India, US officials discuss nuclear energy cooperation in Washington
The Chairman of India's Atomic Energy Commission (who also serves as Secretary, Department of Atomic Energy) held discussions with the US Secretary of Energy in Washington on August 26.
The talks focused on ongoing developments in bilateral civil nuclear cooperation and policy measures to strengthen it further, including legal and regulatory frameworks, safety, security, safeguards, and liability.
The meeting took place ahead of the ministerial launch of the IAEA's Atomic Technologies Licensed for Applications at Sea (ATLAS) initiative, which supports exploration of small modular reactors (SMRs) for powering civilian ships and offshore energy.
Several US nuclear energy firms have expressed interest in investment and partnership opportunities in the Indian market as India moves to open its nuclear sector to private participation.
India-US 123 Agreement (2008) and the Liability Deadlock
The India-US Civil Nuclear Agreement, formally a "123 Agreement" under Section 123 of the US Atomic Energy Act, was signed in October 2008, ending India's nuclear isolation following the 1974 and 1998 tests by allowing India to access US civil nuclear technology, reactors, and fuel despite being outside the Non-Proliferation Treaty. It was preceded by a 2008 India-specific waiver from the Nuclear Suppliers Group (NSG).
Key Details
- Signed by US Secretary of State Condoleezza Rice and India's External Affairs Minister Pranab Mukherjee, October 10, 2008.
- Required a separation plan distinguishing India's civilian and military nuclear facilities, with civilian facilities placed under IAEA safeguards.
- Enacted domestically via the Civil Liability for Nuclear Damage Act, 2010 (Act No. 38 of 2010), which came into force November 2011.
- The Act channels liability to the operator but also allows the operator a "right of recourse" against suppliers (Section 17(b)) — an outlier globally, since most countries channel liability exclusively to the operator. This has deterred US firms like GE-Hitachi and Westinghouse from finalising reactor deals in India for over 15 years.
The "legal and regulatory frameworks... and liability" cited as a discussion priority points directly to this unresolved supplier-liability friction, which remains the central obstacle to any US-built reactor being commissioned in India despite the 2008 deal.
SHANTI Act and India's 100 GW Nuclear Target by 2047
India has set a target of 100 GW of installed nuclear capacity by 2047 (up from about 8 GW currently), announced alongside the Nuclear Energy Mission for Viksit Bharat in the 2025 Union Budget. To meet this, Parliament has moved to open the sector to private and foreign investment through new legislation — reported as the SHANTI (Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India) Act — which would amend or replace provisions of the Atomic Energy Act, 1962 that currently restrict nuclear power generation to government-owned entities.
Key Details
- Atomic Energy Act, 1962 currently reserves nuclear power generation and nuclear materials handling to the Central Government (public sector undertakings like NPCIL).
- The 2025 Union Budget announced ₹20,000 crore in funding to develop at least five indigenously designed Small Modular Reactors (SMRs) by 2033.
- SMRs are compact nuclear reactors (typically under 300 MW per unit) that are factory-fabricated, modular, and designed for faster deployment and lower upfront capital cost than conventional large reactors.
- Reforms are also reported to address amendments to the Civil Liability for Nuclear Damage Act, 2010 to make the liability regime more palatable to foreign suppliers.
The Washington meeting's discussion of "legal and regulatory frameworks" for private/foreign investment interest from US nuclear firms is a direct extension of India's domestic legislative push to liberalise the sector to hit the 100 GW-by-2047 target.
IAEA Safeguards and the ATLAS Initiative
The International Atomic Energy Agency (IAEA), established in 1957, verifies that nuclear material and facilities under its safeguards agreements are used only for peaceful purposes. India's 2008 deal required placing its civilian nuclear facilities under India-specific IAEA safeguards, distinct from the full-scope safeguards required of Non-Proliferation Treaty non-nuclear-weapon states.
Key Details
- ATLAS (Atomic Technologies Licensed for Applications at Sea) is an IAEA-led initiative supporting exploration of small modular reactors for powering civilian ships and offshore platforms, part of a broader push toward low-carbon maritime propulsion.
- The initiative sits alongside global interest in floating/offshore nuclear power and maritime decarbonisation efforts under the International Maritime Organization's emission-reduction targets.
- India's participation reflects its dual interest in SMR technology for both terrestrial grid capacity and potential maritime applications.
The bilateral talks were explicitly timed around the ATLAS ministerial launch, linking India's SMR ambitions to an emerging international framework for maritime nuclear applications.
- India's current installed nuclear capacity: approximately 8 GW; target 100 GW by 2047
- 123 Agreement signed: October 10, 2008; NSG waiver: September 2008
- Civil Liability for Nuclear Damage Act, 2010: in force since November 11, 2011
- Nuclear Energy Mission for Viksit Bharat funding: ₹20,000 crore, targeting at least 5 indigenous SMRs operational by 2033
- Atomic Energy Act, 1962: currently restricts nuclear power generation to government-owned entities (reform under legislative process)
- Meeting held: August 26, in Washington, ahead of the IAEA ATLAS initiative's ministerial launch