As India seeks to expand its nuclear power capacity from 8 GW to 100 GW by 2047, civil nuclear cooperation with the United States is once again gaining momentum. With growing energy demand, energy security concerns and a renewed push for clean baseload power, nuclear energy is increasingly being viewed as a strategic pillar of India’s long-term energy mix. At the same time, questions around technology transfer, fuel supply, regulation and private sector participation continue to shape the pace of progress.
In an interaction with BW Businessworld, Seth Grae, CEO of Lightbridge Corporation, discusses why India-US commercial nuclear cooperation moved slower than expected, the role US companies can play in helping India achieve its 100 GW target, the future of advanced nuclear fuel technologies in India, and whether the regulatory environment is becoming more conducive for foreign participation. He also shares his views on nuclear fuel manufacturing, supply chain opportunities and what lessons India can draw from the US as it scales up its nuclear ambitions.
The India-US civil nuclear deal was signed nearly two decades ago. Why has commercial nuclear cooperation moved slower than expected, and what can unlock momentum now?
At the time the agreement was signed, nuclear cooperation between American and Indian companies was not as high a priority for either government as it is today. India had limited nuclear power capacity and comparatively modest expansion plans. Domestic capabilities, supported by selective foreign partnerships, were sufficient for existing needs. Today, the situation is significantly different. India currently has around 8 GW of nuclear power capacity, roughly equivalent to the electricity demand of New York City. However, India has now set an ambitious target of expanding nuclear capacity to 100 GW by 2047, comparable to the current scale of nuclear generation in the United States.
To achieve this target, India will require foreign collaboration because domestic capacity alone will not be sufficient to support such rapid growth. At the same time, the United States is also prioritizing nuclear expansion, with plans to substantially increase domestic nuclear capacity by 2050 while strengthening cooperation with international governments and companies. As a result, both countries are now aligned in terms of priorities. The policy environment, industry interest and government engagement are all significantly stronger than they were two decades ago. This creates an opportunity for deeper cooperation between Indian and American companies in technology, manufacturing, reactor construction and operations.
India aims to achieve 100 GW of nuclear power capacity by 2047. What role can US companies play in helping India achieve this target?
US companies are currently focused on building partnerships with both the Indian government and private sector entities already involved in nuclear energy or seeking to enter the space. The United States has significant capabilities across the nuclear value chain. It produces nearly everything required to build and operate a large-scale nuclear power program and currently operates approximately 100 GW of nuclear power capacity, which mirrors India’s long-term target.
One of the key strengths of the US nuclear ecosystem is operational efficiency. American nuclear reactors operate at capacity factors exceeding 90 per cent, among the highest globally. This means reactors consistently generate electricity close to their maximum capability. US companies can contribute not only through reactor design and component manufacturing, but also through construction expertise and operational best practices. This includes improving plant efficiency, maximizing reactor performance and lowering the overall cost of electricity generation. Beyond technology transfer, collaboration can also extend to workforce development, safety practices and operational management, areas where the United States has accumulated decades of experience operating a large nuclear fleet efficiently.
Lightbridge fuel is reportedly compatible with India’s heavy water reactors. What practical steps are needed before this technology can be deployed in India?
India’s nuclear expansion plans include pressurized heavy water reactors, which can use Lightbridge fuel. The private sector is also evaluating pressurized water reactors, which are widely used in the United States. Lightbridge is developing fuel technology for both reactor categories, although much of its work to date has focused on pressurized water reactors. One of the most important practical requirements for deployment is greater regulatory harmonization between the US and Indian nuclear authorities. If nuclear technologies approved for safe use in one country can be more readily accepted in another, regulatory barriers can be significantly reduced.
The goal is to establish a framework similar to global aviation, where aircraft certified in one country can operate internationally without extensive reapproval processes. A more harmonized nuclear regulatory system would accelerate technology deployment and improve cross-border collaboration. Lightbridge is also in the process of selecting a site for a pilot-scale fuel manufacturing facility that can eventually expand into commercial-scale production. Over time, the company plans to evaluate regional manufacturing hubs globally, and India presents a strong opportunity due to its nuclear ambitions and manufacturing capabilities.
