India's nuclear ambitions may be blunted by limits on foreign reactor technology

Business Recorder reported that a draft framework released in India may weaken what experts call the country's most significant nuclear reform in decades. The rules add extra approval steps for foreign reactors, a change that could push companies toward domestic designs and reduce inflows of fresh capital and know-how. Experts quoted in the report said this could dilute a law passed last year that opened the sector to private companies.

The government is counting on nearly $210 billion of investment, which the industry expects to lift nuclear capacity almost tenfold to 100 gigawatts over two decades. That target is central to reducing reliance on coal, which still generates most of India's electricity. NPCIL, the sole nuclear plant operator, is already building 14 GW of capacity through 2032, while Tata Power, Adani Power, Reliance Industries, Rosatom, EDF and GE Hitachi have held talks with the government.

Under the proposal, imported reactors would need operational and licensing certification from their country of origin, plus separate design approval from the atomic energy regulator before construction starts. Applications can be lodged early, yet processing waits until the design clearance comes through. The draft also sets no binding timeline for design approvals, which could delay projects. Tariff setting, expected returns and minimum operator qualifications remain unresolved, executives said.