Indian parliamentarians stress urgency for uranium projects

The Committee on Public Undertakings' comments came in a report covering the progress of India's planned nuclear energy expansion.

It included the recommendations from an earlier report and the responses received from Nuclear Power Corporation of India Ltd (NPCIL) and the Department of Atomic Energy (DAE). The report notes DAE's assurance that by 2036 "Uranium Corporation of India Ltd (UCIL), Jaduguda plans to double the production by enhancing the existing mine capacity as well as setting up uranium mining projects in Jharkhand, Rajasthan and Chhattisgarh".

The committee welcomes the "concrete project roadmap" provided but says "nevertheless, the Committee notes that the timeline for full realisation stretches to 2036, whereas NPCIL's massive capacity additions are front-loaded over the next decade. Any delay in the commissioning of these mining clusters will prolong the strategic sensitivity of relying on imported fuel lines".

Both NPCIL and DAE said they noted the committee's earlier observation "that the Nuclear Fuel Complex (NFC) ensures complete domestic fabrication of fuel assemblies for PHWRs using uranium concentrate supplied by UCIL or imports arranged under Government oversight. The Committee observes that DAE has pursued long-term supply agreements with multiple international partners to ensure continuous fuel availability for safeguarded reactors. Also, as per NPCIL's capacity expansion trajectory, PHWRs alone could require approximately 5,400 tonnes U3O8 per annum for about 25 GWe, while UCIL currently estimates catering to about 30% of this need, implicating persistent import reliance unless domestic production accelerates and diversified supply lines are established".

The committee also welcomed as a "constructive and encouraging step" proposals for a joint venture between UCIL and NTPC to acquire stakes in overseas uranium assets which could stabilise "long-term fuel costs and support the domestic nuclear fleet against market fluctuations and uncertainties".

They also say they are looking forward to receiving updates on a potential long-term supply contract with Uzbekistan post-2026, and the establishment of strategic stockpiles "calibrated to reactor refuelling cycles" which remain "a vital measure to ensure continuous operations".

"The Committee note that NPCIL continues to rely significantly on imported uranium, posing a strategic sensitivity with regard to stable fuel supply. The future expansion of the nuclear fleet is also closely linked with Uranium Corporation of India’s ability to increase domestic uranium production, an element that remains beyond NPCIL's immediate purview.”

Imports presently originate from Kazakhstan, Russia, Uzbekistan and Canada, with an Uzbek long-term contract valid up to 2026. Last month India and Australia signed the administrative arrangement to enable uranium exports to India for peaceful purposes under the nuclear cooperation agreement signed between the two countries more than a decade ago.

India, which currently has about 7,900 MW capacity from 24 operable nuclear power plants, is planning a large expansion of its nuclear capacity. The country says that seventeen nuclear power reactors with a total of 13,100 MW capacity are either under construction (7) or under pre-project activities (10). The ambition is for India to reach a nuclear energy capacity of about 100 GW by 2047.

In other parts of the report, the committee stresses the need for regulatory and legislative moves to help facilitate the uranium projects. And it encourages NPCIL to develop its international market presence and global competitiveness, saying: "The Committee recommend that NPCIL adopt a focused and time bound internationalisation strategy, by accelerating the development and commercialisation of indigenous Light Water Reactors (LWRs) and modular reactor technologies aligned with prevailing global market demand. The Committee further recommend that NPCIL strengthen strategic partnerships with established international nuclear vendors and actively participate in joint ventures and global supply chains to enhance credibility and market access."

In response NPCIL says "The recommendation of the Hon’ble Committee is noted and NPCIL will make efforts to implement it appropriately".