Why in the news: The IIM-A report states that if India is on track to become a developed nation by 2047 and achieve net zero by 2070, it will have to prioritize investment in this energy sector and expand related infrastructure.
Introduction
Currently, India’s energy mix is heavily dependent on fossil fuels, with coal accounting for 49% of its installed generation capacity and renewable sources such as solar power accounting for 16%. However, the country’s ambitions to become a developed country by 2047 and achieve net-zero carbon dioxide emissions by 2070 require a paradigm shift in its energy paradigm.
The important role of nuclear energy
The Office of the Principal Scientific Adviser and the Atomic Energy Corporation of India funded the comprehensive study at the Indian Institute of Management, Ahmedabad (IIM-A), which underscores the crucial role nuclear energy will play in India’s future.
Despite currently accounting for just 1.6% of the country’s energy mix, the report advocates a massive increase in nuclear power investment and infrastructure development.
Study insights and scenarios
The IIM-A study explores different development scenarios, ranging from high to low economic growth, each with different energy focus areas, including an intense push towards nuclear power, expanded use of fossil fuels with carbon capture, and renewable sources.
Using solar and wind energy mathematical models, the study estimates the energy ratio required by 2030 and 2050 to achieve an ideal net-zero emissions scenario by 2070, taking into account factors such as the human development index and energy access costs.
Conclusions and Estimates
For India to reach its net-zero target, nuclear power will need to increase fivefold to 30 gigawatts (GW) by 2030 and 265 GW by 2050, increasing its contribution to the total energy mix from 4% to 30%. In this scenario, the share of solar energy decreases from 42% in 2030 to 30% by 2050, highlighting a significant shift towards nuclear energy.
Uranium Availability Challenge: To achieve this vision, we must address the critical issue of uranium availability. With international sanctions limiting access to this essential nuclear fuel, India faces significant challenges.
The study emphasizes the need for redoubled investment and strategic planning to secure the required uranium supply.
Multi-technology approach
The research team led by Professor Amit Garg emphasizes that no single technology provides a “silver bullet” to achieving net zero. Instead, a diversified energy portfolio, including coal, which is likely to remain the backbone of India’s energy system, will be necessary.
The move away from coal over the next three decades requires substantial investment in alternative energy infrastructure, such as nuclear power, and increased grid infrastructure and storage capacities to effectively integrate renewable energy.
Financial prospects
The financial implications are staggering, with an estimated investment of close to ₹150–200 lakh crore (approximately US$2.7 trillion) required from 2020 to 2070 to support these changes. This underlines the scale of commitment required from both the Government of India and international partners to realize these ambitious goals.
What is nuclear energy?
The nucleus, the central part of the atom, stores vast amounts of energy, making nuclear energy a powerful form of energy.
This energy is characterized by its extraordinary energy density, meaning that a relatively modest amount of nuclear fuel can produce a substantial amount of energy, making it a highly efficient energy source.
Nuclear energy, with its high energy output and low carbon footprint, is an important component of the mix of technologies needed to meet the world’s growing energy demands while addressing the urgent challenge of climate change.
Methods of Harnessing Nuclear Energy
There are two main ways to harness nuclear energy:
Nuclear Fission:
- Nuclear fission involves the division of the nucleus of an atom into two smaller nuclei, accompanied by the release of a significant amount of energy.
- This method is the cornerstone of current nuclear power plants, which primarily use uranium-235 or plutonium-239 as fuel sources.
- The process begins when a neutron strikes the nucleus of these heavy isotopes, causing it to become unstable and split into smaller nuclei while also releasing additional neutrons and a large amount of heat.
- These released neutrons can initiate further fission reactions, creating a controlled chain reaction.
- This process harnesses the heat to create steam, which powers turbines to efficiently generate electricity.
Nuclear Fusion:
- Nuclear fusion represents the process of merging two light atomic nuclei to form a single heavier nucleus, a reaction that releases tremendous energy.
- This process is natural in the sun and stars, where immense pressure and temperature facilitate the fusion of hydrogen atoms into helium, releasing energy that powers the sun and provides light and warmth to Earth.
