In a significant move to bolster India's clean energy portfolio, the nation's Parliament has given its final approval to a crucial piece of legislation. The Lok Sabha passed the Atomic Energy (Amendment) Bill, 2022 on Wednesday, following its earlier clearance by the Rajya Sabha. This legislative action removes a major hurdle in the expansion of the country's nuclear power capacity.
What Does the Bill Change?
The core amendment lies in the definition of a "government company" under the Atomic Energy Act of 1962. Previously, the law restricted the operation of nuclear power plants exclusively to a government-owned corporation. The amended act now broadens this scope. It allows the Nuclear Power Corporation of India Limited (NPCIL) to form joint ventures with other public sector undertakings (PSUs).
This change is pivotal because it enables NPCIL to collaborate with other state-owned entities, such as those in the power or infrastructure sectors, to raise the substantial funds required for constructing new atomic power plants. The bill aims to facilitate the participation of public sector companies in nuclear power projects and support the national goal of achieving a cleaner energy mix.
The Legislative Journey and Government's Rationale
Piloting the bill in the Lok Sabha, Union Minister of State for Atomic Energy and Space, Dr. Jitendra Singh, emphasized its importance for India's energy security and its commitment to clean energy. He stated that the amendment is a step towards realizing the goal of tripling nuclear power capacity by 2030, a vision set forth by Prime Minister Narendra Modi.
The minister highlighted that the bill does not allow private sector entry into nuclear power generation, a point of clarification amidst discussions. The participation remains confined to government companies. He argued that this model will help in mobilizing resources and accelerating the pace of nuclear power development in the country, which is essential for meeting growing electricity demands while reducing carbon emissions.
Implications for India's Energy Future
The passage of this bill is expected to have several concrete outcomes. Firstly, it unlocks the potential for establishing more large-scale nuclear power projects through collaborative investments. Secondly, it strengthens India's position in the global fight against climate change by promoting a non-fossil fuel-based energy source that provides continuous, baseload power.
This legislative update is seen as a catalyst for the domestic nuclear industry. By enabling partnerships between NPCIL and other PSUs, the government hopes to overcome financial and technical constraints, leading to faster project execution. The move aligns with India's broader energy strategy, which includes a significant expansion of renewable sources like solar and wind, with nuclear power providing stable, 24/7 clean electricity to complement them.
The development marks a forward-looking policy shift, aiming to ensure that nuclear energy contributes more substantially to the nation's grid, supporting both economic growth and environmental sustainability.
