India’s draft National Electricity Policy sets a bold target to expand nuclear power over tenfold by 2047, integrating small modular reactors and attracting private investment to meet climate commitments and ensure reliable, low-carbon energy for its growing economy.
The draft National Electricity Policy unveiled last week signals a deliberate shift in India’s strategy to reconcile rapid demand growth with decarbonisation objectives by elevating the role of nuclear energy within the power mix. According to The Indian Express, the draft frames nuclear power as a long‑term substitute for fossil fuels and proposes an ambitious expansion pathway that aligns with the government’s climate commitments and development priorities.
Government ambitions are explicit: the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, passed by Parliament, and subsequent policy drafting target roughly 100 gigawatts of nuclear capacity by 2047 , a more than tenfold increase from today’s fleet. Reporting by Agence France‑Presse and Le Monde noted the policy’s emphasis on both traditional large reactors and a growing deployment of small modular reactors (SMRs) as a means to provide dependable, low‑carbon baseload and near‑site captive power for industry and emerging digital infrastructure.
Industry and government sources paint nuclear as a complement to renewables rather than a replacement. Union minister Piyush Goyal was quoted in Moneycontrol as saying, “Nuclear energy is a unique clean energy source. Solar and wind are important, but they have intermittency. Nuclear provides stable power. Renewables and nuclear together will help India achieve 24×7 power supply.” That synthesis underpins the policy’s rationale: renewables will continue to expand rapidly, but firm capacity is required to manage intermittency and ensure uninterrupted supply to energy‑intensive sectors such as steel, chemicals, cement, semiconductors, hydrogen production and data centres.
The case for nuclear is supported by recent capacity and generation data. The Central Electricity Authority reported installed nuclear capacity of roughly 8.8 GW , about 3% of total installed capacity , with 25 reactors operating across seven sites and around 57 terawatt‑hours generated in 2024‑25, according to Down To Earth. Even with projects under construction and in pre‑project stages, capacity projections to the early 2030s increase only modestly unless scale‑up accelerates.
To attract capital and technical partners, the SHANTI Act and related measures open the civil nuclear sector to private and foreign investment. AP News and the Economic Times summarised the legal changes: private firms will be permitted to build, own and operate civil nuclear facilities and foreign participation through joint ventures is allowed up to 49 per cent, typically alongside a domestic majority partner. The policy also contemplates graded liability frameworks to make investment economics for smaller reactors less burdensome, with the overall liability cap rising to ₹3,000 crore while smaller reactors face lower, size‑linked limits, according to the Economic Times.
Those commercial incentives are accompanied by direct public funding and industrial policy support. The government has earmarked ₹20,000 crore in the Union Budget for SMR design, development and deployment, with a target of operationalising five indigenous SMRs by 2033, industry reporting shows. The state has also committed more than $2 billion for nuclear research, reflecting a dual track of near‑term deployment and longer‑term technology maturation.
Despite the policy momentum, significant constraints remain. Multiple briefs and reporting highlight high capital intensity and lengthy gestation periods: construction costs are estimated in the range of ₹16–20 crore per MW, and nuclear projects historically take many years to complete. The economic gap with solar is stark , analysts cited by AP note nuclear levelised costs remain substantially higher than wind and solar plus storage. Public acceptance, regulatory oversight and liability arrangements are subject to political debate; critics and opposition figures have warned that the new legislative framework weakens safety and legal remedies, while some fear taxpayer exposure in the event of major incidents, as reported by AP and the Economic Times.
Operationalising SMRs as a pragmatic option will be central to translating policy into industrial decarbonisation outcomes. SMRs’ smaller footprints, potential for factory fabrication and proximity to demand centres make them attractive for providing reliable captive power to heavy industries and data hubs, reducing reliance on coal‑fired captive units. Government statements and industry analyses view SMRs as particularly well suited to decentralised industrial corridors and urban clusters, but their economic competitiveness depends on scale, supply‑chain maturity and streamlined licensing.
