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In today’s world, humanity faces myriad challenges—geopolitical tensions, financial crises, and growing environmental emergencies. Yet, standing paramount is the survival of our planet amidst an ever-deepening climate crisis. The need for sustainable development has become urgent, creating a dual mandate: meeting the rising global energy demand while drastically reducing carbon emissions.
In this race against time, nuclear power, once sidelined due to safety concerns, is re-emerging as a vital component in the sustainable energy transition. Nuclear energy, producing no carbon emissions during operation, offers a reliable, scalable solution that other renewable sources like wind and solar cannot consistently match. Today, innovative Small Modular Reactors (SMRs) bring nuclear energy into a new era—one that is not only safer and more affordable but also flexible enough to fit diverse energy landscapes. For India, this shift presents a historic opportunity to strengthen its energy security, champion sustainable growth, and assume a global leadership role in nuclear technology.
Image Courtesy: ISRO
A DESIRABLE OPTION FOR CLEAN ENERGY TRANSITION
While renewable sources such as solar and wind are crucial in reducing carbon emissions, they come with significant intermittency challenges. Nuclear power, by contrast, provides continuous, low-carbon energy, free from the variability of weather patterns. According to data from the US in 2016, nuclear plants operated at over 92% capacity, significantly higher than hydro (38%), wind (34%), and solar (25%). This reliable energy source can be essential for countries working to decarbonise and meet rising energy demands.
However, the perception of nuclear energy has been clouded by concerns over accidents and radioactive waste. Yet recent technological advances, especially in SMR design, have revolutionised nuclear safety standards. Newer reactors use passive safety systems, meaning they can safely shut down in emergencies without human intervention. Waste management is increasingly a matter of political, rather than technological, hurdles, with countries like the US and Finland pioneering long-term storage solutions that address these concerns.
THE RISE OF SMALL MODULAR REACTORS
SMRs are an innovative nuclear energy solution, generating 50 to 300 MW—far smaller than traditional reactors, which exceed 1,000 MW. Prefabricated and transported to their sites, SMRs lower construction time and costs, making them ideal in today’s fast-moving energy landscape.
Key benefits include:
- Safety: Smaller cores and passive safety features reduce risks of catastrophic failure, with longer refuelling cycles due to lower fuel needs.
- Modularity and Flexibility: Suitable for remote locations, SMRs can scale up with energy demand and adapt to diverse geographic needs.
- Lower Costs: Factory-scale production allows SMRs to be built affordably, reducing the high costs typical of traditional reactors.
Countries like the US, UK, and Russia have already embraced SMRs, deploying them to meet both energy needs and strategic objectives. Russia’s Akademik Lomonosov, the world’s first floating SMR, powers remote Arctic areas, while China and Canada are actively building SMRs to meet growing energy demands in isolated regions. The success of these projects has positioned SMRs as a viable solution for nations aiming to reduce their carbon footprint without compromising energy security.
INDIA’S TRYST WITH SMRS
In recent years, India has pursued a multifaceted strategy to advance nuclear energy, focusing on harnessing indigenous technology, engaging in international partnerships, and implementing policy frameworks to accelerate the adoption of Small Modular Reactors (SMRs) and enhance nuclear energy’s role in the country’s energy mix..
Currently the world’s third-largest energy consumer, India is uniquely positioned to leverage SMR technology. Nuclear power already constitutes around 3% of India’s electricity generation, but there is substantial potential to expand this share, especially as India pursues ambitious climate targets. The government’s commitment to increasing nuclear capacity to 22,480 MW by 2031 makes SMRs a compelling option within India’s broader energy strategy.
India’s energy demand is expected to rise between 80% and 150% by 2050, driven by industrial growth and increased access to electricity. Much of this demand is currently met by coal, which powers nearly 70% of India’s electricity generation, making the nation the second-largest consumer of coal worldwide. SMRs offer a cleaner alternative that can reduce India’s reliance on fossil fuels and help decarbonize hard-to-abate sectors of the economy. In remote or underserved areas, where extending the central grid is impractical, SMRs could provide a decentralized energy solution, ensuring reliable power supply in regions that traditional nuclear plants cannot reach.
INTERNATIONAL COLLABORATIONS IN NUCLEAR ENERGY
India has actively pursued international cooperation to accelerate SMR deployment. Recently, India and Russia agreed on joint research into floating nuclear power plants—mobile nuclear units that could deliver reliable electricity to remote coastal regions. Russia’s Rosatom, which operates the world’s first floating nuclear plant, is a potential partner in India’s ambitions to develop its own fleet of mobile reactors. The India-Russia collaboration aligns with India’s broader goal of technology transfer, reducing reliance on coal, and developing low-emission power sources.
Similarly, India’s partnerships with the US and Canada have centered on developing safety protocols, sharing best practices, and participating in SMR projects. The Nuclear Power Corporation of India Limited (NPCIL) is also in talks with various international stakeholders to adopt next-generation SMR designs, benefiting from the expertise of companies like NuScale Power in the US and Terrestrial Energy in Canada.
