NPCIL calls RFP from industries for setting up 2×200 MW Bharat Small Reactors

NPCIL calls RFP from industries for setting up 2×200 MW Bharat Small Reactors
Kakrapar Atomic power plant - pic Courtesy Facebook.

 

India’s atomic power major Nuclear Power Corporation of India Ltd (NPCIL) on Tuesday called for a Request for Proposal (RFP) from the Indian industries for setting up 2x 220MW or multiples of Pressurised Heavy Water Reactor (PHWR) now called Bharat Small Reactor (BSR) for captive use.

As regards the minimum qualifying criteria, NPCIL has said the project promoter shall have an industrial/commercial unit which, for its commercial/industrial activities, has a requirement of electricity of about 2,500 million units (MU) per year, to meet from the captive generating plant of the BSR.

The project promoter should have a minimum net worth of Rs. 3,000 crore in the preceding financial year (2023-24). It should have a credit rating corresponding to a high degree of safety regarding timely servicing of financial obligations and very low credit risk from credit rating agencies, authorized to operate in India.

Proposals from those agreeing to pay expertise fees @ 60 paise/kWh to NPCIL shall be considered.

The last date for the receipt of the RFP is 31.3.2025.

According to NPCIL, it had spent a total of Rs.2,361.81 crore for building a 2×200 MW PHWR plant in Rajasthan. The two units –RAPP 5 and 6- started commercial operations in 2010.

As per the notification calling for RFP, the nuclear power plant (NPP) assets of the industry setting up the BSR will be transferred to NPCIL for Re.1 for possession, control and operation & maintenance, and decommissioning.

However, the industry will have the right on the entire electricity generated net of auxiliary consumption.

There will be a tripartite agreement among project promoters, the Department of Atomic Energy (DAE), and NPCIL for leasing of fuel and heavy water. All expenses for the fuel and heavy water are to be borne by the BSR promoter.

The proposed BSR will be called a captive generating plant (CGP) and necessary amendments to the Electricity Act 2003 are under the government’s consideration.

According to NPCIL, the interested industries can offer brown or green fields for the atomic power reactor.

In the case the nuclear power plant promoter wishes to sell the electricity to other customers, the DAE will determine the tariff therefor as per the Atomic Energy Act, 1962 (especially Section 22 thereof) and such sale of power to another user will also be subject to other applicable State and Central Government regulations.

The entire funding, required for Capital Expenditure (Capex) and Operating Expenditure (Opex) (from pre-project to entire life cycle including reinstating the assets in case of any damage and decommissioning), is that of the project promoter.

According to NPCIL, the nuclear power plant promoter will undertake a preliminary site evaluation study, of land offered/proposed by him for construction of BSR, to assess the suitability of the site considering site selection guidelines of the Atomic Energy Regulatory Board (AERB) (mainly in respect of ensuring that the site does not fall under rejection criteria). The site suitability study is to be shared with NPCIL.

Once the site evaluation report is available, NPCIL will approach the DAE site selection committee for approval.

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The area of land required for twin unit 220 MW BSR is around 331 hectares considering an exclusion zone radius of 1 km and 87 hectares considering an exclusion zone of 0.5 km from the centre of both the reactors. The land required for the township including Central Industrial Security Force (CISF) colony will be additional.

According to NPCIL, all costs related to construction, operation, and maintenance of spent fuel management facilities within the plant including Away-from-Reactor (AFR) are to be borne by the project promoter. In case the AFR facility is planned as a common facility for a single user or multiple users, the cost will be borne by the single user or proportionally apportioned among multiple users as decided by DAE.

The fuel, spent fuel, and heavy water will belong to DAE at all times.

For the application of the Civil Liability for Nuclear Damage Act, 2010 (CLND Act) NPCIL shall be the operator and NPCIL will ensure appropriate compliance by taking suitable financial security or/and insurance policy therefor and the cost of such financial security or/and insurance policy shall be reimbursable to NPCIL by the project promoter.

(Venkatachari Jagannathan can be reached at venkatacharijagannathan@gmail.com

Venkatachari Jagannathan

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