For industrial decarbonisation stakeholders, the policy package presents both opportunity and caution. If implemented with rigorous regulatory oversight, transparent liability rules and credible financing mechanisms, increased private participation and targeted public investment could accelerate deployment of low‑carbon firm capacity that supports electrification and process‑level emissions reductions. Conversely, cost overruns, delayed projects or erosion of safety standards would limit nuclear’s practical contribution and risk undermining investor confidence.
The draft electricity policy frames nuclear expansion as a strategic, long‑horizon instrument , one element among renewables, storage and transitional fossil assets , to secure reliable, low‑carbon power for a rapidly industrialising economy. Its success will hinge on aligning legislative changes, financing models, regulatory capacity and public trust to convert lofty capacity targets into operational reactors that meaningfully lower emissions while serving the needs of energy‑intensive industry.
- https://indianexpress.com/article/opinion/editorials/nuclear-power-expansion-is-an-rd-challenge-10494686/ – Please view link – unable to able to access data
- https://apnews.com/article/b288a674fcc30fc3b975c7e2f075fad1 – India’s Parliament has approved a bill to open the civil nuclear power sector to private companies, marking a significant shift from decades of state monopoly. The legislation, known as the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, aims to expand clean energy by installing 100 gigawatts of nuclear power by 2047. This move aligns with global trends favouring nuclear energy to reduce dependence on fossil fuels. Supporters argue it modernises India’s energy framework and invites private investment, positioning the country as a significant player in next-generation nuclear technologies, including small modular reactors. However, opposition parties and activists have raised concerns over weakened safety and liability protections, alleging insufficient safeguards for public health and limited legal remedies for citizens affected by radiation exposure. Despite these criticisms, the government declined a parliamentary review of the bill. With over 75% of India’s power still generated from fossil fuels, nuclear energy is seen as a critical clean energy alternative amid growing energy demands.
- https://apnews.com/article/890f1cd86bef55e1708cc0a264743d33 – India is aiming to significantly expand its nuclear energy capacity as part of its efforts to boost electricity generation and cut carbon emissions. The Indian government has committed over $2 billion to nuclear research and plans to amend laws to attract investment in the sector. The goal is to install 100 gigawatts of nuclear power by 2047—enough to supply electricity to nearly 60 million homes annually. Currently, however, nuclear energy contributes only 3% to India’s electricity mix, which is still heavily reliant on fossil fuels like coal. Experts argue that nuclear power, as a stable and low-emission source, is essential for the energy transition, especially given the limitations of solar and wind power. However, there are concerns about costs, public perception, and installation timelines. Nuclear power in India is nearly three times more expensive than solar, and plant construction can take several years. Smaller modular reactors may help mitigate some challenges. India is also considering international cooperation, especially with more advanced nuclear sectors like the U.S., and nuclear discussions are expected during Prime Minister Modi’s upcoming meeting with President Trump. Energy analysts stress the need for a balanced focus that includes renewables and storage solutions for more immediate climate action.
- https://www.lemonde.fr/en/economy/article/2025/02/27/india-sets-course-for-nuclear-power_6738617_19.html – India, aiming to meet its climate goals, is significantly increasing its commitment to nuclear energy alongside renewable sources. After pledging 500 GW of non-fossil fuel energy by 2030 and carbon neutrality by 2070, Prime Minister Narendra Modi’s government announced a new nuclear mission during the 2025 budget to generate 100 GW of nuclear power by 2047. Historically sidelined in nuclear development due to nuclear weapons tests in 1974 and 1998, India’s nuclear capacity remains low at 8.18 GW, operated solely by the state-owned Nuclear Power Corporation. To accelerate growth, India plans to amend its 1962 law restricting nuclear activity to the public sector and revise liability laws to encourage private and foreign investment. The strategy includes deploying small modular reactors (SMRs) to supplement large-scale plants and transition away from coal, especially in remote areas and industrial zones. Aiming for five operational SMRs by 2033, India is collaborating with the U.S., France, and South Korea. This shift is crucial as India’s energy demand could reach 4,000 GW by 2050, with nuclear expected to fill substantial gaps alongside fossil fuels, given renewables’ capacity limits. India has not committed to a coal phase-out.
