India may soon allow foreign companies to own up to 49% in nuclear power plants, marking the first real crack in one of its most tightly controlled sectors.
The deets: as of now, India’s nuclear power industry is a full-blown government monopoly, run by the Department of Atomic Energy through NPCIL.
Private and foreign investment is banned because nuclear energy is tied closely to national security and non-proliferation. Moreover, Atomic Energy Act of 1960 keeps it strictly under state control.
Why it matters: India wants to 12x its nuclear power capacity to 100 GW by 2047, up from just 8 GW today but public funding alone won’t get it there. With coal on its way out and solar needing a strong night-time backup, nuclear is the missing piece. Letting in foreign capital and private players could fast-track that transition.
Why now: this shift is unfolding against the backdrop of rising US–China trade tensions and Trump’s tariff storm.
With reciprocal tariffs looming over critical sectors, India is looking to deepen energy ties with the US to secure better terms and stay out of the tariff crossfire. Opening up nuclear to foreign investment, especially with US-based firms in mind could be a strategic bargaining chip in ongoing trade talks.
Background: this isn’t the first time India tried to go nuclear with friends. The 2008 civil nuclear deal with the US opened the gates for billion-dollar partnerships. But due to India’s strict nuclear liability laws, no foreign firm wanted to touch it.
Zoom out: India’s nuclear capacity today makes up just 2% of its power mix, far below potential. Countries like France and the US generate 70–80% of their power through nuclear.
The global nuclear energy market is expected to hit $60 billion by 2030, and India wants a bigger slice. Big players like Westinghouse, GE-Hitachi, EDF, and Rosatom are already circling. So are domestic giants like Reliance, Adani, Tata Power, and Vedanta, reportedly eyeing a $26 billion investment opportunity.
India’s nuclear switch is no longer a secret, it's ready to glow up.
