a significant cost advantage over imported reactor designs.

The 2008 India-US Civil Nuclear Agreement and the associated Nuclear Suppliers Group (NSG) waiver ended over three decades of nuclear isolation. India could now access international fuel markets and civilian nuclear technology. However, the sector remained a state monopoly under NPCIL for decades, with private participation legally prohibited. The recent passage of the SHANTI Act (Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India) in December 2025 marks a structural break. It opens the sector to private players and state governments for the first time.

India's overarching strategic framework is the three-stage nuclear programme. Stage I relies on PHWRs using natural uranium. Stage II deploys Fast Breeder Reactors (FBRs), which use plutonium from spent PHWR fuel. Stage III eventually uses thorium, of which India has abundant reserves, to produce Uranium-233 as fuel. The Kalpakkam Fast Breeder Reactor recently attaining criticality marked India's entry into Stage II.

The Topic Explained

The PHWR is the backbone of India's current nuclear fleet. All of India's 8.7 GWe of installed nuclear capacity is operated by NPCIL and is PHWR-based. The technology uses natural uranium, which India can source domestically, and heavy water as a moderator. This makes it cheaper and less import-dependent than Light Water Reactors (LWRs) or Pressurised Water Reactors (PWRs), which require enriched uranium. Industry estimates place the cost of indigenous PHWRs at around Rs 18 crore per megawatt-electric (MWe), compared with roughly Rs 34 crore per MWe for Russian reactors and significantly more for French and US designs.

The SHANTI Act creates the legal framework for private and state-government participation in nuclear power. Draft rules under the Act have been released. Once notified, they will provide clarity on licensing for new nuclear projects. The Central Electricity Authority (CEA) has set a roadmap for achieving 100 GWe of nuclear capacity by 2047. …

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Related PYQs

2020GS1 Prelims

In India, why are some nuclear reactors kept under 'IAEA Safeguards' while others are not?

ASome use uranium and others use thorium
BSome use imported uranium and others use domestic supplies
CSome are operated by foreign enterprises and others by domestic enterprises
DSome are State-owned and others are privately-owned
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2018GS1 Prelims

What is/are the consequence/consequences of a country becoming the member of the 'Nuclear Suppliers Group' ?

1.Its access to the newest and most efficient nuclear technologies will increase.

2.It automatically becomes a member of "Nuclear Non-Proliferation Treaty (NPT)".

Which of the statements given above is/are correct?

A1 only
B2 only
CBoth 1 and 2
DNeither 1 nor 2
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2017GS3 Mains

Give an account of the growth and development of nuclear science and technology in India. What is the advantage of fast breeder reactor programme in India?

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Practice MCQs

S&Tmedium

Consider the following statements regarding India's nuclear power sector:

1.All of India's current nuclear power capacity is operated by NPCIL using Pressurised Heavy Water Reactor (PHWR) technology.

2.The SHANTI Act, enacted in 2025, permits private companies to participate in nuclear power generation for the first time.

3.Under India's three-stage nuclear programme, Fast Breeder Reactors form Stage I.

How many of the above statements are correct?

AOnly one
BOnly two
CAll three
DNone
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S&Tmedium

With reference to India's nuclear power expansion, consider the following pairs:

Technology / Approximate cost per MWe (Rs crore)

1.Indigenous PHWR — 18

2.Russian reactor — 34

3.French/US reactor — less than Russian

How many of the above pairs are correctly matched?

AOnly one
BOnly two
CAll three
DNone
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S&Thard

Consider the following statements about the proposed technical support framework for India's nuclear expansion:

1.The Central Electricity Authority (CEA) has recommended a dedicated independent agency to provide technical support to new nuclear entrants.

2.This proposed agency would be established under the Ministry of Power.

3.NPCIL's planned design vertical will provide technology access, design reviews, and quality assurance for PHWR deployment.

Which of the statements given above is/are correct?

A1 and 3 only
B2 and 3 only
C1 only
D1, 2 and 3
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S&Tmedium

Which of the following best explains why indigenous Pressurised Heavy Water Reactors (PHWRs) are preferred over imported reactor technologies for the initial phase of India's private nuclear expansion?

APHWRs use enriched uranium, which India can now import freely after the NSG waiver.
BPHWRs have a lower capital cost, an established domestic supply chain, and do not require bulk orders to be cost-viable.
CPHWRs are preferred because they are compatible with Small Modular Reactor (SMR) designs being developed by BARC.
DPHWRs are mandated by the SHANTI Act as the only permissible technology for private nuclear projects.
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S&Thard

Assertion (A): The Jaitapur nuclear project in Maharashtra has remained stalled despite being proposed with advanced French reactor technology.

Reason (R): Foreign reactor technologies require bulk orders of 15–25 reactors to achieve cost viability in India's price-sensitive power market, and such orders are not currently feasible.

ABoth A and R are true, and R is the correct explanation of A.
BBoth A and R are true, but R is not the correct explanation of A.
CA is true but R is false.
DA is false but R is true.
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