Russia will supply four 1000 MWe reactors for Kundankulam in Tamil Nadu and French company Areva may sell its first two pressurised water reactors for the latest nuclear power site at Jaitapur in coastal Maharashtra.
In the long run, India could emerge as a hub for manufacturing nuclear technology because of the cost advantage and manpower availability, Dr K S Parthasarathy, former secretary of Atomic Energy Regulatory Board (AERB) told Deccan Herald.
The waiver opens up India’s nuclear export market too. Many countries have evinced interest in buying small reactor (220 MWe) and fuel fabrication technology from India. Moreover, India may place itself as a key player in selling heavy water – moderator in many nuclear reactors – giving stiff competition to Canada. Two immediate customers for India’s surplus heavy water may be South Korea and Romania. Reactors and fuel, however, are the two biggest gains. With the demand for electricity on the rise, Nuclear reactors are expected to help bridge the demand-supply gap. Currently nuclear energy contributes less than three per cent of India’s total electricity generation.
Nuclear power will be environmentally friendly as climate change causing carbon dioxide gases will not be released.
The first batch of six reactors is expected to be sold with an integrated fuel package, specifying the fuel’s nature, for the reactor’s lifetime.
Interestingly within hours of the NSG waiver, the Confederation of Indian Industry (CII) has come out with an estimate on the nuclear deal’s business potential, which, according to the CII, is Rs 120,000 crores. This has been calculated assuming addition of 18-20 nuclear reactors at the cost of 5,000 to 6,000 crores each, in the next 15 years.
In the last two years, New Delhi inked pacts with Moscow and Paris on Nuclear cooperation wishing to procure reactors from them. However, those agreements were to be realised subject to International Atomic Energy Agency (IAEA) safeguards and NSG approval – both of which are now in India’s kitty.
With players like Areva, General Electric and Westinghouse targeting Indian market, it might also be a matter of time before Indian companies enter into joint venture with big firms to make high–end nuclear technology for the world at low cost, Dr Parthasarahty said.
