![\"India\u2019s](\"https:\/\/static.toiimg.com\/thumb\/msid-130309343,imgsize-1265013,width-400,height-225,resizemode-4\/untitled-design-2026-04-16t191603.jpg\" "\\"<p>AI")
<\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div><\/div>\n<\/div>\n\u2018No power is as costly as no power\u2019 – Homi Jehangir Bhabha, the father of India\u2019s nuclear programme, had once famously said. Several decades later, India\u2019s nuclear energy ambitions have entered a decisive phase.On April 6, the Prototype Fast Breeder Reactor (PFBR) at Kalpakkam in Tamil Nadu achieved criticality, achieving a sustained nuclear chain reaction for the first time. The 500 MWe reactor, built by Bharatiya Nabhikiya Vidyut Nigam Limited, marks India\u2019s formal entry into Stage 2 of its three-stage nuclear programme. What makes India\u2019s achievement even more remarkable is that it is the second country after Russia to operate a commercial fast breeder reactor. This milestone comes at a time when India\u2019s overall power system has reached 520.51 GW of installed capacity as of January, which in itself is a result of a decade of rapid expansion across conventional and renewable sources. Stage 2, therefore, sits within a much larger transformation of India\u2019s energy architecture.Nuclear energy, attained through controlled splitting of atoms, is used to generate electricity. It is widely recognised as a dependable and clean source of energy that does not produce any greenhouse gases. For India, which is among the world\u2019s largest and fastest-growing economies, the importance of energy self-reliance cannot be overstated. As it moves towards its goal of becoming a developed country, nuclear energy is a cornerstone in India\u2019s Atmairbharta push. It also assumes particular significance in an increasingly unpredictable global environment where economic warfare has become a weapon.What is India\u2019s nuclear energy programme? What are the expansion plans and how does nuclear energy help India build self-reliance and energy security?<\/p>\n Nuclear energy remains a small but strategic part of India\u2019s electricity mix. India\u2019s nuclear capacity stands at 8.78 GW, contributing 3.1% of total electricity generation in 2024\u201325, with output of 56,681 million units. This is modest compared to the country\u2019s total installed capacity of 520.51 GW, where renewables and coal dominate. However, expansion plans are significant. <\/p>\n India aims to scale capacity to 22.38 GW by 2031\u201332, supported by an implementation pipeline of 18 reactors totalling 13.6 GW. Beyond this, the Nuclear Energy Mission targets 100 GW by 2047, positioning nuclear as a major pillar of India\u2019s long-term energy transition.As Vikas Gaba, partner and national head – power and utilities, KPMG in India, says, this scale-up is aligned with \u201cViksit Bharat 2047 and the national Net-Zero 2070 commitment,\u201d with nuclear power expected to play a materially larger role in the future energy system.This expansion aligns with rising electricity demand, which saw India meet a peak of 242.49 GW in FY 2025\u201326, while power shortages fell sharply to 0.03%, down from 4.2% a decade ago.As Gaba notes, nuclear is positioned as a \u201ccritical pillar\u201d in India\u2019s long-term clean energy transition.<\/p>\n India\u2019s three-stage nuclear programme, designed by Homi Jehangir Bhabha way back in 1954, is rooted in resource optimisation.Stage 1 generates plutonium from uranium. Stage 2, now operational, uses that plutonium in Fast Breeder Reactors to create more fuel than consumed. The PFBR converts Uranium-238 into Plutonium-239, expanding fissile material availability.Crucially, it lays the foundation for Stage 3, where Thorium-232 will be converted into Uranium-233 for large-scale thorium-based power generation. <\/p>\n <\/p>\n India doesn\u2019t have much uranium. Unlike France or China, which scaled nuclear rapidly using imported uranium, India\u2019s approach is slower but structurally differentiated, prioritising domestic resource leverage, closed fuel cycles, and strategic autonomy over near\u2011term capacity maximisation.Importantly, Somesh Kumar, partner, power & utilities GPS leader, EY India, says, India\u2019s differentiation lies in \u201ca three-stage closed fuel-cycle pathway intended to convert limited domestic uranium and large thorium reserves into long-term energy security.