India's Nuclear Energy Ambitions Attract Private Sector, But Policy Gaps Persist

07 May 2025

India's ambitious goal of reaching 100 GW of nuclear power capacity by 2047 has started to attract significant interest from the private sector; however, to ensure that this sector contributes at least 50% towards this target, it is essential to promptly address the existing policy gaps, as stated in a report by SBI Capital Market. The report further indicated that the opportunity extends beyond mere project development, with numerous companies across the nuclear power ecosystem set to benefit.

It said, "It is pivotal to address current policy deficiencies to guarantee that the private sector spearheads the establishment of 50% of the aimed 100 GW nuclear capacity by 2047." This includes manufacturers of reactors, suppliers of turbines and generators, and providers of precision control and equipment, as well as experts in cooling systems. The potential is evident; however, it remains uncertain whether the appropriate policy 'triggers' will be implemented to activate the sector.

The government has made a significant advancement by initiating the BSR (Bharatiya Saksham Reactor) programme, which allows the private sector to construct Pressurised Heavy Water Reactors (PHWRs) for their own use. The report mentioned that the programme has stringent entry requirements to ensure that only committed and competent participants are involved, thereby minimising risks associated with implementation and financing. The captive use model represents an additional advantage, as it mitigates demand uncertainty.