Revenue cuts to DAE could hit nuclear fuel import, payment to KKNPP vendors: official to par panel

Budgetary cuts to the Department of Atomic Energy could affect nuclear fuel imports, payments to vendors of the Kudankulam Nuclear Power Plant and other critical projects, according to a top official's response to a parliamentary panel that has termed the shortfall in financial allocation as a "cause for grave concern".

The parliamentary standing committee on Science & Technology, Environment, Forests and Climate Change, which tabled its report in the Rajya Sabha on Friday, looked into the Demands of Grant of the Department of Atomic Energy (DAE).

The DAE had made a projected demand of Rs 40,259.05 crore but was allocated Rs 26,691.70 crore, a reduction of 33.70 per cent.

"The Committee was informed that the Department (DAE) had made a projected demand of Rs 40,259.05 crore for budgetary estimate 2020-21 against which an amount of Rs 26,691.70 crore has been allocated, registering an overall reduction of Rs 13,567.35 crore i.e., 33.70 per cent less than the projected demand of the department," the panel said, observing that the insufficient budgetary allocation for DAE was a "cause for a grave concern".

It further said, "Approximately, 41 per cent of this shortfall amount of Rs 13,567.35 crore is the revenue expenditure and 59 per cent affects the projected capital expenditure."