I think that one positive development about the latest contracts signed (during Prime Minister Narendra Modi’s visit to France) with Areva is that the issue of cost of power generation has been addressed with the French company agreeing to work with Larsen & Toubro to increase localisation and thus improve the financial viability of the project at Jaitapur. All these years, the NPCIL has been insisting that the cost of power generation should be at Rs 6 per kilowatt hour, while Areva quoted Rs 9 per kilowatt hour without looking at how to bring it down — perhaps through indigenisation.
I am, however, concerned about many other issues which must be addressed from India's point of view including the financial losses incurred by Areva in recent days and the fact that the EPR (European Pressurised Reactor / Evolutionary Power Reactor) plants which the French government projected as the flagship of its nuclear power plans have not gone online elsewhere in the world. When a team consisting of Dr Anil Kakodkar, myself and others were asked to look at technical and commercial aspects of EPR about six years ago, the United States wanted to have some of them, and so had the United Kingdom, but they have since changed their plans.
France has decided to reduce the nuclear component of power from 75 to 50 per cent, and EPR plants in Finland or in China have been commissioned and generating power. So, it is disturbing and my serious worry is about the six EPR plants proposed at Jaitapur which could well turn out to be guinea pigs and would stand alone without adequate technical support. It is better to have a line of EPR plants across the world rather than have a few because spares will not be available in time. So, all these issues must be looked at and solved from India's point of view.
(As told to B.R. Srikanth)
(Dr M.R. Srinivasan headed the Atomic Energy Commission and the Nuclear Power Corporation of India and is the last living link with Dr Homi Bhabha. He also served as member of the Planning Commission and National Security Advisory Board. He received the Padma Vibhushan award this year.)
