
Fast-tracking small modular reactors in India
The country has set a target to increase its nuclear capacity from 8.8 GW at present to 22 GW by 2031 and 100 GW by 2047, which includes both large reactors, and small modular reactors (SMR).
SMRs, typically producing up to 300 MW, are relatively new entrants to the nuclear family but are fast gaining traction globally by virtue of their compact size, factory-built modularity, and enhanced safety features.
Typically, these are finding application for meeting concentrated base-load requirements in cities, decarbonisation of heavy industries like steel and aluminum, remote areas, captive power, and urban micro-grids with requisite reliability and power quality, reverse osmosis of seawater, and hydrogen production. Indian Railways has also shown interest in nuclear power for railway network operation.
The Atomic Energy Commission (AEC) envisions SMRs as 'crucial to India's strategy to achieve net-zero emissions, aligning with its broader Viksit Bharat vision'.
While technological developments taking place in this field are quite encouraging, it is also important to ensure an enabling policy and regulatory framework. This would call for changes in the existing regulatory framework, which is designed for large reactors, considering the distinct design features of SMRs like size, safety features, etc.
Global scenario
Globally, the development of Small Modular Reactors (SMRs) is gaining momentum, with over 80 designs at various stages of advancement across 18 countries. Of these, 19 designs have reached advanced stages of deployment as of June 2025, led by countries such as Russia, China, Canada, the United States, South Korea, Denmark, and the United Kingdom.
Russia and China have already operationalized SMRs, including land-based and floating units, particularly in remote and geographically challenging regions, some of which are with private sector participation.
Recognizing the distinctive design features of SMRs, several countries, namely the United States, Canada, Russia, and others, are refining their policy and regulatory frameworks to accelerate the deployment of these technologies. For example, in the United States, the Nuclear Regulatory Commission (NRC) has established a dedicated regulatory pathway for these reactors. Complementary initiatives, such as the proposed Advanced Nuclear Reactor Generic Environmental Impact Statement (ANR GEIS) and the finalised Emergency Preparedness Requirements for SMRs, also support this process.
Canada has outlined a comprehensive SMR roadmap, combining regulatory alignment with targeted funding to support early deployment. Similarly, the United Kingdom has adapted its Generic Design Assessment (GDA) process to accommodate SMRs, introducing a stepwise, flexible framework that enables earlier feedback and improved alignment with international standards.
Policy and Regulatory landscape in India
India's nuclear energy sector presently operates under a highly centralized regulatory and policy framework, primarily governed by the
Atomic Energy Act of 1962
. This legislation vests exclusive authority in the Department of Atomic Energy (DAE) for all nuclear development, with the Nuclear Power Corporation of India Limited (NPCIL) being the sole entity authorised to construct and operate nuclear power plants for electricity generation.
The Atomic Energy Regulatory Board (AERB) meticulously enforces safety and licensing norms, encompassing stringent siting criteria that mandate extensive exclusion and emergency planning zones, a multi-stage licensing process, mandatory environmental clearances, and strict radiation protection and waste management rules, consistent with IAEA guidelines and the
Civil Liability for Nuclear Damage Act (CLNDA), 2010
.
The existing landscape presents several challenges for the deployment of SMRs and private sector participation. These include relatively long gestation periods for regulatory approvals, high upfront capital investments required, site constraints for conforming to the prevailing emergency zone limits in potential application areas, liability provisions under CLNDA, lack of clarity on foreign investment limits, and return on investments.
Key action areas
From the foregoing, it is apparent that there is an urgent need for a development track that fosters innovation, modular rollout, and broader engagement across India's nuclear ecosystem. This should identify strategic applications such as industrial clusters, off-grid regions, and urban areas, while updating siting norms, safety codes, and grid integration criteria to reflect the unique characteristics of SMRs.
Some of the other key areas to focus on would include recognising nuclear power as green energy, defining long-term bankable power purchase agreements, developing instruments for insurance, expediting regulatory clearances by standardizing of licensing procedures, leveraging strategic partnerships with countries to bring in proven nuclear technologies and best practices, continuing R&D for improving fuel usage and safety of reactors, developing 100 percent indigenous supply chain, increasing public awareness on safety aspects, training of personnel, etc. The framework should also align with broader goals of energy security and the country's net-zero commitments.