- https://www.hindustantimes.com/opinion/shanti-bill-redrawing-the-nuclear-energy-roadmap-101766762858851.html – The SHANTI Bill, passed by Parliament last month, has opened the doors for expanding India’s nuclear sector’s capacity. The draft electricity policy builds on the Act’s enabling provisions, pushing for the adoption of advanced nuclear technologies such as small modular reactors (SMRs) and direct use of nuclear power by commercial and industrial consumers. SMRs have significant advantages—they take up less space, can be assembled relatively easily, have robust safety features, and can be installed on-site. This means SMRs can be situated close to demand centres and replace the captive thermal power units of industrial centres.
- https://www.downtoearth.org.in/energy/atomic-juncture/ – According to a June 2025 report by the Central Electricity Authority, current installed nuclear capacity in the country is 8.8 GW—around 3 per cent of total installed electricity capacity. This is an increase of about 71 per cent from the 4.78 GW reported in 2014. By early 2025, the country operated 25 reactors across seven sites. Nuclear plants accounted for approximately 57 terawatt-hours of electricity in 2024-25. Another 10 reactors with a combined capacity of about 8 GW are under construction, while 10 more are in pre-project stages. If completed on schedule, these projects could raise installed capacity to around 22.5 GW by 2031-32. Alongside large reactors, the government is emphasising indigenous technologies and smaller units, including the 200-MW Bharat Small Modular Reactor (BSMR) under development at the Bhabha Atomic Research Centre, to reach the 2047 target.
- https://energy.economictimes.indiatimes.com/news/power/indias-nuclear-sector-transformation-shanti-bill-2025-empowers-private-and-foreign-investments/126242233 – Indian firms will now be permitted to construct, possess, and manage civil nuclear facilities while foreign entities can participate through partnerships or joint ventures. The Bill allows foreign direct investments of up to 49 per cent through joint ventures with Indian entities, while retaining majority ownership on the domestic side, typically through a government-linked player such as Nuclear Power Corporation of India (NPCIL). The Bill will make it easier for private players such as the Adani Group, Larsen & Toubro, and Tata Power to enter India’s nuclear sector. India plans to expand its nuclear power capacity to 100 gigawatts (GW) by 2047, over 10-fold increase from the current capacity of 8.8 GW. Given rising electricity demand, energy security needs, and decarbonisation goals, nuclear power is widely seen as a reliable source of large-scale, low-carbon electricity. It generates power through nuclear fission without burning fossil fuels, resulting in near-zero operational greenhouse gas emissions and no air pollutants such as sulphur dioxide or nitrogen oxides during operation. “Nuclear energy is a unique clean energy source. Solar and wind are important, but they have intermittency. Nuclear provides stable power. Renewables and nuclear together will help India achieve 24×7 power supply,” Moneycontrol cited Union minister Piyush Goyal as saying in its report dated 15 December, 2025. In a recent media interview, Union Minister Science & Technology, Jitendra Singh said that India is also moving towards Small Modular Reactors, which are suited for dense urban clusters, industrial corridors, and emerging economic zones. He added that these reactors will further strengthen energy security while ensuring environmental responsibility. To translate this strategy into capacity on the ground, the government has earmarked ₹20,000 crore in the latest Union Budget for the design, development, and deployment of SMRs, with a target to operationalise five indigenously developed SMRs by 2033. While large reactors will remain critical for grid-scale power, SMRs are expected to play a distinct role in providing clean, uninterrupted captive power to energy-intensive sectors such as steel, cement, chemicals, semiconductors, hydrogen production, and data centres. The biggest