Mahi Banswara Atomic Power Plant

Mahi Banswara Atomic Power Plant

Why in News? 

Prime Minister Narendra Modi will soon lay the foundation stone of the Mahi Banswara Atomic Power Plant in September-October 2025 during his Rajasthan visit.

Mahi Banswara Atomic Power Plant

• About: The Mahi Banswara Atomic Power Plant is a proposed nuclear power project that will be built in the Banswara district of Rajasthan on the right bank of the Mahi river, close to the Mahi Bajaj Sagar Dam. It will be the second nuclear plant in Rajasthan after the existing Rajasthan Atomic Power Project at Rawatbhata which is already operating with multiple units. The project will be completed in between six and seven years. The first unit is expected to become operational by around 2031.

• Agencies: The plant will be developed and operated by ASHVINI JV (Anushakti Vidhyut Nigam Limited), a joint venture formed between the Nuclear Power Corporation of India Limited (NPCIL) and the National Thermal Power Corporation Limited (NTPC). NPCIL will hold 51 percent ownership while NTPC will have 49 percent stake in the venture.

• Objectives: The primary objective of the Mahi Banswara project is to provide a stable source of clean energy and reduce the dependence on fossil fuels in the power sector. Another goal is to support the economic and social development of the tribal region of southern Rajasthan by creating jobs and infrastructure opportunities. The project will also contribute to the Government of India’s long-term target of achieving 100 GWe nuclear capacity by the year 2047. 

• Features:

• • The project will cover more than 1,300 acres of land and is designed to have a total installed capacity of 2800 Megawatts (MW): 700 MW each, through four nuclear reactors. 
  • The project will also contribute to the Government of India’s long-term target of achieving 100 GWe nuclear capacity by the year 2047. 
  • This project is an important part of the fleet mode program, under which ten indigenous reactors of the IPHWR-700 design are being constructed in different parts of India.
  • The plant will use Indigenous Pressurised Heavy Water Reactors (IPHWR-700) which are similar to the reactors successfully operating at Kakrapar Atomic Power Station (KAPP-3 and KAPP-4).
  • The project cost is estimated to be around ₹50,000 crore. 
  • The project will be safeguarded under the guidelines of the International Atomic Energy Agency (IAEA): NPT to ensure international standards.

India’s Nuclear Power Capacity

• At present the total nuclear power capacity in India is 8,180 MW which is only a small fraction of the country’s total electricity demand that crossed 2,29,715 MW in August 2025 as reported by the National Load Despatch Centre. 
• All the commercial nuclear power reactors in India are operated by the Nuclear Power Corporation of India Limited (NPCIL) which is under the Department of Atomic Energy. 
• As of now there are 24 operating nuclear reactors which together produce the existing capacity. The reactor fleet is made up of two Boiling Water Reactors (BWRs) that were set up at Tarapur, twenty Pressurised Heavy Water Reactors (PHWRs) that form the backbone of the nuclear program and include one 100 MW PHWR in Rajasthan, and two Water-Water Energetic Reactors (VVERs) of 1000 MW each at Kudankulam in Tamil Nadu. These reactors are spread across states like Maharashtra, Rajasthan, Tamil Nadu, Gujarat, Uttar Pradesh and Karnataka.
• The Government of India has already approved a plan to expand the current nuclear capacity from 8,180 MW to 22,480 MW by 2031-32. This target will be achieved through the construction and commissioning of ten new reactors with a total capacity of 8,000 MW across multiple states.
• India has set an ambitious goal of reaching 100 GW of nuclear power capacity by 2047, the year when the country will celebrate 100 years of independence. This long term vision reflects India’s need to diversify its energy basket.
• India is also moving forward with international cooperation to diversify its reactor designs and strengthen global partnerships. The country has given in-principle approval for a 6 x 1208 MW nuclear power project at Kovvada in Andhra Pradesh which will be set up with the support of the United States. This will be one of the largest nuclear projects in India and will add more than 7,200 MW once fully completed.
• The Union Budget 2025–26 proposes a dedicated Nuclear Energy Mission, with ₹20,000 crore for Small Modular Reactor (SMR) R&D, and plans legal reforms to enable greater private sector participation in the nuclear sector. 

Benefits of Increasing Nuclear Power Capacity

• Reliable Electricity Supply: Nuclear power plants operate with very high load factors often above 80 percent which makes them far more reliable than solar and wind that depend on weather conditions. If India increases nuclear power capacity, the country will have a strong base load supply even when renewable sources are not available.

• Energy Security: By increasing nuclear capacity, India can reduce this dependence and create a more self-reliant energy system because most of the nuclear reactors planned are indigenous PHWR-700 units designed by Indian scientists using local technology. Uranium supply agreements with countries like Canada, Australia, and Kazakhstan ensure fuel security for decades.

• Low Carbon Growth: India has pledged to achieve net zero emissions by 2070 and also committed to reduce the emissions intensity of GDP by 45 percent by 2030 under its Paris Agreement targets. Nuclear energy has almost zero carbon in operation and every 1,000 MW of nuclear power prevents around 6 to 7 million tonnes of CO₂ emissions per year compared to coal power.

• Economic Development: Large nuclear projects require heavy investment, skilled workforce, and long construction timelines which directly generate employment and economic growth. Expanding nuclear capacity across states will create industrial hubs around these projects, improving regional development especially in underdeveloped tribal and rural belts.

Issues in India’s Nuclear Power Sector

• Slow Pace of Expansion: India’s nuclear power capacity has grown very slowly compared to its overall electricity demand. Projects often face delays of six to ten years which makes nuclear growth much slower than expected and this reduces the share of nuclear power in the national energy mix.

• Technological Bottlenecks: The majority of India’s nuclear reactors are based on the PHWR design which is limited in scale. Advanced designs like fast breeder reactors and thorium-based reactors have been under research for decades yet they are not commercially available. This technological bottleneck restricts India from reaching higher capacity quickly.

• • Waste Management: Nuclear plants produce low carbon electricity but they also generate radioactive waste which requires safe storage for hundreds of years. India is still developing long term storage solutions for high-level waste. Balancing clean power with safe waste management remains a critical challenge.

• Financial Challenges: The cost of building nuclear power plants is extremely high compared to solar or wind projects. Long gestation periods and uncertain returns discourage private investment and most projects rely heavily on public sector funding. Financial risks often slow down project execution.

• Nuclear Liability: India’s Civil Liability for Nuclear Damage Act of 2010 places heavy responsibility on suppliers in case of an accident. This has discouraged foreign companies from participating in nuclear projects. This legal framework has slowed down international cooperation.

• Safety Concerns: Incidents like the Fukushima disaster in Japan created global fear and increased resistance from local communities. People often protest against land acquisition and possible radiation risks. Although the Atomic Energy Regulatory Board (AERB) ensures strict safety measures, public acceptance remains low.