India's Nuclear Push: Duty-Free Imports to Cut Power Costs, Boost Projects

The Indian government has announced a zero customs duty policy on imports for nuclear power projects until 2035 to accelerate development and reduce electricity costs. Minister Dr. Jitendra Singh stated this will improve the economic viability of projects with high import content, while NPCIL is strengthening the domestic supply chain for new reactor units. Increased R&D funding at BARC is focused on achieving self-reliance in advanced technologies like Small Modular Reactors and isotope production for cancer treatment. However, there is currently no plan to integrate the PM Gati Shakti framework with the logistics of upcoming coastal nuclear parks.

Key Points: Duty-Free Nuclear Imports to Lower Power Costs, Speed Projects

  • Customs duty exemption until 2035
  • Lower project and electricity costs
  • Strengthen domestic supply chain
  • Focus on indigenous tech and MSMEs
  • No Gati Shakti integration for now
2 min read

Duty free nuclear imports to speed up project execution, lower electricity costs: MoS

Government exempts customs duty on nuclear imports until 2035 to accelerate projects, reduce electricity costs, and enhance viability.

"Zero customs duty... will accelerate development, lower overall project and per‑unit electricity costs - Government Statement"

New Delhi, March 18

Zero customs duty on import of goods for nuclear power projects will accelerate development, lower overall project and per‑unit electricity costs and improve viability for projects with high import content, the government said on Wednesday.

The exemption on nuclear fuels and reactor components up to the year 2035 will reduce project and electricity generation costs, thereby improving the economic viability of nuclear power projects, MoS, Atomic Energy and Space, Dr. Jitendra Singh said in Lok Sabha.

The Minister informed that Nuclear Power Corporation of India Limited (NPCIL) has taken several steps to strengthen the domestic supply chain for the ten newly approved 700 MW Pressurized Heavy Water Reactor (PHWR) units.

The steps include placing bulk orders to ensure continuity, expanding the vendor base with necessary support, promoting indigenous equipment for import substitution, reserving certain equipment for class-1 local suppliers, and organising vendor meets with a focus on encouraging MSMEs and giving them preference in bids.

Regarding enhanced funding for research and development at Bhabha Atomic Research Centre (BARC), the minister said that the increased allocation is being utilised for multidisciplinary technology development aimed at achieving self-reliance.

"The focus areas include development of new research reactors, isotope production facilities especially for cancer treatment, advanced reactor technologies including Small Modular Reactors (SMRs) and hydrogen production, accelerator technologies, laser-based applications, and advanced materials and manufacturing technologies," the statement said.

The minister informed that, there is no proposal currently to integrate the PM Gati Shakti framework with the construction and logistics of upcoming nuclear parks in coastal States.

India's nuclear expansion is still expected to remain gradual and to increase to around 22 Giga Watt (GW) by FY2032, considering projects under implementation and planning, the firm forecasted, a recent report from credit ratings agency Infomerics Ratings said.

SHANTI Bill 2025 replaced the Atomic Energy Act, 1962, and the Civil Liability for Nuclear Damage Act, 2010, with a unified legal framework governing development, safety, security, safeguards, and nuclear liability.

- IANS

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Reader Comments

P
Priya S
Good move, but I hope the focus on indigenous supply chains and MSMEs is real and not just on paper. We need to build our own expertise. The part about isotope production for cancer treatment is especially heartening. More power to BARC scientists!
R
Rohit P
22 GW by 2032 seems a bit modest, no? With our growing energy needs, we need to be more ambitious. Solar and wind are great, but we need stable base-load power. Nuclear is the answer. Hope the new SHANTI Bill simplifies things and doesn't create more red tape.
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Sarah B
While the economic benefits are clear, I have a respectful criticism. The article mentions no plan to integrate with PM Gati Shakti for coastal nuclear parks. That seems like a missed opportunity for optimizing logistics and infrastructure synergy. Coordination between ministries is key for such large projects.
V
Vikram M
Finally some forward thinking! Small Modular Reactors and hydrogen production are the future. This isn't just about electricity; it's about energy independence and high-tech spin-offs. Jai Vigyan! 👨‍🔬
K
Karthik V
Safety and liability under the new bill are my main concerns. Cheaper power is good, but not at the cost of safety standards. The government must ensure the highest protocols are followed, especially in coastal areas. Public trust is essential.

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