\u201d<\/p>\n Amit Kumar, partner and energy and renewables industry leader at Grant Thornton Bharat, notes, \u201cAlthough India has the 8th largest installed base of nuclear power capacity, the contribution to electricity generated is only 3% of annual production. With recent policy reforms and engineering advances, India is on a path to emerge as a significant nuclear energy player.\u201d<\/p>\n India\u2019s energy mix today reflects both scale and transition. Coal continues to dominate total energy supply, rising to 5,52,315 Ktoe in FY 2024\u201325, while renewable capacity has surged to 2,29,346 MW, growing at a CAGR of over 10%. On peak days, renewables have already met over 51.5% of electricity demand, signalling rapid structural change. At the same time, overall energy demand continues to rise. Total Primary Energy Supply grew 2.95% year-on-year, while Total Final Consumption increased over 30% since FY16, reflecting expanding industrial and economic activity. <\/p>\n In this context, nuclear power’s role is distinct. It provides stable, round-the-clock baseload power in a system increasingly dominated by variable renewables.As Somesh Kumar highlights, nuclear delivers \u201creliable 24×7 clean baseload power,\u201d complementing intermittent sources like solar and wind.<\/p>\n India\u2019s power sector has moved from scarcity to adequacy.Over 18,374 villages have been electrified, and 2.86 crore households connected, supported by investments of Rs 1.85 lakh crore. Per capita electricity consumption has risen to 1,460 kWh (FY25), up over 50% from a decade ago.With rising consumption, the projected peak demand is expected to reach 458 GW by 2032 under the National Electricity Plan. This creates the need for not just more power, but more reliable power.Nuclear fits this requirement by providing a consistent supply independent of weather or fuel price volatility, supporting industrial growth, digital infrastructure, and urban demand centres.<\/p>\n India\u2019s power sector is entering a massive investment phase. With over Rs 50 lakh crore investment opportunities projected through 2032 across generation, transmission, and storage, nuclear forms a key long-term component of this ecosystem.The Nuclear Energy Mission allocates Rs 20,000 crore for SMRs, but the broader scale-up to 100 GW will require sustained capital deployment. <\/p>\n As Somesh Kumar notes, nuclear\u2019s value lies in reducing dependence on fossil-based reliability resources in a system that will require trillions in investment for the net-zero transition.<\/p>\n In India\u2019s quest for nuclear energy expansion, the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025 emerges as an institutional backbone. The SHANTI Act 2025 consolidates and modernises India\u2019s nuclear legal architecture, aligning it with current expansion goals. It allows limited private sector participation in areas such as plant operations, equipment manufacturing, and parts of the fuel value chain, while retaining sovereign control over critical functions like enrichment, reprocessing, and waste management.The legislation also strengthens regulatory oversight by granting statutory status to the Atomic Energy Regulatory Board and introducing structured licensing and a graded liability framework.This creates a more predictable and structured environment for scaling nuclear capacity, while maintaining safety and strategic control. In this context, the broader policy ecosystem complements technological milestones such as the PFBR\u2019s criticality, enabling the next phase of growth.This policy framework aligns nuclear expansion with India\u2019s broader goals of energy security, clean energy transition, and long-term economic growth.Debashish Mishra, partner, chief growth officer, Deloitte South Asia, says that the SHANTI Bill clarifies a few important aspects like insurance, liability. \u201cThis has been the demand because post-Fukushima, foreign companies are scared to touch any investment in nuclear without capping their liability. It also covers small modular reactors which are important for data centers,\u201d he tells TOI.However, Amit Kumar of Grant Thornton Bharat sees two critical gaps, domestic capability and capacity building, and faster approval cycles for foreign direct investment in nuclear power. He believes that to fully capitalise on recent reforms, India must prioritise localisation of nuclear manufacturing.