ANALYSIS. Uranium supply pact, a boost for n-power programme

The uranium supply agreement that India signed with Canada is set to give the country’s ‘ambitious yet struggling’ nuclear power programme a shot in the arm.

The development not only ends a four-decade long stand-off between the two countries, but also provides India with the definitive scope to step up nuclear power generation and enter the second phase of its three-stage nuclear programme. The first stage is the use of natural uranium-fuelled heavy water reactors; the second is plutonium-based breeder reactors; and the last is thorium-based thermal breeder reactors.

Canada, the world’s second-largest producer of uranium with exports valued at over $1 billion a year, is the third nation after Russia and Kazhakastan to become a big supplier of the critical fuel to India.

Nuclear Power Corporation of India Ltd (NPCIL), which runs the country’s nuclear power programme, had in 2000 set an ambitious target of producing 20,000 MW by 2020. This was later revised to 63,000 MW by 2032. At present, the installed capacity stands at 5,780 MW.

Factors such as shortage of domestic fuel supply and environmental issues have weighed heavily against achieving the target. Uranium Corporation of India Ltd, with its mines in Jaduguda in Jharkhand, is the main supplier of the fuel. It hopes to start mining from the promising site in Thummalapalle in Andhra Pradesh and later in mines in Meghalaya and Karnataka.

The India-US civil nuclear agreement in 2006 ended India’s nuclear isolation and opened the doors for the country to access both uranium and technology. Areva, the French energy giant, initially supplied some quantity, followed by Uzbekistan. Then came supplies from Russia (2,000 tonnes in pellet form) and Kazhakastan (2,000 tonnes in ore concentrate).

The Canadian Government’s decision to agree to the $280-million deal to supply uranium gives the much-needed impetus. It can surely spur a similar deal with Australia, with whom India has been negotiating for long. Canadian producer Cameco Corporation will supply 7.1 million pounds (3.22 million kg) of uranium concentrate to India over the next five years.

Canada had banned exports of uranium and nuclear hardware to India after the 1974 Pokhran nuclear tests. India was using the CANDU or Canadian design to fabricate the pressurised heavy water reactors (PHWR) initially. It has stabilised the design indigenously and the PHWR is the ‘workhorse’ of the nuclear power programme.

The present arrangement with Canada will be significant in the context of India adopting a strategic mix of utilising domestic uranium resources and economical import options, says N Saibaba, Chief Executive of Nuclear Fuel Complex, the sole supplier of uranium fuel bundles to the country’s 21 operating reactors.

“More vendors, the better for the country. It will help improving expertise in fuel fabrication further. Each reactor of the 700 MW capacity will require 125 tonnes of uranium fuel to meet its life term of 30-40 years,” he says.

The PHWR programme will be the biggest beneficiary. In addition to the 14 planned ones, 4 x 700 MW reactors are in various stages of construction at Kakrapar and Rajasthan (Kota). Former Prime Minister Manmohan Singh had laid the foundation for two units in Haryana. All these will get adequate, assured supply and ensure that NPCIL can maintain a healthy pace of running its production and expansion programme over a long term, he said.

A big gainer from the assured uranium imports is expected to be the Department of Atomic Energy’s fast breeder reactor (FBR) programme or its state-II. The FBR technology initiative, started a few decades ago, has reached a critical stage with the first 500-MW Prototype FBR at Kalpakkam set to become operational in September. It uses plutonium (which is reprocessed from used uranium in PHWRs).

The highly technology and fuel challenged FBR programme which has been making slow but steady progress could get the kickstart with the completion of clusters of 700-MW PHWR reactors in different parts of the country. It would be easier to get plutonium to fuel the building of more FBRs in the future, nuclear experts feel.

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