Jaitapur plant: NPCIL, EDF yet to come to consent on tech-comm

More than a year after NPCIL signed an 'industrial way forward' pact with the French firm EDF for the 10 GW nuclear power plant at Jaitapur, the two sides have yet to come to consent on technical and commercial negotiations, a senior DAE official said. Last March, French electric utility company EDF signed the agreement with the state-run Nuclear Power Corporation of India (NPCIL) for the implementation of six EPR reactors at Jaitapur in Maharashtra.

Under the pact, EDF agreed to provide all engineering studies and provide all component procurement activities for the first two reactors and also assist NPCIL in construction of the reactors. "NPCIL received a technical offer from EDF after it took over France-based Areva. The negotiations with EDF are in advanced stage and the government of France and India are helping them to come to mutually acceptable terms," DAE Secretary KN Vyas told PTI on the sidelines of BARC Founders' Day to celebrate Homi Bhabha's 110th birth anniversary.

He said both the companies are currently negotiating on various issues including fixing the tariff of the electricity generated which is economical for consumers. "Apart from this, they are also negotiating on technology as well as on financing which will be acceptable to both the countries. Once they come to a satisfactory conclusion on the technical front, they will then start the negotiations on the commercial agreement," Vyas added.

When asked about a timeline for commencement of the project, he said, "as far as I know, land acquisition is completed and generally, people are satisfied with the compensation. We are hopeful that once both the companies complete the negotiations work will start." EDF has agreed to act as the EPR technology provider and not be an investor itself, but had said it would facilitate financing discussions as much as possible. Also, the loan is a major component of EDF and NPCIL negotiations as it will have an impact on the pricing of the project and tariff for the electricity generated from the plant.

In 2008, when the Indo-French nuclear power agreement was signed between NPCIL and Areva, it was estimated that the Jaitapur project would be fully operational in the next 20 years. However, after Areva went bankrupt following the mishap at the Fukushima nuclear plant in Japan in 2011, EDF took over the company and offered technological support to NPCIL.

The project was also delayed by protests from the locals as they were opposed to the acquisition of their land. However, the government has now acquired the land required for the project and handed it over to the NPCIL.

Currently, India has 22 nuclear reactors in operation in seven nuclear power plants, having a total installed capacity of 6,780 MW and has another 21 reactors in various stages of construction and development..

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)