<\/p>\n India\u2019s nuclear strategy is fundamentally about reducing vulnerability. While fossil fuels\u2014especially coal and imported hydrocarbons\u2014continue to dominate energy supply, nuclear energy offers a pathway to reduce long-term exposure to global fuel volatility.Its advantages include low fuel volume requirements, long operating cycles, and the ability to build a domestic fuel cycle. Over time, thorium-based systems could further strengthen self-reliance.Experts say expanding nuclear power can provide substantial economic benefits by displacing imported fossil fuels used for baseload power. Over time, avoided fuel imports, reducing carbon exposure, and stable long\u2011term tariffs can end up improving India\u2019s trade balance while at the same time supporting competitive, low\u2011carbon industrial growth. <\/p>\n Amit Kumar of Grant Thornton Bharat explains that energy consumption today depends on imported fuel, except for electricity which is largely generated from indigenous resources. Increasing electrification of sources of energy consumption (cooking, transportation) and increased production of electricity from non-fossil indigenous resources will be two drivers of India\u2019s energy security, he believes. \u201cIn an increasingly volatile global energy environment, greater nuclear penetration can significantly reduce reliance on fossil fuels, thereby lowering exposure to fuel\u2011price volatility and import dependence,\u201d he tells TOI.\u201cBeyond fuel security, nuclear power enhances grid stability in a renewable\u2011heavy system by providing firm, carbon\u2011free baseload power. Strategically, India\u2019s indigenous reactor program and advanced reactor focus reinforce long\u2011term self\u2011reliance and technological leadership,\u201d he adds.Somesh Kumar of EY India is of the view that the stronger economic case for nuclear power is system-level: Niti Aayog estimates that India\u2019s Net Zero power transition could require $14.23 trillion in cumulative investment by 2070, which means the country will need not just more clean energy, but more firm and reliable clean energy. Nuclear\u2019s economic value lies in reducing reliance on fossil-based reliability resources over time. Its strongest substitution case is in the power sector, especially against coal-based baseload generation in the medium-to-long term and gas-based generation during periods of LNG stress; Niti\u2019s power outlook is telling on this point, as it sees no new gas-based generation investment and existing gas plants being gradually retired by 2050. In other words, nuclear\u2019s most effective role is not to replace every hydrocarbon everywhere, but to displace the most import-risk and carbon-intensive parts of the electricity stack while supporting a more stable clean-power system, says Somesh Kumar.In fact, according to Sambitosh Mohapatra, Partner, PwC India India\u2019s unique fuel strategy supports grid stability, limits exposure to geopolitical energy shocks, and anchors energy independence as renewable penetration and electrification rise.\u201cCivil nuclear power enhances India\u2019s energy security by providing firm, low\u2011carbon baseload power while reducing dependence on imported coal, LNG, and volatile global fuel markets. The fast\u2011breeder pathway enables recycling of spent fuel and gradual reduction in uranium import intensity. Over the long term, India\u2019s vast thorium reserves\u2014among the largest globally\u2014offer the prospect of near\u2011permanent domestic fuel availability under Stage\u20113 reactors,\u201d he tells TOI.From a fuel security perspective, nuclear power has a distinct advantage. It requires very small quantities of fuel, sourced under long\u2011term arrangements