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Pact With Australia Paves Way For India’s Nuclear Power Projects To Take Off

OMMCOM NEWS by OMMCOM NEWS
July 14, 2026
in Business

New Delhi: A major outcome of the India–Australia annual summit, held in Melbourne last week, was the finalisation of the Administrative Arrangement under the Civil Nuclear Cooperation Agreement between the two countries, which enables long-term exports of Australian uranium to India for peaceful purposes under International Atomic Energy Agency (IAEA) safeguards.

Australia possesses the largest uranium resources globally, accounting for more than one-third of the global total. Assured access to Australian uranium would strengthen the fuel base for India’s expanding nuclear power programme, according to an official statement issued on Tuesday.

The arrangement is also significant for India’s long-term energy security and nuclear ambitions. It complements the Nuclear Energy Mission, which targets 100 GW of nuclear power capacity by 2047.

The India–Australia Civil Nuclear Agreement bolsters India’s long-term fuel security, diversifies uranium imports, and deepens the comprehensive strategic partnership in the Indo-Pacific.

Nuclear power is a low-carbon source that adds firm capacity to India’s non-fossil energy mix. It can progressively meet demand currently served by coal while supporting the growing energy needs of industry, data centres, and the digital economy.

India has committed to achieving net-zero emissions by 2070 and has progressively raised its climate targets, including a greater share of non-fossil capacity. A secure supply of nuclear fuel supports this transition by enabling the expansion of clean and reliable generation.

Australia’s decision to supply uranium reflects confidence in India’s strong non-proliferation record and responsible use of nuclear technology.

The arrangement further reinforces the India–Australia Comprehensive Strategic Partnership by adding a robust energy pillar to cooperation spanning trade, defence, critical minerals, technology, and the Indo-Pacific.

It also reinforces the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, enacted in December 2025. The Act enables participation by Indian private companies and joint ventures in building, owning and operating nuclear power plants, the statement said.

India is steadily expanding its nuclear power programme to strengthen energy security and support clean economic growth. Backed by indigenous technologies and long-term planning, nuclear energy will play an increasingly important role in India’s low-carbon energy transition.

India currently operates 24 nuclear power reactors across seven sites with a total installed capacity of 8.78 gigawatt (GW). Ten more reactor units with a combined capacity of 8,000 megawatts (MW) are under construction. Pre-project activities for 10 additional reactors are also underway.

These reactors are Pressurised Heavy Water Reactors (PHWRs), Boiling Water Reactors (BWRs), and Light Water Reactors (LWRs).

India mainly uses natural uranium fuel to run the Pressurised Heavy Water Reactors (PHWRs) to produce nuclear energy. Plutonium is produced as a by-product. The Australian uranium will ensure a steady supply of the primary fuel to run these reactors.

(IANS)

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