India may allow companies to accommodate uranium: Report

According to what was stated in the Indian government, the Indian government will provide an organizational framework that allows companies to take out uranium, import and treatment. This step aims to end the old state’s monopoly on the nuclear sector and attract billions of dollars from investments to enhance nuclear energy production.

According to a Reuters report, policy is expected to be announced during the current fiscal year. It will also enable special entities to provide critical control system equipment for nuclear power plants.

India has maintained exclusive control of the uranium industry due to concerns about misuse of nuclear materials, radiation safety and strategic security. However, to meet the increasing demand for nuclear fuel, the government is studying a transformation in politics. This initiative is part of Prime Minister Narendra Modi’s vision to expand the ability of nuclear energy production by 12 times by 2047, which may lead to the provision of nuclear energy 5 percent of the total energy needs in the country.

The local offer of uranium is not enough to support this ambitious expansion. While India has approximately 76,000 tons of uranium, which is enough to keep 10,000 megawatts of nuclear energy for 30 years, this covers about 25 percent of the expected increase. Consequently, the rest should be imported, which requires an increase in the treatment capacity in the country.

Amending the current legislation to accommodate the special participation in the uranium sector is complicated. The proposed changes will require amendments to five laws, including those that regulate mining, electricity and foreign direct investment, to facilitate the participation of the private sector.

The participation of private sector in uranium mining in India is compatible with countries such as Canada, South Africa and the United States, where private companies are already active in this field.

The Ministry of Finance did not issue the Ministry of Atomic Energy and the Prime Minister’s Office after data on these developments. However, the government’s intention was to open the sector to declare its budget on February 1.