hurdle remains the economics of nuclear energy. Nuclear projects are highly capital intensive, with construction costs estimated at ₹16–20 crore per MW. Equally challenging is the long gestation period. Accident-related liability has been a major roadblock to investment. While the overall liability cap remains at ₹3,000 crore, the new Bill introduces graded limits linked to reactor size. Smaller reactors will face significantly lower liability, replacing the earlier flat cap of ₹1,500 crore that applied uniformly to all plants above 10 MW. In the Parliament’s winter session, Shashi Tharoor, Member of Parliament, in his speech said that the SHANTI Bill gives the Centre wide discretion to exempt nuclear plants from licensing and liability on loosely defined grounds, potentially allowing oversight to be bypassed. He also argued that the liability cap is inadequate to cover the cost of major accidents, leaving taxpayers exposed while protecting suppliers.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
7
Notes:
The article references recent developments, including the SHANTI Bill and statements by Union Minister Piyush Goyal. However, the earliest known publication date of similar content is December 15, 2025, which is over a month ago. This suggests the narrative may not be entirely fresh. Additionally, the article includes data from 2024-25, which may be outdated. ([moneycontrol.com](https://www.moneycontrol.com/news/business/shanti-bill-to-position-nuclear-power-as-backbone-for-data-centres-24-7-electricity-piyush-goyal-13726536.html?utm_source=openai))
Quotes check
Score:
6
Notes:
The article includes a direct quote from Union Minister Piyush Goyal, stating, “Nuclear energy is a unique clean energy source. Solar and wind are important, but they have intermittency. Nuclear provides stable power. Renewables and nuclear together will help India achieve 24×7 power supply.” ([moneycontrol.com](https://www.moneycontrol.com/news/business/shanti-bill-to-position-nuclear-power-as-backbone-for-data-centres-24-7-electricity-piyush-goyal-13726536.html?utm_source=openai)) However, this quote appears in multiple sources, raising concerns about its originality. Variations in wording across sources further suggest potential reuse or paraphrasing. ([moneycontrol.com](https://www.moneycontrol.com/news/business/shanti-bill-to-position-nuclear-power-as-backbone-for-data-centres-24-7-electricity-piyush-goyal-13726536.html?utm_source=openai))
Source reliability
Score:
6
Notes:
The article cites The Indian Express, Agence France-Presse, Le Monde, Moneycontrol, and Down To Earth. While some of these are reputable sources, others are less well-known. The reliance on a single source for the Piyush Goyal quote raises concerns about the independence of the information. ([moneycontrol.com](https://www.moneycontrol.com/news/business/shanti-bill-to-position-nuclear-power-as-backbone-for-data-centres-24-7-electricity-piyush-goyal-13726536.html?utm_source=openai))
Plausability check
Score:
7
Notes:
The claims about India’s nuclear power expansion align with known government objectives and recent legislative actions, such as the SHANTI Bill. However, the ambitious target of 100 gigawatts by 2047 is highly ambitious and may face significant challenges in terms of financing, technology, and public acceptance. ([business-standard.com](https://www.business-standard.com/industry/news/india-nuclear-power-capacity-100gw-2047-fuel-cost-legal-hurdles-125102100785_1.html?utm_source=openai))
Overall assessment
Verdict (FAIL, OPEN, PASS): FAIL
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The article presents information on India’s nuclear power expansion, referencing recent developments and statements by Union Minister Piyush Goyal. However, the reliance on a single source for key information, potential reuse of quotes, and the ambitious nature of the claims raise concerns about the article’s credibility and accuracy. ([moneycontrol.com](https://www.moneycontrol.com/news/business/shanti-bill-to-position-nuclear-power-as-backbone-for-data-centres-24-7-electricity-piyush-goyal-13726536.html?utm_source=openai))
