All eyes on tariffs as bill for opening up nuclear power to be tabled this Parliament session

Economic Times
Economic Times
1w ago • 14 views
India is set to introduce the Atomic Energy Bill 2025, allowing private companies into the nuclear power sector. This move aims to address tariff determination and regulatory gaps.
All eyes on tariffs as bill for opening up nuclear power to be tabled this Parliament  session
A What happened
India is preparing to introduce the Atomic Energy Bill 2025, which will allow private companies and state governments to participate in the nuclear power sector. This significant policy change aims to address the issue of tariff determination, which has been a point of contention due to the existing regulatory gap. Currently, tariffs for nuclear power are set by the Department of Atomic Energy, while other power plants are regulated by the Central Electricity Regulatory Commission. The new bill may enable the power regulator to oversee tariffs for commercial nuclear plants, potentially easing the process for overseas technology providers. Experts suggest that an expert panel could be established to assist in tariff calculations, ensuring that the complexities of the nuclear energy sector are adequately addressed. The bill is expected to be discussed in the winter session of Parliament starting December 1, 2025.

Key insights

  • 1

    Tariff Determination Key Focus: The bill will address how tariffs for nuclear power are set.

  • 2

    Private Sector Participation: Private companies will be allowed to enter the nuclear energy market.

  • 3

    Regulatory Gaps to be Bridged: The bill aims to close existing regulatory gaps in the nuclear sector.

Takeaways

The Atomic Energy Bill 2025 represents a pivotal shift in India's nuclear energy policy, potentially enhancing participation from private entities and improving tariff regulation.

Topics

Business & Markets Economy World & Politics Policy & Regulation Climate & Environment Energy