- Despite its potential for providing a clean and almost inexhaustible source of energy, achieving controlled nuclear fusion on Earth presents significant challenges.
- The conditions necessary for fusion—extremely high temperatures and pressures to overcome the repulsive forces between atomic nuclei—are difficult to create and maintain in a controlled environment.
- However, international projects like ITER (International Thermonuclear Experimental Reactor) are making strides towards making nuclear fusion a viable energy source in the future.
Status of nuclear energy in India
- Nuclear power accounts for approximately 2% of India’s total electricity generation, making it the country’s fifth-largest electricity source.
- India boasts more than 22 operational nuclear reactors spread across 7 nuclear power plants, which cumulatively produce about 6,780 MW of nuclear power.
- The reactors include 18 pressurized heavy water reactors (PHWR) and 4 light water reactors (LWR), with Kakrapar Atomic Power Project (KAPP-3) as India’s first 700 MW PHWR unit and the largest indigenously developed reactor variant. Noteworthy, which is successfully connected. On the grid in early 2021.
- Nuclear Power Corporation of India Limited (NPCIL) has launched a joint venture with public sector undertakings (PSUs) like National Thermal Power Corporation Limited (NTPC) and Indian Oil Corporation Limited (IOCL) to promote nuclear programs.
- The Government of India is committed to expanding nuclear facilities across the country, as highlighted by the nuclear power plant proposed for future operation at Gorakhpur, Haryana.
- A notable development in India’s nuclear power sector is the focus on thorium-based nuclear power, with projects like “Bhavni” pioneering the use of uranium-233. This initiative is based on the experience of the “Kamini” experimental thorium reactor at Kalpakkam.
Why does India need nuclear energy?
Limited Fossil Fuel Reserves:
India’s fossil fuel reserves are insufficient to sustain its burgeoning energy demands. With the country heavily reliant on coal, oil, and gas imports, nuclear energy presents an appealing alternative to enhance energy security, mitigating vulnerabilities associated with global market fluctuations and supply disruptions.
Insufficient renewable resources:
Despite the vast potential of solar and wind energy, geographical and technological limitations constrain their capacity to fully meet India’s energy demands. The physical footprint required for solar farms and the variability of wind energy underscore the need for more compact and reliable energy sources, such as nuclear power.
Energy Demand: According to a report by BMI Research, India’s power demand is expected to surge by 70% by 2032, a demand that conventional energy sources alone cannot meet. The escalating need underscores the urgency of diversifying India’s energy mix with substantial nuclear energy contributions.
Economic and operational advantages
Clean and carbon-free energy:
Nuclear power offers a clean, carbon-neutral energy solution, producing no direct greenhouse gas emissions during electricity generation. This attribute aligns with India’s climate goals and its commitment to combating climate change.
Cost-Effectiveness:
Operating nuclear power plants is economically competitive compared to operating fossil fuel plants. Nuclear plants have significantly lower operational costs, estimated to be 33-50% lower than coal power plants and 20-25% lower than gas combined-cycle plants.
This cost advantage, despite the initial high capital investment and the costs associated with fuel management and waste disposal, positions nuclear energy as a financially viable long-term energy solution.
Reliable power supply:
Nuclear energy provides a stable, continuous baseload power supply, unlike the intermittent nature of solar and wind energy. This reliability is crucial for ensuring a resilient and secure energy infrastructure.
Net Zero Ambitions:
Achieving net zero emissions by 2070 necessitates a significant upscaling of nuclear energy. Studies, including those from the Vivekananda International Foundation and IIT-Bombay, suggest that India must aim for several thousand gigawatts of nuclear capacity to meet this goal.
Economic Development and Job Creation:
The nuclear sector not only addresses energy demands but also stimulates economic growth and job creation, fostering innovation and technological advancement.
Thorium Utilization: With vast reserves of thorium, India is uniquely positioned to leverage this resource as a safer and more efficient nuclear fuel alternative to uranium, thanks to indigenous technological advancements in thorium utilization.
