PARLIAMENT QUESTION: NUCLEAR ISSUES

1. At a Glance

• Lok Sabha Unstarred Question answered by Department of Atomic Energy (DAE) on 19 March 2026, covering customs-duty reform for nuclear imports, domestic supply-chain plans for the fleet-mode 10 × 700 MWe PHWRs, and BARC's role [S1].
• Sits at the intersection of energy security, indigenisation (Atmanirbhar Bharat), and India's Nuclear Energy Mission announced in Union Budget 2025-26 [S5].
• UPSC relevance: GS-III (energy, S&T, infrastructure) and GS-II (governance, Parliamentary devices).

2. Why in the News

• DAE's Parliament reply (19 Mar 2026) flagged zero customs duty on imports for nuclear power projects to lower unit cost of electricity from foreign-cooperation projects (e.g., Kudankulam, Jaitapur, Kovvada) [S1].
• Follows Budget 2025-26's Nuclear Energy Mission with ₹20,000 crore outlay for R&D of Small Modular Reactors (SMRs), targeting 5 indigenous SMRs operational by 2033 [S5].
• NPCIL ramp-up of 10 fleet-mode 700 MWe PHWRs sanctioned in June 2017 [S2].

3. Background & Evolution

• 1948: Atomic Energy Act (later 1962 Act); DAE set up under PM's direct charge.
• 1969: First nuclear power (Tarapur BWR with US cooperation).
• 2008: India-US Civil Nuclear Agreement; NSG waiver.
• 2010: Civil Liability for Nuclear Damage Act.
• June 2017: Cabinet bulk approval for 10 indigenous 700 MWe PHWRs in fleet mode — first-of-its-kind bulk sanction [S2].
• 2024: KAPS-4 (700 MWe PHWR, Gujarat) achieved full power [S4].
• Feb 2025: Budget launches Nuclear Energy Mission + amendments proposed to Atomic Energy Act & CLND Act to enable private participation [S5].

4. Core Static Facts

• Implementing entity: Nuclear Power Corporation of India Ltd (NPCIL) — wholly-owned PSU under DAE [S2].
• Fast Breeder Reactor: 500 MW PFBR at Kalpakkam by BHAVINI [S2].
• R&D body: Bhabha Atomic Research Centre (BARC), Mumbai (parent: DAE) [S1].
• Current installed nuclear capacity: 8,180 MW across 24 reactors [S3].
• Target by 2031-32: 22,480 MW (≈ tripling) [S3].
• Fleet-mode PHWR sites: Kaiga-5&6 (Karnataka), GHAVP-3&4 (Gorakhpur, Haryana), Chutka-1&2 (MP), Mahi Banswara (Rajasthan) [S2].
• Bharat Small Reactor (BSR): 220 MWe PHWR adapted for captive industrial use (steel, aluminium) [S5].
• SMR Mission outlay: ₹20,000 crore; goal — 5 SMRs by 2033 [S5].
• Foreign cooperation project: Kovvada (Andhra Pradesh), 6 × 1208 MW with USA — in-principle approval [S3].

5. Multi-Dimensional Analysis

Economic - Zero customs duty reduces project capex & unit tariff for import-heavy reactors (Russian VVERs at Kudankulam) [S1]. - Bulk ordering for 10 PHWRs creates scale economies and order-book continuity for domestic vendors [S1].

Scientific / Technological - NPCIL strategy: import substitution via indigenous equipment development through BARC support [S1]. - SMR push aligns India with global IAEA-tracked trend; BSR is a unique Indian adaptation of proven PHWR tech [S5].

Administrative / Governance - Class-1 local supplier reservation under Public Procurement (Preference to Make in India) Order; MSME preference in bids; vendor meets [S1]. - Federal interface: states host plants (Karnataka, Haryana, MP, Rajasthan, Gujarat, TN, AP) but Atomic Energy is Union List Entry 6 [S2][S3].

Strategic - Triples capacity → reduces fossil-fuel imports; complements Panchamrit COP-26 pledges (500 GW non-fossil by 2030). - Foreign-cooperation projects (Russia, France, USA) leverage NSG waiver (2008) [S3].

Legal / Constitutional - Atomic Energy Act, 1962 (Union List); Civil Liability for Nuclear Damage Act, 2010 (operator liability cap ₹1,500 cr). - Budget 2025-26 proposes amendments to enable private sector in nuclear power [S5].

