Russia Proposes Localisation of Nuclear Power Plants in India

At the 69th General Conference of the International Atomic Energy Agency (IAEA) in Vienna, Russia made a significant offer to India: to localise the construction of nuclear power plants, both large and small. The proposal, made by Rosatom Director General Alexey Likhachov during discussions with the Indian delegation, highlights Russia’s intention to deepen its nuclear partnership with India beyond traditional supply models. By leveraging India’s growing industrial base, Moscow believes that key components for nuclear power projects could be manufactured and assembled domestically, ensuring faster progress and reduced reliance on imports.

This proposal comes at a time when the world is accelerating its shift towards cleaner and more secure energy sources. For India, nuclear power is central to its long-term goal of building a low-carbon economy. Russia’s move to expand collaboration therefore aligns with New Delhi’s ambition to diversify its energy mix while strengthening self-reliance in strategic sectors.

In the first phase of Kudankulam NPP, Rosatom has already commissioned two units. (File) | NDTV

Building on Kudankulam and Expanding Horizons

India and Russia already share a long history of nuclear cooperation, most prominently visible in the Kudankulam Nuclear Power Plant in Tamil Nadu. Two reactors have been commissioned under the first phase, while four more units are under construction as part of Phases II and III. Discussions in Vienna not only reviewed these ongoing projects but also explored the idea of serial construction of Russian-designed reactors in India. Such a strategy could establish a pipeline of reactors, standardising technology, reducing costs, and creating a more robust supply chain within India itself.

The Kudankulam experience also underscores both the opportunities and challenges of this partnership. While it has successfully delivered operating reactors, the project has faced delays due to supply chain disruptions and local protests. By localising component production in India, Russia and India aim to address some of these bottlenecks, ensuring that future projects progress with fewer external constraints.

The Promise of Small Modular Reactors

A particularly forward-looking aspect of Russia’s proposal is cooperation on small modular reactors (SMRs). These compact nuclear plants are designed for flexibility, easier deployment, and enhanced safety. India has already shown strong interest in this technology, with NTPC — the country’s largest power producer — holding discussions with foreign firms, including Russian companies, on potential SMR projects.

The adoption of SMRs could prove transformative for India. Unlike large reactors, which require extensive infrastructure and long construction times, SMRs can be deployed more rapidly in diverse locations, including remote regions and industrial clusters. For a nation aiming to scale its nuclear capacity to around 100 gigawatts by 2047, SMRs offer a practical bridge between ambition and execution. Russia’s experience in developing advanced reactor technologies places it in a strong position to partner India in this emerging domain.

Strategic and Geopolitical Dimensions

The localisation of nuclear projects carries broader strategic implications. For India, it represents a step toward energy independence, technological advancement, and industrial modernisation. By manufacturing nuclear components domestically, India reduces dependence on foreign supply chains while creating new opportunities for local industries and skilled labour.

For Russia, the initiative is equally important. Despite global sanctions and economic pressures, its nuclear sector remains internationally competitive. Deepening cooperation with India allows Moscow to maintain its presence in one of the world’s largest and most dynamic energy markets. Furthermore, by extending its expertise in both large-scale reactors and modular designs, Russia reinforces its position as a global leader in nuclear technology.

Balancing Opportunities and Challenges

While the prospects are promising, several challenges remain. Nuclear projects require not only advanced technology but also robust financing, clear liability frameworks, and stringent regulatory oversight. India will need to ensure that its Atomic Energy Regulatory Board is prepared to handle next-generation reactor designs, while Russia must navigate the complexities of technology transfer and intellectual property.

Additionally, India’s strategy of balancing partnerships is crucial. New Delhi has civil nuclear agreements with France, the United States, and other countries. Diversification of partners gives India greater flexibility, but it also means Russia must offer compelling advantages — in cost, reliability, and localisation commitments — to maintain its edge in this highly competitive sector.

The MGMM Outlook

Russia’s proposal to localise the construction of nuclear power plants in India reflects a new chapter in civil nuclear cooperation between the two nations. By enabling India to manufacture critical components domestically, this move strengthens India’s vision of energy self-reliance while reducing dependency on imports. For India, which is working towards a low-carbon economy and expanding its nuclear capacity, the offer aligns perfectly with long-term clean energy goals. With ongoing projects like Kudankulam already symbolising decades of Indo-Russian collaboration, localisation promises faster project execution, standardisation of technology, and greater integration of Indian industry into global nuclear supply chains.

Equally significant is the focus on advanced technologies such as small modular reactors (SMRs), which can transform India’s energy landscape by providing safe, flexible, and rapidly deployable power solutions across diverse regions. This not only enhances India’s ability to meet its ambitious 2047 nuclear targets but also reinforces its strategic autonomy in the global energy sector. At the same time, the partnership holds geopolitical weight for Russia, which sees India as a crucial energy ally amidst global competition. If implemented effectively, this collaboration could redefine the contours of civil nuclear partnerships, making India a hub of innovation and industrial growth in the sector.

(Sources: NDTV, Economic Times, Reuters)