Challenges
Financial and infrastructure challenges
Capital Intensity: Building nuclear power plants requires significant upfront investment, and projects in recent years have experienced substantial cost overruns. The capital-intensive nature of nuclear projects necessitates long-term financial commitments and poses a challenge to securing investment, particularly under tight fiscal conditions.
Insufficient Installed Capacity: Despite ambitious projections by the Atomic Energy Commission in 2008 for 650 GW of installed nuclear capacity by 2050, the current installed capacity remains significantly lower, at only 6.78 GW. This gap highlights the challenges of scaling up nuclear power within the projected timelines, partly due to financial, regulatory, and logistical hurdles.
Regulatory and safety considerations
Nuclear Liability: The Civil Liability for Nuclear Damage Act, 2010, has caused controversy, discouraging foreign suppliers and investors who fear potential liability for events beyond their control. This act complicates the negotiation of international contracts and partnerships, essential for technology transfer and fuel supply.
Nuclear Safety and Waste Management: Ensuring the safety of nuclear installations and the disposal of radioactive waste are paramount concerns.
The potential risks associated with nuclear accidents, as well as the long-term management of nuclear waste, remain significant challenges.
These issues not only have environmental and health implications but also affect public perception and local community acceptance of nuclear projects.
Technical and resource challenges
Nuclear Fuel Cycle and Thorium Utilization: India’s strategic plan for a closed nuclear fuel cycle, as well as the eventual transition to thorium-based reactors, necessitate sophisticated technology and expertise.
While India has considerable reserves of thorium, the technology for efficiently harnessing thorium as a fuel is still in the developmental stage, necessitating further research and innovation.
International cooperation and access to technology
Diplomatic and regulatory challenges, including its non-membership in the Nuclear Suppliers Group (NSG), impede India’s efforts to fully integrate into the global nuclear energy market. Full membership in the NSG would facilitate greater access to advanced nuclear technologies and materials, enhancing India’s nuclear energy capabilities.
Dependence on Imported Energy Resources: While nuclear energy offers a pathway to reduce dependence on imported fossil fuels, the Indian nuclear energy sector itself relies on imported uranium for its reactors. Diversifying and securing these supplies is critical for the uninterrupted operation of nuclear power plants.
National strategy for the scale-up of nuclear energy
Expansion of pressurized heavy water reactors (PHWRs)
Current Progress: The indigenous 700 MWe PHWRs are central to India’s strategy, with the first unit already operational and contributing to the national grid. Fifteen more units in this category are under construction, marking a significant step towards increasing the base load electrical capacity.
Future Plans: The strategy includes expanding this fleet, with proposals for constructing multiple fleets of PHWRs. The involvement of public sector undertakings (PSUs) beyond the Nuclear Power Corporation of India Limited (NPCIL) is considered vital to accelerate this expansion.
Development and Deployment of Small Modular Reactors (SMRs)
The strategy proposes the development of indigenous SMRs to replace retiring coal plants. This innovative approach not only addresses the issue of aging fossil fuel infrastructure but also aims to make nuclear power more affordable and adaptable to different locations.
Partnership with NTPC: We identify NTPC as a key partner in this transition, given its extensive network of coal plants, with the potential for further collaboration with other industrial entities.
Targeting Energy-Intensive Industries: The plan includes offering 220 MWe PHWR units as partially owned captive units to provide electricity and hydrogen for energy-intensive sectors such as metals, chemicals, and fertilizers.
The Bhabha Atomic Research Centre (BARC) has developed the AHWR300-LEU as another option for industries, particularly after the successful demonstration of a prototype.
Direct Hydrogen Production: The strategy emphasizes the development of high-temperature reactors to facilitate direct hydrogen production, avoiding the need for electrolysis. This approach aims to produce green hydrogen more cost-effectively, offering an alternative to extensive electrification of the energy system.
Global competitiveness of Indian PHWRs: The strategy proposes enhancing their appeal further through the use of Thorium-HALEU fuel, which offers improved economics, safety, waste management, and proliferation resistance.
International Collaboration: India aims to pilot significant international cooperation initiatives to address global climate change challenges, positioning its nuclear technology and expertise as part of a broader solution to sustainable energy supply challenges.