6. Recent Developments

• 19 Mar 2026 — DAE Parliament reply on zero customs duty + NPCIL supply-chain measures [S1].
• Feb 2025 — Nuclear Energy Mission launched; ₹20,000 cr; 5 SMRs by 2033 [S5].
• 2024 — KAPS-3 & KAPS-4 (700 MWe indigenous PHWRs, Kakrapar) reached full power [S4].
• 2024-25 — Rawatbhata 700 MWe PHWR reached full power [referenced via S2 list].

7. Prelims Hooks

• NPCIL is a PSU under DAE, not Ministry of Power [S2].
• Fleet-mode 10 × 700 MWe PHWR sanction year: 2017 [S2].
• BHAVINI implements the 500 MW PFBR at Kalpakkam [S2].
• India's installed nuclear capacity (latest): 8,180 MW / 24 reactors [S3].
• 2031-32 target: 22,480 MW [S3].
• Nuclear Energy Mission outlay: ₹20,000 crore (Budget 2025-26) [S5].
• SMR target: 5 operational by 2033 [S5].
• Bharat Small Reactor = 220 MWe PHWR for captive industrial use [S5].
• Kovvada (AP) project: 6 × 1208 MW with USA [S3].
• BARC parent ministry: DAE (directly under PM) [S1].
• MSME preference and Class-1 local supplier reservation are key supply-chain levers [S1].
• Customs duty on nuclear project imports → zero to cut unit electricity cost [S1].
• Atomic Energy is Entry 6, Union List.

8. Mains Relevance

• GS-III: Energy security; Infrastructure — Energy; Science & Technology — indigenisation; Achievements of Indians in S&T.
• GS-II: Government policies for development; Parliamentary questions (instrument of accountability).
• Question stems: 1. "Critically examine the role of fleet-mode nuclear reactor procurement in achieving India's 22,480 MW target by 2031-32." (GS-III) 2. "Discuss the strategic and economic rationale for opening India's nuclear sector to private players and SMRs." (GS-III) 3. "Zero customs duty on nuclear imports is a double-edged sword for indigenisation. Comment." (GS-III)

9. Related Topics to Study Next

• Civil Liability for Nuclear Damage Act, 2010 — operator liability, supplier recourse debate.
• India-US 123 Agreement & NSG waiver (2008) — geopolitics of nuclear commerce.
• Three-Stage Nuclear Programme (Bhabha) — PHWR → FBR → Thorium U-233 cycle.
• International Atomic Energy Agency (IAEA) — safeguards, additional protocol.
• Panchamrit / COP-26 commitments — links to clean-energy mix.
• Make in India / PPP-MII Order — Class-1 local supplier framework.
• Small Modular Reactors (SMRs) — global tech landscape (NuScale, Rolls-Royce).
• PFBR Kalpakkam & BHAVINI — closed fuel cycle.

10. Common Errors / Trap Areas

• NPCIL is under DAE, not Ministry of Power or Ministry of New & Renewable Energy.
• DAE reports directly to the PM, not to a Cabinet Minister of a line ministry.
• Fleet-mode PHWRs = 700 MWe indigenous, not 540 MWe (Tarapur-3/4) and not foreign VVERs.
• BSR (220 MWe PHWR) ≠ SMR (under R&D); both distinct under the Nuclear Energy Mission [S5].
• PFBR is implemented by BHAVINI, not NPCIL.
• CLND Act liability cap is ₹1,500 cr on operator, with right of recourse against supplier — frequently confused.

11. Sources

• [S1] PARLIAMENT QUESTION: NUCLEAR ISSUES (DAE, 19 Mar 2026) — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2242540 — (tier 1)
• [S2] Setting up of Ten Indigenous Nuclear Power Reactors — https://pib.gov.in/Pressreleaseshare.aspx?PRID=1539250 — (tier 1)
• [S3] Nuclear power capacity 7480 MW to 22480 MW by 2031-32 — https://www.pib.gov.in/PressReleaseIframePage.aspx?PRID=1988863 — (tier 1)
• [S4] KAPS-4 achieves Full Power Operation — https://www.pib.gov.in/PressReleaseIframePage.aspx?PRID=2047270 — (tier 1)
• [S5] Nuclear Energy Mission for SMRs — Budget 2025-26 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2098367 — (tier 1)