Challenges and Opportunities in the Indian Nuclear Energy Sector
Challenges:
The Atomic Energy Act limits private sector involvement, hindering innovation and investment.
Ongoing legal challenges to the Civil Liability for Nuclear Damage Act create uncertainty for investors.
Developing nuclear infrastructure requires significant financial resources and skilled labor.
Opportunities:
Recent announcements for private partnerships can boost investment and technology development.
Aligning with India's commitment to achieve 500 GW of non-fossil fuel energy by 2030 opens avenues for nuclear growth.
Increased international focus on nuclear energy provides a chance for collaboration and innovation.
Government's Recent Announcement Regarding Private Sector Partnerships
The government announced plans to collaborate with private entities to develop Bharat Small Reactors (BSR) and newer nuclear technologies.
The goal is to attract approximately $26 billion in investments, enhancing the sector’s capabilities.
The announcement encourages a review of the existing regulatory framework to facilitate private sector participation in nuclear energy.
Atomic Energy Act
The subject of ‘nuclear energy’ is governed by India’s Atomic Energy Act 1962
The Government of India plays a pivotal role in the development, operation, and decommissioning of nuclear facilities.
Section 3(a) restricts private entities from participating in nuclear power licensing and development.
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