L&T and CCTE Collaborate to Reduce India’s Nuclear Power Costs with Innovative Thorium-Based Fuel Technology
India’s nuclear energy sector stands to benefit significantly from a pioneering partnership between Larsen & Toubro (L&T) and Clean Core Thorium Energy (CCTE), a US-based company. The collaboration focuses on the development and deployment of ANEEL, a thorium-based nuclear fuel technology. This breakthrough could reduce the cost of electricity generated by India’s nuclear plants by up to 30%, according to Mehul Shah, founder and CEO of CCTE. This promising technology could revolutionise India’s nuclear power generation, particularly in the Pressurised Heavy Water Reactors (PHWRs) that are commonly used across the country.
Currently, India’s nuclear reactors using natural uranium operate at a cost of around Rs 6 per kilowatt-hour (kWh). However, with ANEEL fuel technology, the cost could drop by a significant 20-30%. Thorium, a key element in the ANEEL fuel, is not only more abundant than uranium but also offers substantial advantages, such as greater proliferation resistance, a drastic reduction in nuclear waste by over 85%, and improved safety features. These benefits align perfectly with India’s energy goals, especially as the country is keen to ramp up its nuclear capacity to meet growing energy demands while reducing carbon emissions. The partnership between L&T and CCTE is crucial in creating a reliable supply chain for the ANEEL technology. L&T, with its extensive experience in India’s nuclear sector, will leverage its manufacturing capabilities to ensure the smooth production and distribution of the new fuel. Meanwhile, CCTE’s innovative fuel technology is currently in the advanced stages of testing at Idaho National Laboratory in the US. This thorium-based fuel consists of a mixture of thorium and a small amount of enriched uranium, which is deemed suitable for PHWRs, and is expected to increase reactor efficiency significantly.
India’s nuclear energy landscape is set to expand considerably, with the country targeting a nuclear power capacity of 22 GW by 2032, up from the current 8.2 GW. This growth is being facilitated by the government’s push to incorporate small nuclear reactors, such as Bharat Small Reactors (BSRs), into industrial sectors like steel plants, refineries, and cement plants, as well as data centres and other infrastructure projects. The introduction of BSRs could play a pivotal role in India’s decarbonisation efforts and address the growing need for clean, reliable energy. The government’s 2024 budget announcement of collaboration between private companies and the state for the development of small modular reactors has created the perfect backdrop for L&T and CCTE’s collaboration. Furthermore, the renewed US-India nuclear cooperation, facilitated by high-level diplomatic exchanges, is expected to ease the process of importing advanced nuclear technologies and materials into India.
Despite the challenges posed by the Civil Liability for Nuclear Damage Act, 2010, which made suppliers liable in the event of a nuclear accident, Shah reassures that CCTE’s involvement as a supplier of fuel technology, rather than reactor systems, will not be hindered. This paves the way for seamless integration of ANEEL into India’s nuclear framework, even as efforts continue to amend the law to accommodate new partnerships. With clean energy increasingly becoming a priority for both nations, the integration of thorium-based fuel in India’s nuclear plants could become a cornerstone in the country’s push towards sustainable energy. The collaboration between L&T and CCTE not only promises to reduce electricity costs but also positions India as a leader in the next generation of nuclear power, marked by safer, more efficient, and environmentally friendly technologies.