Union Budget 2024: India to supercharge 'nuclear energy' with ultra-supercritical thermal power plants

In a pivotal development for India’s energy sector, Finance Minister Nirmala Sitharaman unveiled significant initiatives to enhance nuclear energy capabilities in the Union Budget 2024.

The government has announced plans to collaborate with the private sector to establish Bharat Small Reactors and advance research and development on small modular reactors and emerging nuclear technologies. This strategic shift aims to incorporate nuclear energy as a major element of India's energy mix, moving away from traditional large-scale nuclear power plants to more flexible and cost-effective small and modular reactors.

Additionally, Sitharaman highlighted the completion of advanced ultra-supercritical thermal power plants through a joint venture between NTPC (National Thermal Power Corporation) and BHEL (Bharat Heavy Electricals Limited). The government will offer fiscal support for the establishment of an 800 MW commercial plant utilizing this cutting-edge technology, marking a notable improvement in thermal power efficiency.

In alignment with India's sustainability goals, Sitharaman also announced the development of new regulations for transitioning from energy efficiency targets to direct emission targets. This initiative aims to enhance control over greenhouse gas emissions across various industries.

The budget further outlines plans to support the transition of industries to the Indian carbon market model. This initiative is expected to establish a robust domestic carbon trading system, encouraging businesses to reduce their carbon emissions and invest in cleaner technologies.

These measures reflect India’s commitment to addressing its growing energy demands while fulfilling environmental responsibilities. The focus on nuclear energy development, improved thermal power efficiency, and the creation of a carbon market underscores the country’s strategy to advance clean energy innovation and ensure energy security.

The government's emphasis on research and development in the nuclear sector, alongside increased private sector engagement, is anticipated to accelerate India’s progress towards a more diversified and sustainable energy future.