INDIGENOUS NUCLEAR TECHNOLOGY DEVELOPMENT
India has established a strong foundation in nuclear technology, primarily through its experience with Pressurized Heavy Water Reactors (PHWRs) designed for larger plants. Recently, however, the Department of Atomic Energy (DAE) and the Bhabha Atomic Research Centre (BARC) have concentrated efforts on designing smaller, modular reactors tailored for India’s unique energy needs. BARC is actively working on a 220 MW SMR prototype designed to provide cost-effective, low-carbon power to remote areas and small grids.
Beyond these prototypes, India is exploring advanced nuclear technology, such as high-temperature gas-cooled reactors and reactors based on thorium fuel cycles. Thorium, of which India holds one of the world’s largest reserves, offers a cleaner alternative to uranium, producing minimal waste and operating at lower risk. India’s three-stage nuclear programme is progressing towards a future where SMRs running on thorium could become a reality.
POLICY FRAMEWORKS AND INITIATIVES
The Indian government has rolled out several policies to foster SMR technology and make nuclear energy more accessible across the country. In 2023, the Ministry of Power introduced policies to encourage private-sector participation in nuclear projects. The government has also earmarked an initial investment of over Rs 1 trillion to fund nuclear research, SMR design, and plant construction, a signal of the strong commitment to realising the potential of nuclear power. Furthermore, the DAE has amended regulatory frameworks to expedite the development of SMRs by establishing clear safety, environmental, and operational guidelines tailored to smaller reactors. The Atomic Energy Regulatory Board (AERB) is working towards setting up a streamlined approval process for SMRs, which will ensure timely implementation while adhering to stringent safety standards.
RESOURCE ALLOCATION AND FINANCING MECHANISMS
To drive nuclear advancements, the government has allocated substantial financial resources. Alongside public investments, it is exploring public-private partnerships (PPPs) as a means to supplement funding for nuclear research, prototype development, and eventual large-scale deployment. A recent shift to attract private-sector investments has brought in both domestic and international firms, creating a strong pipeline of resources to back nuclear initiatives.
The state-owned Nuclear Fuel Complex is ramping up efforts to expand India’s capacity for uranium mining and processing, which will ensure a steady domestic supply of nuclear fuel. This effort also includes accelerating the production of heavy water, crucial for PHWRs and SMRs alike.
CURRENT STATUS & PROJECTED TIMELINE
India’s nuclear sector is aiming to reach an installed nuclear power capacity of 22,480 MW by 2031, with SMRs playing an important role in meeting this target. The government is optimistic about deploying the first commercial SMRs within the next decade, with the DAE prioritising SMR operationalisation by the late 2020s. Additionally, India’s indigenous SMR prototype is expected to enter its testing phase within the next three years, marking a significant milestone. While India’s SMR journey is in its early stages, the commitment to self-sufficiency, collaboration, and a robust policy landscape bodes well for the country’s vision of achieving an energy-secure, low-carbon future.
CHALLENGES AND THE PATH FORWARD
While the potential of SMRs is promising, India must address several challenges to bring this vision to fruition:
- Regulatory Frameworks: India’s nuclear regulatory bodies will need to establish new frameworks to accommodate SMR technologies. Streamlining approval processes and ensuring robust safety standards will be critical.
- Public Perception: Nuclear energy has faced significant public scrutiny in the wake of incidents like the Fukushima nuclear accident of 2011. Building public trust through transparent safety measures and educational campaigns will be essential for long-term support of nuclear power.
- Funding and Infrastructure: While SMRs offer lower costs relative to large reactors, they still require considerable investment. India will likely look to both private and international partners to support financing for SMR projects.
- Security: An added concern shall be the security of such reactors from anti-national elements, both from within and without. As an emerging world leader, India inevitably will attract forces active to sabotage and contain India’s quest for energy independence.
A DIPLOMATIC ASSET IN GLOBAL CLIMATE POLICY
By embracing SMRs, India can strengthen its position in global climate dialogues, championing a balanced approach to clean energy that includes nuclear power. SMR deployment can become a cornerstone of India’s diplomatic strategy, demonstrating leadership in sustainable technology, enhancing energy resilience, and promoting climate-friendly solutions. India’s nuclear energy agenda could serve as a model for developing nations, especially those facing similar challenges of balancing energy demand with emissions reduction. The key to these greatly enhanced advantages, though, shall lie in quickly developing indigenous technologies, giving India both independence and dominance.
A PROMISE FOR THE FUTURE
India stands on the brink of a nuclear revolution. By embracing SMRs, the country can transition to a cleaner, more secure energy future while reducing its dependence on coal. SMRs’ inherent safety features, flexible design, and lower costs position them as an ideal solution to meet India’s growing energy needs and climate commitments. Through strategic partnerships and international collaboration, India can become a leading force in the global nuclear landscape, offering sustainable energy solutions not only domestically but also to neighbouring regions in need of reliable, low-carbon power.
As the global energy transition accelerates, nuclear power—embodied in the form of SMRs—offers a pathway to sustainable growth that aligns with India’s economic ambitions and environmental goals. The time is ripe for India to leverage SMR technology, turning nuclear energy into both a domestic asset and a diplomatic tool in the quest for a cleaner, greener world.
*The writer, a Harvard educated civil servant, is a former Secretary to the Government of India. He also served on the Central Administrative Tribunal and as Secretary General of ASSOCHAM. He commands extensive expertise in the fields including Media and Information, Industrial and Labour Reforms, and Public Policy.