The need for conversion arises due to the requirement of large land parcels for nuclear plants even as the government aims to install over 22 GW of nuclear capacity by 2032 and 100 GW by 2047 from the current 8.7 GW.
The government has already asked states to come up with plans to set up at least one nuclear plant each.
“The possibility of converting retired thermal plants is being looked at and talks are underway within the government for the same and (the matter) has been discussed in stakeholder consultations. These talks are in the initial stage and the feasibility of such sites need to be considered,” said one of the two people mentioned above.
Another person said repurposing an existing infrastructure would lower the land requirement, while the existing transmission grid and infrastructure on the premises would also be used, significantly cutting costs.
A US Department of Energy report in 2022 said savings of up to 35% can be achieved by reusing thermal assets.
Anujesh Dwivedi, partner at Deloitte India said: “Converting retired coal-based plants to nuclear power plants has the potential to offer a win-win situation from the perspective of land acquisition, water availability as well as ready-made power evacuation infrastructure.”
“Leveraging such sites can be helpful in fast-tracking and cost optimization of proposed nuclear power plants,” he said.
However, such sites will need to be evaluated from the perspective of additional clearances and safeguards required for nuclear power projects, he added.
Despite the push for renewable energy, coal forms the backbone of India’s power system and supplies the baseload capacity. Out of the total installed power generation capacity of 472.46 GW in India, coal-based power generation capacity comprises 212.71 GW.
Coal is important not just for meeting the immediate demand for power, but also because it maintains grid stability, something intermittent power sources such as wind and solar are unable to do.
Nuclear, although fossil-based, is a cleaner fuel that too would be key in maintaining grid stability. India currently operates 25 nuclear plants across seven locations, with a total installed capacity of 8.78 GW, contributing to about 3% of the country’s electricity generation.
In March, the power ministry told Parliament that nuclear power projects that will add 14.3 GW of renewable energy capacity are in different stages of implementation in India, including 7.3 GW of capacity under construction.
Union power minister Manohar Lal has been urging states to build at least one nuclear plant each. In April, the parliamentary consultative committee on power met to discuss the roadmap for nuclear power generation against the backdrop of India’s target of achieving 100GW of nuclear power capacity by 2047.
During the meeting chaired by the union power minister, lawmakers stressed the need for faster project execution, creating a favourable public narrative, ensuring technology diversification, and building robust vendor and manpower ecosystems for nuclear power.
The development comes at a time when the government is also considering allowing private players to set up nuclear power plants. For this, the government plans to amend the Atomic Energy Act, 1962 and Civil Liability for Nuclear Damage Act, 2010 to enable broader participation by private and state sectors, strengthen public perception and enhance awareness about safety and benefits.
In a written reply in Parliament in March, Union minister of state for power Shripad Naik outlined some key challenges in developing nuclear power projects, including finding suitable sites and their acquisition, rehabilitation and resettlement, environmental clearances, local issues, and timely supplies of equipment.
“Further, there are high upfront costs of reactors, regulatory requirements, and the dependency on imported nuclear fuel,” he told the Lok Sabha.
Erstwhile power minister R.K. Singh had in 2023 said that between January 2018 and October 2023 a total of 99 old and inefficient thermal power plants with a cumulative capacity of over 8 GW were decommissioned or retired.
Queries mailed to the ministry of power remained unanswered at press time.
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