Industry Response to the Government’s Indigenous SMR Push

The Ministry of Atomic Energy has thrown the doors open for private players to co‑develop Small Modular Reactors (SMRs) on Indian soil. The proposal centres on a site at Tarapur, Maharashtra, where the Nuclear Power Corporation of India Limited (NPCIL) and the Bhabha Atomic Research Centre (BARC) have already been tinkering with the technology for the past five years.

SMRs are compact, factory‑built nuclear units that usually cap out at about 300 MW electrical output. Because they’re modular, a plant can be assembled in sections, shipped and erected much faster than a traditional reactor. For industries that need a steady, carbon‑free power supply, the idea of deploying several such units on‑site sounds rather attractive.

During a recent consultative meet, NPCIL laid out a tentative timeline – operational by 2033‑34 – and hinted that it wants private developers to chip in not just expertise, but also financing. “It’s a long‑haul project, and the capital commitment is huge,” said an industry spokesperson who asked to remain unnamed. “We’ve been working with BARC on the design, but the next step is turning that design into a commercial reality.”

That realistic optimism is tempered by a dose of caution. While India has been busy developing the 220 MW BSMR‑200 and a 55 MW SMR‑55, the country still lags behind the likes of China and Russia, which already have two operational SMRs each. The World Nuclear Association lists 133 SMR designs across 88 developers in 21 countries – a competitive global landscape.

Beyond domestic designs, many Indian firms are also eyeing foreign nuclear technology as part of their decarbonisation roadmaps. Some see imported reactors as a quick‑start option, while others argue that nurturing an indigenous supply chain will create jobs, reduce import bills, and safeguard strategic autonomy.

Financially, the Union Budget 2025‑26 earmarked roughly ₹20,000 crore for the SMR programme – covering design, development and early deployment. The Department of Atomic Energy (DAE) is also offering knowledge‑sharing platforms and hand‑holding to ease the private sector’s entry. Early wins include domestically produced low‑alloy steel forgings for reactor pressure vessels and reactivity control drive mechanisms, with start‑ups beginning to tackle other critical components.

One particularly promising line of work is BARC’s High‑Temperature Gas‑Cooled Reactor (HTGR), slated for up to 5 MW thermal output. The heat it generates could feed thermochemical cycles for hydrogen production – a potential game‑changer for India’s emerging hydrogen economy.

So, will the industry step up? The answer isn’t a simple yes or no. Companies that already have large energy footprints – steel, cement, fertilizers – are watching closely, weighing the long‑term benefits of a reliable, low‑carbon power source against the upfront financial bite. Their eventual decision will likely hinge on how quickly the government can de‑risk the project, perhaps through guarantees, tax incentives or blended financing.

In short, the invitation is out, the blueprint is sketched, and the clock is ticking toward 2033. Whether the private sector will answer with a resounding “yes” remains to be seen, but the conversation has certainly begun.