India Sets Ambitious Goal for 100 GW Nuclear Power Capacity by 2047
India’s energy security and reducing reliance on fossil fuels, Finance Minister Nirmala Sitharaman has announced a bold initiative in the Union Budget 2025. The government has set a target of developing 100 gigawatts (GW) of nuclear power capacity by 2047, with a strong emphasis on Small Modular Reactors (SMRs), marking a strategic shift towards sustainable and clean energy solutions.
The 100 GW nuclear power target is part of the government’s broader vision to achieve energy security while reducing carbon emissions. This announcement, made during Sitharaman’s budget address, is designed to foster India’s energy transition efforts and move the country closer to its long-term goal of net-zero emissions by 2070. The introduction of SMRs is central to this strategy, as they promise safer, more cost-effective, and scalable nuclear power generation.
The Finance Minister stated, “The development of at least 100 GW of nuclear energy by 2047 is crucial for our energy transition efforts,” underlining the importance of nuclear power in India’s future energy mix. As part of this initiative, the government has allocated ₹20,000 crore towards the development of SMRs, which are smaller and more flexible than traditional nuclear reactors, making them an attractive option for the country’s diverse energy needs. In order to accelerate the growth of India’s nuclear power sector, the government plans to amend the Atomic Energy Act and the Civil Liability for Nuclear Damage Act. These amendments aim to encourage greater private sector participation, which will be essential for scaling up the nuclear energy infrastructure. Anujesh Dwivedi, Partner at Deloitte India, praised the announcement, highlighting that the proposed 100 GW nuclear capacity signals a significant policy shift towards nuclear energy as a sustainable alternative to thermal power generation.
The emphasis on private sector involvement is expected to spur investments in the sector, with experts believing that SMRs could act as a catalyst for the development of a robust nuclear power industry. “This is a decisive step towards positioning nuclear power as a cornerstone of India’s energy future,” Dwivedi remarked, echoing the excitement surrounding the potential of SMRs. Small Modular Reactors (SMRs) are seen as the future of nuclear power in India. These reactors are designed to be safer and more efficient than traditional nuclear reactors, with the added advantage of being more adaptable to India’s regional and local energy requirements. The government aims to operationalise at least five indigenously developed SMRs by 2033, a target that could have far-reaching implications for the nation’s energy landscape.
Ashwin Jacob, Partner and Leader of the Energy, Resources & Industrial Industry at Deloitte India, highlighted that the announcement of ₹20,000 crore for SMR research and development (R&D) is a crucial step towards enabling Final Investment Decisions (FIDs) in the sector. Jacob noted that the funding, along with the proposed legal amendments, will likely boost private sector interest in nuclear energy, driving both traditional industries and emerging sectors like data centres to consider nuclear power as a viable energy source. The budget measures have been met with a positive response from industry experts, who believe that the plans will stimulate both technological development and manufacturing in India. Suddhasatta Kundu, Director at Nangia Andersen, pointed out that the budget proposals would not only foster indigenous technology development in the nuclear sector but also boost other sectors like grid-scale storage, wind turbines, solar modules, and electric vehicle (EV) batteries. He added, “These proposals are a great opportunity for private sector investment, which will help accelerate growth in the nuclear power industry and related sectors.”
The Union Budget 2025 marks a transformative moment for India’s energy future. By setting ambitious goals for nuclear power, the government is signalling its commitment to reducing the nation’s carbon footprint and investing in clean energy solutions. While challenges remain in terms of implementing these plans, the focus on SMRs and the increased private sector involvement are expected to pave the way for a more sustainable, resilient energy system. As India moves towards its 100 GW nuclear power target by 2047, the initiative will not only contribute to energy security but will also place the country at the forefront of the global clean energy movement, making it a key player in the fight against climate change. With both industry experts and officials backing the move, the announcement is being hailed as a vital step towards a cleaner, greener future.
