Centre urges states to accelerate nuclear power plants and green energy storage

New Delhi: Stepping up efforts towards strengthening energy security amid growing AI/data centre push, the Centre is learnt to have asked states to speed up clearances and processes on proposed nuclear power plants and renewable energy storage systems, ET has learnt.

The matter was taken up at the recent 11th Governing Council meeting of Niti Aayog with all chief ministers and top officials where it was pointed out that nearly 15 states/UTs required "accelerated action".

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ET gathers that before the June 11 meeting, states were reminded of pending approvals with respect to setting up of nuclear plants and battery energy storage systems.

While 32 sites have been identified by the National Thermal Power Corporation (NTPC) for setting up nuclear plants, clearances for land allocation and the like are pending in most cases, it is gathered. Clearances are pending in NDA-ruled Andhra Pradesh, Madhya Pradesh, Uttar Pradesh, Bihar, Odisha and Chhattisgarh besides INDIA bloc allied Karnataka, Tamil Nadu, Jharkhand and Dadra & Nagar Haveli, as per information shared at the meeting.

While some states have started initial processes, 'accelerated' action has been sought. For instance, Bihar has given clearance for a feasibility study and water allocation plan for two 700 MW plants. Jharkhand has embarked on a feasibility study for a possible plant in Deoghar for 700MW*2 power plants. Discussions have been held by the Centre with Karnataka and Tamil Nadu governments on land availability around proposed sites, ET has gathered, seeking an expedited time frame.

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There is also considerable focus on scaling up renewable energy (RE) and addressing the intermittency issue with solar/wind power through Battery Energy Storage Systems (BESS). The Centre is learnt to have pointed out at the meeting last week that NDA-ruled Maharashtra, UP and MP besides Congress-ruled Telangana are still to complete their BESS projects. The 13.85 GW Battery Energy Storage System 2023, backed with 40% Viability Gap Funding, is yet to be completed.

The strong power push by the Centre comes as India looks to establish data and AI centres across various locations - an enterprise that requires considerable power and water supply. It is projected that the Data/AI centre-driven power demand will go up from the current 1. 8GW to 18GW by 2032.

India's action plans envisage a mix of nuclear and RE power. On the former, an ambitious 100GW nuclear roadmap has been set out - up from the current 8. 78GW.

Backed by SHANTI Act, the Centre has been engaging with states to finalise on possible sites for nuclear plants. While Nuclear Power Corporation of India Limited (NPCIL) is aiming at a 22GW target by 2032, NTPC has set a target of 30GW by 2047and the NTPC-NPCIL JV ASHVINI will route the 4*700MW fleet mode projects in Rajasthan.

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NTPC has already inked agreements with advanced technology providers for development of nuclear plants - EDF (France, pressurised reactors), HOLTEC (the USA, for small modular reactors) and ROSATOM (Russia, for water energetic reactor. A 250 MW Bharat Small Modular Reactor (BSMR) is also under development at Bhabha Atomic Research Centre to cater to smaller captive power demand scenarios for industry.

A non-fossil-based power increase - from 40% to 53% has been registered in last five years. Also, work is afoot on energy storage - a 2. 1GW BESS and 7. 2GW Pumped Storage Plant have so far been added for better RE penetration.