and usable over extended operating cycles. According to Vikas Gaba of KPMG, economically, nuclear expansion enables substitution of import\u2011intensive and fuel\u2011price\u2011exposed conventional sources. Nuclear power is particularly effective in replacing:<\/p>\n Gaba lists heavy industries, railways, urban power systems, emerging digital infrastructure, and manufacturing corridors as key beneficiary sectors.India\u2019s nuclear strategy is also closely linked to long-term energy security. The three-stage programme is designed to reduce dependence on imported uranium by building a domestic fuel cycle centred on thorium. With one of the largest thorium reserves globally, this approach aims to ensure sustained energy availability over the long term.At present, India also participates in cross-border electricity trade with neighbouring countries through regional grid connectivity. While nuclear energy is currently focused on domestic supply, expansion of stable baseload capacity could strengthen India\u2019s role in regional energy cooperation over time.<\/p>\n Despite strong fundamentals, execution remains the key challenge.Nuclear projects are characterised by long gestation periods, high capital requirements, and complex regulatory frameworks. Technologies like Fast Breeder Reactors add additional layers of technical complexity.The transition to Stage 3, based on thorium, remains a long-term objective dependent on the successful scaling of Stage 2 technologies. Execution, rather than intent, will determine the pace of progress.India\u2019s power system has expanded rapidly, adding over 52,537 MW capacity in FY26 alone, including 39,657 MW from renewables, but nuclear projects operate on longer timelines and higher capital intensity.As Somesh Kumar of EY points out, the next phase depends on building a \u201ccredible build-finance-regulate model at scale.\u201d<\/p>\n India\u2019s nuclear milestone at Kalpakkam is not an isolated event\u2014it is part of a broader transformation of the country\u2019s energy system.From 520.51 GW installed capacity to rising demand, expanding renewables, and declining power shortages, the system is becoming larger, more reliable, and more complex.In that system, nuclear energy is evolving from a marginal contributor to a strategic pillar\u2014one that provides stability, supports clean energy goals, and strengthens long-term energy security.As Somesh Kumar of EY sums up: the next phase of India\u2019s nuclear journey will be decided less by ambition and more by whether India can build a credible build-finance-regulate model at scale.The ambition is clear. The scale is unprecedented. The outcome will depend on execution.<\/div>\n\nIndia\u2019s civil nuclear energy plans: Where we stand & expansion roadmap<\/h3>\n<\/p>\n
![\"India's](\"https:\/\/static.toiimg.com\/photo\/msid-130309587\/indias-nuclear-roadmap.jpg\" "\\"\\"")
<\/div>\n<\/div>\nImportance of Stage 2 & the road to Stage 3<\/h3>\n<\/p>\n
![\"India\u2019s](\"https:\/\/static.toiimg.com\/photo\/msid-130309779\/indias-long-term-nuclear-strategy.jpg\" "\\"\\"")
<\/div>\n<\/div>\nWhat makes India\u2019s nuclear journey different<\/h3>\n<\/p>\n
![\"How](\"https:\/\/static.toiimg.com\/photo\/msid-130311586\/how-indias-nuclear-capacity-compares-to-global-economies.jpg\" "\\"\\"")
<\/div>\n<\/div>\nNuclear in India\u2019s evolving energy mix<\/h3>\n<\/p>\n
![\"Electricity](\"https:\/\/static.toiimg.com\/photo\/msid-130309857\/electricity-generated-from-renewable-sources-of-energy.jpg\" "\\"\\"")
<\/div>\n<\/div>\nEnergy access, demand growth, and why nuclear matters<\/h3>\n<\/p>\n
The investment cycle: Nuclear as a long-term capital play<\/h3>\n<\/p>\n
![\"Total](\"https:\/\/static.toiimg.com\/photo\/msid-130309749\/total-installed-capacity.jpg\" "\\"\\"")
<\/div>\n<\/div>\nPolicy push: Role of the SHANTI Act, 2025<\/h3>\n<\/p>\n
Role in self-reliance, energy security & economic benefits<\/h3>\n<\/p>\n
![\"The](\"https:\/\/static.toiimg.com\/photo\/msid-130310062\/the-moment-a-reactor-comes-alive.jpg\" "\\"\\"")
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Execution challenges: Scale, cost, and timelines<\/h3>\n<\/p>\n
The bottom line<\/h3>\n<\/p>\n