With the right push - through policy, regulatory reforms, and public-private collaboration, SMRs can become a key pillar of India's clean energy strategy, supporting net-zero ambitions and national energy resilience. The political will and initiatives taken by the government to amend the legislation and engage with private players augur well for this. The need of the hour is a time-bound action plan.
- K Ramanathan, Distinguished Fellow; Dr Arunendra Kumar Tiwari, Associate Fellow; and Ishita Bhar, Research Associate, The Energy and Resources Institute (TERI)
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles

Mint
6 hours ago
- Mint
IndianOil preparing new strategy for N-power, not interested in Nayara stake: Chairman Sahney
Indian Oil Corp. Ltd is preparing a new strategy to build small modular reactors (SMR) and large nuclear power plants in the country, chairman Arvinder Singh Sahney said. India's largest oil refiner and marketer is taking fresh look at nuclear diversification, Sahney said in an interview, though the company had earlier tied up with Nuclear Power Corp. of India Ltd (NPCIL) for the venture. He did not reveal plans for the technology partner. India's Bharat SMR (BSR) is being designed with a capacity of 200 MWe, while a smaller 55 MWe variant is also under development. However, Indian Oil did not participate in NPCIL's recent bids to set up such reactors for captive use. Indian Oil's large refineries consume as much power as produced by BSRs, Sahney said, prompting it to consider building them. "We have not participated in NPCIL's request for proposal (RFP) process, but we are looking into it in a renewed manner… It was 10 years back when we tied up with NPCIL. But now there is a renewed energy to it," he said. Indian Oil's focus on nuclear power comes at a time the government plans to set up 22 GW of nuclear power by 2032 and 100 GW by 2047, up from the current 8.7 GW. State-run major NTPC Ltd set up a subsidiary called NTPC Parmanu Urja Nigam Ltd earlier this year. With the government planning to open up the space for private players, several conglomerates and renewable energy majors are keen on this space. Last month, Mint reported that companies including Reliance Industries, Adani Group, Greenko, Vedanta, HPCL-Mittal Energy Ltd, JSW Group and Hindalco Industries have responded to NPCIL's RFP to set up two units of 220-Mwe pressurized heavy water reactor (PHWR) BSRs. The Union budget for FY26 announced a ₹20,000-crore Nuclear Energy Mission for research and development of SMRs. The full budget for FY25 in July also proposed the government partnering with the private sector to develop SMRs, while the interim budget in February announced funding of ₹1 trillion for R&D in this space. A report by SBICAPS in April had said that although nuclear energy provides high-quality, reliable power at low operational cost, historically, these advantages have been overshadowed by concerns over safety, capital cost, and fuel supply. However, surging demand from AI data centers and crypto, coupled with its unique low-carbon baseload capability apt for thermal plant replacement, has driven a resurgence of interest. "This revival is most pronounced in China, with 30 GW of reactor capacity under development, and growing interest in India and Turkey, while Europe remains cautious," it said, adding that given the current installed base of around 8 GW and only 7 GW of the 36 GW planned capacity currently under construction, significant acceleration is required. Indian Oil is not interested in in acquiring Rosneft's stake in Nayara Energy, Sahney said in response to a query. "Its an open offer, it's in the market... I am totally not interested; so, we have totally not inquired about it," he said. In March, The Economic Times reported that Russia's state-owned energy major Nayara Energy, in which it acquired a 49.13% stake, is looking to exit the Indian venture, as due to sanctions, the Russian company has not been able to repatriate earnings from Nayara Energy in the past few years. He also said that Indian Oil and the domestic oil and gas industry are now confident of navigating any oil supply crisis situation, after smoothly handling the volatility during Israel-Iran conflict last month. He added that as India has significantly diversified its oil imports from nearly 40 countries, state-run refineries including Indian Oil's Panipat refinery are well-equipped to handle diverse crude barrels. The refining capacity of the Indian Oil group stands at 80.75 million metric tonne per annum (mmtpa), including 10.50 million tonne annual refining capacity of its subsidiary Chennai Petroleum Corp. Ltd (CPCL). It is also undertaking the expansion of its Panipat refinery from 15 mmtpa to 25 mmtpa.

