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India Aims for Self Sufficiency In Uranium Production by 2013

In the next four years, India is expected to gain self-sufficiency in the production of uranium to meet the fuel demand of the country's existing and proposed nuclear power...

Released Monday, August 10, 2009

India Aims for Self Sufficiency In Uranium Production by 2013

Researched by Industrial Info Resources (Sugar Land, Texas)--In the next four years, India is expected to become self-sufficient in the production of uranium to meet the fuel demands of the country's existing and proposed nuclear power plants. According to Dr. Anil Kakodkar, Chairman of Atomic Energy Commission (AEC) (New Delhi), some of the operating and proposed mines in the country will help in becoming self-reliant in uranium production.

Currently, uranium mining is carried out in Turamdih and Jasugoda, both located in the state of Jharkhand. Capacity augmentation is presently under way in both these mines. The expansion of the Jasugoda mine, which converts uranium into yellowcake, is likely to be completed this year, while the augmentation of the Turamdih mine is scheduled to be completed next year. Uranium mining projects in the pipeline include Gogi in Gulbarga, Karnataka, and Tummallapalle, Andhra Pradesh. The Tummallapalle mine is expected to begin operations in 2013.

There are also plans to start uranium exploration activities in the northeastern state of Meghalaya. Meghalaya is estimated to have abundant potential for uranium exploration, but activity has not commenced because of stiff opposition from local residents. The AEC hopes to recieve approvals for the exploration activities soon.

Dr. Kakodkar is confident that the increase in uranium production in the country will positively impact the capacity utilization of nuclear power plants. Currently, nuclear reactors are running at about 55% capacity, which is likely to go up to 65% by the end of this fiscal year 2009-10. Dr. Kakodkar is optimistic that the capacity factor will reach 70% to 75% by 2010-11. This level is expected despite three new reactors expected to go live 2009-11. These include units 5 and 6 of the Rajasthan atomic power station in Rawatbhata and Unit 6 of the Kaiga atomic power plant in Karnataka.

In a related development, the Department of Atomic Energy (DAE) (Mumbai), has received approvals from the government to build four pressurized heavy water reactors (PHWRs), each with a power generating capacity of 700 megawatts (MW). The approval comes at a time when major nuclear powerhouses such as France, the U.S. and Russia have expressed interest in partnering with India in the country's civilian nuclear power program. Recently, Russia signed a $700 million agreement to supply nuclear fuel for reactors in India. The proposed development of four 700-MW PHWRs is only the first phase of the proposed plan to develop 20 PHWRs with the same capacity. The proposal also includes operation of 20 PHWRs using indigenously produced uranium fuel. India already has experience in building and successfully operating PHWRs with capacities of 540 MW and 220 MW.

In October 2008, the Nuclear Suppliers Group (NSG) lifted the 34-year nuclear trade ban for India. The embargo was imposed in 1974, after India test-fired nuclear weapons. Following the lifting of trade sanctions being lifted, India signed the agreement to develop nuclear technology for civilian use. India refused to sign the Non-Proliferation Treaty, which does not allow utilization of nuclear technology to create weapons. The NSG granted a waiver, allowing India to develop nuclear weapons without international interference. India assented to the regulations of the International Atomic Energy Agency (Vienna, Austria) for inspection of civilian nuclear reactors. The agreement allows for inspection of 14 of the 22 civilian nuclear sites in the country.

The lifting of the nuclear trade embargo for India has opened doors to huge investments in the country. Presently, the country has 17 operating reactors generating 4,120 MW of power, with another three under construction, which will add 2,660 MW to the total installed capacity. India has envisaged a three-pronged nuclear power development initiative. This includes construction of 28 new reactors which, when operational, will achieve the target of 40,000 MW of nuclear power generating capacity by 2020. Nuclear power is expected to contribute 25% of the total energy to the national grid by 2050. Despite being a late entrant in this sector, India is expected to attract domestic and international investments of more than $27 billion in the next 15 years. The move to become independent and self-reliant in uranium production is timed to keep pace with the growth of this sector.

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Industrial Info Resources (IIR) is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy related markets. For more than 26 years, Industrial Info has provided plant and project opportunity databases, market forecasts, high resolution maps, and daily industry news.
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