Nuclear liability laws have long been cited as a hurdle for US companies in India. Is the regulatory environment improving, or is more progress needed?
There is still room for improvement, although recent developments are encouraging. India recently passed the Shanti Act, which addresses a major issue around liability in the nuclear sector. In principle, the legislation moves in the right direction. Under international nuclear liability frameworks, liability generally rests with the operator of the nuclear plant rather than individual vendors supplying components. However, concerns have existed in India that suppliers of components, such as valves or reactor equipment, could potentially face extensive liability in the event of an incident. This created hesitation among foreign companies considering participation in India’s nuclear sector.
The Shanti Act appears to address many of these concerns at the legislative level. However, implementation will depend significantly on the rules expected to be issued by the Department of Energy in the coming months. Foreign companies are waiting to review these operational guidelines before assessing how workable the regulatory environment will be in practice. If the rules are clear and conducive, they could improve confidence among international companies looking to participate in India’s nuclear expansion. If not, further reforms may still be required to make the regulatory framework more attractive for foreign investment and collaboration.
Are we entering a new phase of India-US nuclear cooperation, particularly amid rising energy demand and energy security concerns?
There are indications that both governments and companies are moving toward a more collaborative phase of engagement. Energy security concerns, growing electricity demand and long-term clean energy goals are strengthening the case for deeper India-US nuclear cooperation. Both governments appear to be signaling stronger intent. Recent statements by political leadership, including references to civil nuclear cooperation as an important component of the India-US relationship, suggest greater policy alignment than in previous years.
The recent US civil nuclear trade mission to India also reflected a coordinated approach from different parts of the US government and private sector. According to participants, there was broad support for expanding cooperation with India in nuclear energy development. The expectation is not only cooperation in building nuclear infrastructure in India but also collaboration on exports, manufacturing and investments across global markets. However, the pace of progress will depend on practical issues, particularly the implementation of regulatory reforms under the Shanti Act and how effectively barriers to foreign participation are addressed.
Competition from other countries seeking to enter the Indian nuclear market will remain, but the United States sees itself as offering advanced technology, strong operational experience and high standards of nuclear safety and transparency.
Beyond reactors, where do you see the biggest opportunities for India-US nuclear collaboration — fuel manufacturing, supply chains, or nuclear technology?
The largest opportunity is likely to be in nuclear fuel. A reactor may be built once and operate for decades, potentially up to a century, but fuel must be supplied continuously throughout that lifespan. In many ways, fuel sits at the center of nuclear power generation. It determines how much power a reactor can produce and plays a significant role in efficiency, cost and safety. Improvements in fuel technology can therefore have long-term economic and operational benefits.
Advanced fuels such as Lightbridge fuel are designed to increase reactor output, lower electricity production costs and improve safety characteristics. Because fuel remains a recurring requirement over the entire life of a reactor, it represents a significant long-term opportunity for cooperation. There is also considerable potential for collaboration in manufacturing fuel for both domestic and export markets. India’s growing nuclear ambitions, combined with its manufacturing capabilities, could position the country as an important regional hub for nuclear fuel production and supply.
What lessons can India learn from the US as it expands its nuclear ambitions?
One key lesson is the role of the private sector. In the United States, the government regulates safety and security, but private companies handle much of the reactor design, manufacturing, construction and operations. Greater private sector participation could support India’s nuclear expansion. Another important lesson is regulatory harmonization. Components manufactured in one country should ideally be usable in another without excessive regulatory barriers. More aligned standards can strengthen supply chains and accelerate deployment.
Operational efficiency is also critical. US nuclear reactors have maintained capacity factors above 90 per cent for decades. However, this level of performance came after years of learning and operational refinement. For India, operating reactors efficiently will be as important as building them. Achieving 100 GW of nuclear capacity by 2047 will require not only more reactors but also strong operational performance to maximize electricity generation from existing assets. |
