Bhel puts nuke reactor plan on hold, awaits govt policy

Despite being in talks with several foreign companies to float a JV for manufacturing nuclear reactors, Bhel has decided to wait till the policies on manufacturing such equipment are clearly spelt out by the government. However, it has decided to go ahead with its proposed JV with Nuclear Power Corporation of India (NPCIL) for manufacturing the conventional portion of a nuclear power plant. A nuclear plant has two stages — the critical part that consists of the reactor where heat is generated through nuclear reactions. While the other comprises the conventional part where water is boiled to generate steam for running a turbine to generate power. “We have decided to wait till the policy for manufacturing reactors is clearly outlined by the government. There are certain areas that need clarification and we have decided to wait for these clarifications, although we have been in talks with a number of parties,” Bhel CMD K Ravi Kumar told . “Bhel has entered into talks with French major Areva, General Electric and a few others for entering the manufacturing sector. Finalisation of the JV will take some time,” Jairam Ramesh, minister of state for power, told. “However, we will go ahead with the JV for making conventional parts with NPCIL. A third foreign partner will be roped in, and will be finalised by March 2009,” said Mr Kumar. Since overseas companies are allowed to supply technology, Bhel has plans to spend Rs 1,500 crore in two years for building plants to supply components for reactors of 1,600 mw.