Government Approves Joint Venture for Nuclear Power Development
The Government of India has accorded approval to the establishment of a joint venture between Nuclear Power Corporation of India Limited (NPCIL) and NTPC Ltd., called Anushakti Vidhyut Nigam Ltd. (ASHVINI). Under this joint venture, the two organizations will collaborate to build, own, and operate nuclear power plants in the country.
This development comes in accordance with the provisions of the Atomic Energy Act, paving the way for the accelerated expansion of nuclear power capacity in India. ASHVINI, with NPCIL holding a 51% stake and NTPC holding a 49% stake, will facilitate the pooling of resources in terms of finance, technology, and project expertise.
Transfer of Mahi Banswara Rajasthan Atomic Power Project Authorized
In addition to the joint venture approval, the Government of India has also given the green light for the transfer of the Mahi Banswara Rajasthan Atomic Power Project (MBRAPP) to ASHVINI. MBRAPP, based on indigenous Pressurized Heavy Water Reactor (PHWR) technology, will be transferred from NPCIL to ASHVINI.
This move will not only strengthen the position of the newly formed joint venture but also expedite the progress of nuclear power projects in different parts of the country. The Anushakti Vidhyut Nigam Ltd. aims to actively pursue various nuclear power projects to meet the growing demand for clean and sustainable energy in India.
Exemption Granted for Increased Investment in Joint Venture
Recognizing the need for adequate financing to achieve rapid expansion, the Government has granted exemptions to both NPCIL and NTPC. NPCIL has received exemption for investing more than Rs 5 billion, while NTPC has been granted exemption for investing more than Rs 50 billion in a single joint venture or subsidiary company.
This approval ensures that sufficient funding will be available to support the ambitious target of adding nuclear power capacity in the country. By combining the resources of both NPCIL and NTPC, India aims to make significant progress in nuclear power productivity and contribute to the nation’s goal of achieving net zero emissions by 2070.
The Department of Atomic Energy has officially handed over the Government’s approval to the Chairmen and Managing Directors of both NPCIL and NTPC on September 17, 2024.
This significant milestone marks a new era in India’s pursuit of clean and sustainable energy sources. With the establishment of the ASHVINI joint venture and the transfer of MBRAPP, the country is poised to make remarkable strides in nuclear power generation, unlocking new opportunities for technological advancement and economic growth.
