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An advisor to India’s Ministry of Power has highlighted significant challenges confronting the expansion of nuclear energy projects, citing the rapidly declining prices of renewable energy as a major hurdle. The advisor also indicated that the government is exploring the retirement of aging coal-fired power plants to repurpose those sites for new nuclear power facilities, recognizing the scarcity of suitable locations for nuclear infrastructure.
Key Highlights from the Advisor’s Statement:
The advisor emphasized that the falling cost of renewable energy sources, particularly solar and wind, presents a competitive pricing challenge for nuclear power projects, which typically involve high upfront capital expenditure and longer gestation periods.
Renewable energy’s growing affordability and scalability have accelerated its market share, pressuring nuclear projects to demonstrate economic viability in an evolving energy landscape.
Addressing site availability, the Ministry is considering decommissioning older, less efficient coal plants and repurposing those sites for nuclear project development, thereby leveraging existing infrastructure and reducing environmental impact.
Retiring coal plants serves dual objectives of phasing out polluting energy sources while creating logistical and grid integration advantages for nuclear facilities.
The advisor underscored India’s commitment to diversifying its energy mix, balancing renewables, nuclear, and transitional fossil fuels to secure energy reliability, affordability, and sustainability.
Achieving ambitious climate goals necessitates a pragmatic approach that incentivizes nuclear energy’s baseload strengths despite market and infrastructural challenges.
The government is actively analyzing policy frameworks, financing models, and technological innovations to enhance cost competitiveness and accelerate nuclear project approvals.
Stakeholder consultations and international collaborations remain integral to addressing regulatory, environmental, and social acceptance issues surrounding nuclear energy expansion.
Market and Strategic Outlook:
India’s energy sector transition is characterized by complex trade-offs between multiple competing sources, where nuclear energy’s growth depends on navigating cost pressures from disruptive renewable technologies.
Strategically repurposing coal plant sites for nuclear projects can provide cost-efficiencies and boost public acceptance by reusing established industrial zones.
Long-term, a balanced energy portfolio including nuclear power is seen as crucial for ensuring grid stability, meeting rising power demands, and achieving carbon neutrality targets.
In summary, the power ministry advisor’s insights shed light on the pressing challenges of expanding nuclear power in India amid falling renewable energy prices and site constraints, while outlining innovative pathways to integrate nuclear power as a sustainable energy pillar.
Sources: Ministry of Power India official briefings, Economic Times Energy Desk, Business Standard, Mint (September 2025)
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