India has agreed to jointly develop a new generation of nuclear reactors with France, signaling New Delhi’s intent to partner with other nations for cutting-edge technology as the US threatens to upend global trade.
The two nations have decided to partner on building advanced modular reactors and small modular reactors for civil use, according to a statement from India’s Ministry of External Affairs.
The decision is an outcome of a meeting between Prime Minister Narendra Modi and President Emmanuel Macron in France on Wednesday. The two also agreed to deepen co-operation on nuclear research, the statement added.
- Also read: French shipping major CMA CGM to play a key role in the India-Middle East-Europe Economic Corridor
Modi’s government is seeking to revive interest in India’s nuclear power potential, promising easier regulations for suppliers and more than $2 billion of public resources for research. Much of these funds will be used for research and development of small and modular reactors, or SMRs, a nascent technology that’s been gaining prominence because it’s quick to build and easier to adjust to grid requirements.
This class of reactors, which can have as much as 300 megawatts of generating capacity, can be assembled on locations where it’s not feasible to construct larger nuclear facilities. Their flexibility makes them attractive for companies looking to cut down on emissions and become compliant with green regulations in the export market. India plans to have at least five locally-made SMRs by 2033.
France and India have co-operated in the past in the sector, including talks to construct the world’s largest nuclear power plant in the western state of Maharashtra. Progress on that project had been slow due to India’s strict regulations for makers of nuclear reactors. In her budget speech earlier this month, India’s Finance Minister Nirmala Sitharaman said the country will amend its civil nuclear liability law, thereby making it easier to attract private capital and technology to the sector.
New Delhi’s agreement with France comes just a day before Modi is set to meet US President Donald Trump in Washington. While the two nations have been co-operating on cutting-edge technology, including chips, AI and defense for years now, some deals have faced delays recently, including delivery of jet engines that power India’s light-combat aircraft. The return of Trump to the White House, and his transactional approach to foreign policy, has added an additional layer of uncertainty to the partnership.
More stories like this are available on bloomberg.com