Budget 2025: Rs 20k cr Nuclear Mission for small modular reactor, 5 by 2033

Global interest in small modular reactors has been increasing due to their ability to provide flexible power generation and base-load power for a range of applications, says NITI Aayog report

Finance Minister Nirmala Sitharaman on Saturday announced the establishment of a Rs 20,000-crore Nuclear Energy Mission for the research and development of small modular reactors (SMRs), with at least five indigenously developed units to be operationalised by 2033. The initiative is part of measures to boost atomic power in the country, which also include amending the legal framework to facilitate the involvement of private players.

 

Presenting her record eighth consecutive Budget, Sitharaman stated in her Budget speech, "A Nuclear Energy Mission for research and development of SMRs with an outlay of Rs 20,000 crore will be set up. At least five indigenously developed SMRs will be operationalised by 2033."

 

Stressing the need for "at least 100 gigawatts (GW) of nuclear energy by 2047" as crucial to the country's energy transition, the finance minister said that to facilitate private sector participation in achieving this goal, "amendments to the Atomic Energy Act and the Civil Liability for Nuclear Damage Act will be taken up".

 

India currently has a total power generation capacity of about 462 GW, with 8 GW from nuclear energy, accounting for over 1.7 per cent of the total. In February last year, the government reportedly announced the addition of 18 more nuclear reactors with a combined capacity of 13,800 megawatt electrical (MWe), equivalent to 13.8 GW. According to official projections, these additions will contribute to increasing India's total nuclear power capacity to 22,480 MWe (22.48 GW) by 2031-32. 

 

A May 2023 report, jointly conducted by NITI Aayog, the Department of Atomic Energy (DAE), and Tata Consulting Engineers Limited (TCE), examines the role of SMRs in the energy transition. The report states that "global interest in SMRs has been increasing" due to their ability to provide "both flexible power generation as well as base-load power for a wide range of applications". It further notes that SMRs can be "deployed for repurposing ageing or decommissioned fossil fuel-fired power plants" and highlights their "enhanced safety performance through inherent and passive safety features".

 

Additionally, the report outlines the suitability of SMRs for "cogeneration and non-electric applications in addition to installation in remote regions with less developed infrastructure". It also identifies the "possibility for synergetic hybrid energy systems that combine nuclear and alternate energy sources, including renewables".

 

The report categorises SMR designs into six types based on the nuclear technology employed: land-based water-cooled SMRs, which use pressurised water reactors (PWRs); marine-based water-cooled SMRs, also using PWRs; high-temperature gas-cooled SMRs (HTGRs); liquid metal-cooled fast neutron spectrum SMRs (LMFRs); molten salt reactor SMRs (MSRs); and microreactors (MRs).