Parliament Question: Exemption of Customs Duty on Nuclear Fuels

GOVERNMENT OF INDIA DEPARTMENT OF ATOMIC ENERGY LOK SABHA UNSTARRED QUESTION NO-4207 ANSWERED ON 18.03.2026 EXEMPTION OF CUSTOMS DUTY ON NUCLEAR FUELS

4207. SHRI RAMESH AWASTHI SHRI RAVINDRA SHUKLA ALIAS RAVI KISHAN

Will the PRIME MINISTER be pleased to state:-

(a) the manner in which the total exemption of customs duty on nuclear fuels and reactor components up to the year 2035 will impact the overall per-unit cost of nuclear power;

(b) the details of the specific measures being taken to strengthen the domestic supply chain for the ten newly approved 700 MW Pressurized Heavy Water Reactor (PHWR) units;

(c) the details of primary focus areas for the increased Research and Development (R&D) funds allocated to the Bhabha Atomic Research Centre (BARC) considering that its budget allocation has almost doubled this year;

(d) whether there is any plan to integrate the PM Gati Shakti framework to fast-track the construction and logistics of the upcoming nuclear 'parks' in the coastal States; and

(e) if so, the details thereof? ANSWER THE MINISTER OF STATE FOR PERSONNEL, PUBLIC GRIEVANCES & PENSIONS AND PRIME MINISTER’S OFFICE (DR. JITENDRA SINGH)

(a) The Zero customs duty on the imports of goods required for nuclear power projects will result in to reduction in project cost and the unit cost of electricity generated in respect of projects being set-up with foreign cooperation which have substantial import contents. This will make these projects more viable.

(b) The steps being taken by NPCIL to strengthen the domestic supply chain for the 10 newly approved 700 MWe PHWR units are:  Placing bulk orders to ensure continuity of orders.  Expanding the vendor base with required hand holding.

 Development of indigenous equipment for import substitution & vendor development Reserving certain equipment for class-1 local suppliers.  Arranging vendor meets to promote MSMEs and giving preference to MSME in bids.

(c) Bhabha Atomic Research Centre (BARC) undertakes R&D activities through various sanctioned projects. The focus of enhanced R&D funding allocated to BARC is on new R&D and technology development in multidisciplinary areas in line with the Departmental mandate to achieve self-reliance. Key focus areas include;

(i) Flagship programme of development and deployment of new research reactors for R&D.

(ii) Isotope production reactors with isotope processing facilities for self-reliance in isotope production especially for cancer treatment.

(iii)Development of reactor technologies for new reactors including Small Modular Reactors (SMRs) for power and hydrogen production with associated hydrogen production cycles and their front and back-end fuel cycles.

(iv) Accelerator programme along with development of associated cryogenic and superconducting technologies to achieve higher beam energy for societal, medical and scientific applications for Atmanirbharta in these advanced technologies.

(v) Development of laser-based technology for medical and engineering applications, and

(vi) Development of advanced materials and manufacturing technologies to support these flagship programme.

(d) & (e) Presently, there is no such proposal. *****