BUSINESS

Private nuclear power plans get nixed

By BS Economy Bureau in New Delhi
August 06, 2005 12:52 IST

The government is not favourably inclined towards allowing the private sector to set up nuclear power plants at the moment.

"There has been a demand from the private sector, but there is no decision to change the present framework," officials told Business Standard on Friday. This will dampen the hopes of private players who have been eyeing the nuclear power generation business.

Stepping up the share of nuclear energy in meeting the country's overall energy needs is one of the issues expected to be discussed by the Prime Minister's Energy Coordination Committee tomorrow, officials said.

At present, Nuclear Power Corporation is the only agency producing nuclear power in the country. National Thermal Power Corporation, the country's largest electricity producer, is in the process of appointing consultants to prepare a road map for entering the business.

Tata Power yesterday evinced interest in the business while other private players are also keen to foray into the sector. If the recent agreement with the US for the supply of nuclear fuel fructifies, India will be able to step up its civil nuclear programme and production can increase from 10 giga watt to 275 giga watt by 2052.

Officials, however, said NTPC's entry into the business would not pose much of a problem though the Nuclear Power Corporation would be interested in expanding its presence.

According to data available with the Central Electricity Authority, the installed capacity in the nuclear generation business was estimated at 3,310 Mw.

At present, Nuclear Power Corporation operates 14 reactors with eight under construction. It intends to put up an installed capacity of 20,000 Mw by 2020. The 14 reactors include two boiling water reactors and 12 pressurised heavy water reactors.

Of the eight under construction, two PHWRs of 540 Mw each are coming up at Tarapur in Maharashtra, two 220 Mw reactors at Kaiga in Karnataka and another two at Rawatbhata in Rajasthan.

BS Economy Bureau in New Delhi
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