The Hindu
17 hours ago
- The Hindu
Over 20 crore Indians moved out of extreme poverty in the past decade: Lanka Dinakar
Extreme poverty in India has plummeted from 16.2% in 2011–12 to just 2.3% in 2022–23, thanks to welfare-centric governance under Prime Minister Narendra Modi, said Lanka Dinakar, Chairman of the 20-Point Programme Implementation Committee. He was addressing a press conference at the State Secretariat on Monday. Citing global assessments that forecast further decline in poverty levels, Mr. Dinakar said more than 20 crore people have escaped extreme poverty over the past decade. He attributed this progress to flagship initiatives like Jan Dhan Yojana, which enabled direct benefit transfers of over ₹45 lakh crore to 55 crore bank accounts — effectively eliminating middlemen and leakages. Highlighting the Centre's targeted development strategy, Mr. Dinakar noted the identification of Aspirational Districts — including Alluri Sitharama Raju, Parvathipuram Manyam, and YSR Kadapa in Andhra Pradesh — as a transformative move. These districts are receiving focused attention through the convergence of Central and State schemes along with Corporate Social Responsibility (CSR) funds. Performance-based monitoring He said the double-engine government of Andhra Pradesh, under Chief Minister N. Chandrababu Naidu and Deputy CM K. Pawan Kalyan, is committed to accelerating development. As part of the Viksit Bharat – Swarna Andhra 2047vision, the State will soon begin performance-based monitoring of 'Aspirational Blocks' and 'Districts' across 49 key indicators spanning health, education, agriculture, financial inclusion, and infrastructure. 'This approach will foster healthy competition among districts, eliminate regional disparities, and place Andhra Pradesh on a fast-track development path,' Mr. Dinakar added.


Hans India
19 hours ago
- Hans India
Fintechs must curb fraud with AI use, ensure financial inclusion: DFS Secretary
New Delhi: Fintech companies should leverage their strengths and innovation by not only extending financial services to the masses but also to develop robust solutions against fraud, hacking, and other cyber threats -- making greater use of emerging technologies like artificial intelligence (AI), a top government official said on Monday. With the country's digital payments ecosystem rapidly maturing, its influence has begun to extend beyond national borders, reaching Global South, said Nagaraju Maddirala, Secretary, Department of Financial Services (DFS). Addressing the inaugural session of the third 'Financial Inclusion and Fintech Summit' by the Confederation of Indian Industry (CII) here, he emphasised the critical role of fintechs in advancing financial inclusion and consumer protection. Nagaraju reaffirmed the government's strong commitment to financial inclusion and the democratisation of credit access. He highlighted the government's sustained efforts in fostering a supportive ecosystem for fintech innovation, underpinned by a strong digital infrastructure and transformative welfare schemes. Notable among these are the Jan Dhan Yojana and Jan Suraksha Schemes, including the Pradhan Mantri Suraksha Bima Yojana, Pradhan Mantri Swanidhi Yojana and the Atal Pension Yojana, which have significantly expanded the reach of formal financial services. He also noted that a substantial portion of these financial services and loans have been accessed by women, thereby contributing to women's empowerment and inclusive economic growth. 'It is a matter of great pride for every Indian that India is far, far ahead of many countries in payment systems, and we have, in fact, been trying to expand our digital payment ecosystem to several other countries. We have a presence in seven countries and are also in discussions with a few more,' Nagaraju told the gathering. Shaji KV, Chairman of NABARD, emphasised that India's journey toward Viksit Bharat can gain momentum only when the masses — particularly the rural population — become active stakeholders in the nation's growth story. He pointed out that the rising aspirations within rural communities can be effectively addressed through greater efficiency in financial operations, enabled by fintech innovations. Shaji highlighted the need for disruptive innovation in the sector and called for focused efforts to address challenges such as interoperability and KYC norms with economic activities. He underscored the transformative potential of digital public infrastructure, especially in sectors like agritech, fisheries tech, and cooperative tech, which can play a crucial role in enhancing per capita rural incomes through scalable digital applications. He also mentioned the planned integration of all Regional Rural Banks (RRBs) onto a common digital infrastructure and noted that NABARD is actively working on digitizing agricultural value chains to bridge the rural–urban divide. Additionally, he stressed the importance of women's empowerment through fintech-driven financial access and inclusion. According to Prashant Kumar. Chair, CII National Committee on Fintech, and Managing Director and CEO, YES BANK, as India advances towards Viksit Bharat, inclusive economic growth, particularly for marginalised communities, has remained the central focus and has led to measurable progress in areas such as poverty reduction, education, healthcare and infrastructure development.