NTPC to approach Centre with feasibility report for its first N-power plant

NTPC Ltd is preparing to submit its first feasibility report for a standalone nuclear power project to the Department of Atomic Energy (DAE) for approval. Th...

What Happened

NTPC Ltd is preparing to submit its first feasibility report for a standalone nuclear power project to the Department of Atomic Energy (DAE) for approval.
The proposed site is in Banka district, Bihar, with plans for two units of 700 MW each, requiring approximately 1,000 acres of land and an estimated investment of Rs 25,000 crore.
NTPC aims to develop approximately 30 GW of nuclear capacity across at least 14 states by 2047, targeting at least 2 GW of operational nuclear capacity by 2032.
The feasibility study submitted will be reviewed by DAE's Standing Site Selection Committee, which then forwards suitable proposals to the Atomic Energy Commission (AEC) for further consideration.
NTPC's entry into nuclear power is enabled by the SHANTI Act 2025, which for the first time permits private and public companies beyond NPCIL to own and operate nuclear plants.

Static Topic Bridges

The SHANTI Act 2025 — Legislative Enabler of Private Nuclear Power

The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025, was passed by both houses of Parliament in December 2025 and received presidential assent. It replaces the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act of 2010. The 1962 Act had restricted nuclear power generation exclusively to government-owned entities — primarily NPCIL (Nuclear Power Corporation of India Limited) and BHAVINI (Bharatiya Nabhikiya Vidyut Nigam Limited). Section 14 of the old Act prohibited any private entity from acquiring, producing, or using prescribed nuclear substances or plants without a government-issued license — a license that was only granted to public sector entities.

The SHANTI Act enables Independent Power Producers (IPPs) and other qualified entities to build, own, operate, and decommission nuclear power plants.
Core fuel-cycle functions — enrichment of nuclear material, production of heavy water, and management of spent fuel — remain with the Central Government under DAE.
The Act establishes a graded liability framework, replacing the single statutory cap under the 2010 Civil Liability for Nuclear Damage Act.
The government allocated Rs 20,000 crore for nuclear R&D and plans to operationalise at least five Small Modular Reactors (SMRs) by 2033.

Connection to this news: NTPC's feasibility submission is among the first tangible steps by a public sector entity other than NPCIL to enter nuclear power directly — made possible by the SHANTI Act 2025 regulatory framework.

Nuclear Power in India — Institutional Structure and DAE Approval Process

India's nuclear power programme is administered by the Department of Atomic Energy (DAE), which functions directly under the Prime Minister's Office. The Atomic Energy Commission (AEC) is the apex body for policy and oversight. NPCIL, established in September 1987 under the Companies Act 1956, has historically been the sole entity responsible for the construction, operation, and maintenance of atomic power stations. As of early 2026, NPCIL operates 24 nuclear reactors at seven locations with a total installed capacity of approximately 8,180 MWe. For any new nuclear power project, the Standing Site Selection Committee of DAE first reviews the site feasibility, and upon clearance, the proposal goes to the AEC. Post-approval, a Detailed Project Report (DPR) is prepared before construction commences.

DAE operates directly under the Prime Minister's Office.
AEC is the apex policy body for nuclear affairs in India.
NPCIL is a wholly government-owned company, administered by DAE.
India's current nuclear capacity stands at approximately 8,180 MWe (7.5 GW) — against a target of 100 GW by 2047.

Connection to this news: NTPC's feasibility submission triggers the same DAE review pipeline that all new nuclear projects must pass through — the Standing Site Selection Committee scrutiny followed by AEC approval.

India's 100 GW Nuclear Target — Energy Policy and Strategic Rationale

The Union Budget 2025-26 formally announced India's target of achieving 100 GW of nuclear power capacity by 2047, coinciding with the centenary of independence ("Viksit Bharat 2047"). India's current nuclear capacity is approximately 7.5 GW — necessitating a more than tenfold increase in roughly 20 years. The international dimension includes the U.S. Department of Energy's March 2025 approval for Holtec International to transfer Small Modular Reactor (SMR) technology to India for the Kovvada project in Andhra Pradesh, following India's removal from the U.S. Entity List of restricted entities.

Current nuclear share of India's electricity mix: approximately 3%.
India's installed nuclear capacity (early 2026): ~8,180 MWe across 24 reactors.
NTPC's standalone nuclear capacity target: 30 GW by 2047; 2 GW by 2032.
Cost of 1 GW nuclear plant: approximately Rs 15,000–20,000 crore; typical construction timeline: 6+ years from concept to commissioning.
A 1,400 MW project in Bihar is estimated to cost approximately Rs 28,000 crore over six years through 2032.

Connection to this news: NTPC's Bihar project is a direct operational manifestation of the national 100 GW nuclear roadmap, with the company targeting 30 GW as its contribution to this target.

Key Facts & Data

NTPC's proposed Bihar project: 2 units × 700 MW = 1,400 MW total capacity; investment ~Rs 25,000–28,000 crore.
Land requirement: ~1,000 acres in Banka district, Bihar.
NTPC's national nuclear target: 30 GW across 14 states by 2047; 2 GW by 2032.
India's 100 GW nuclear target set for 2047 (announced in Union Budget 2025-26).
SHANTI Act 2025 passed December 2025 — replaces Atomic Energy Act 1962 and Civil Liability for Nuclear Damage Act 2010.
NPCIL current capacity: ~8,180 MWe across 24 reactors at 7 locations.
Cost benchmark: Rs 15,000–20,000 crore per GW of nuclear capacity.
DAE approval route: Standing Site Selection Committee → Atomic Energy Commission → DPR.