Date : 10/08/2023

Relevance: GS Paper 3- Nuclear Energy

Keywords: Decarbonization, UN Sustainable Development Goal 7, International Energy Agency, Net-Zero emissions- 2070

Context-

Amidst the global imperative to combat climate change and meet UN Sustainable Development Goal 7, the challenge of decarbonizing the power sector looms large. This task requires a holistic approach that transcends the limitations of intermittent renewable energy sources. While renewable technologies play a vital role, augmenting them with reliable, continuous low-carbon electricity is pivotal. In this context, Small Modular Reactors (SMRs) emerge as a promising solution for India, offering a pathway to bolster grid stability, enhance energy security, and expedite the transition to a net-zero carbon economy. This comprehensive exploration delves deeper into the intricacies of SMRs, illuminating their distinct advantages over conventional nuclear power plants (NPPs), their seamless integration into India's evolving energy landscape, and the pivotal legal and regulatory reforms imperative for their successful implementation.

Addressing the Challenges of Decarbonization:

• The transition from coal-driven energy systems to cleaner alternatives is riddled with multifaceted challenges. While renewable energy technologies have made substantial strides, their intermittent nature necessitates a dependable baseload power source.
• According to the International Energy Agency, the demand for critical minerals like lithium, nickel, cobalt, and rare earth elements, required for clean-energy production technologies, is likely to increase by up to 3.5 times by 2030. This jump poses several global challenges, including large capital investments to develop new mines and processing facilities.
• The environmental and social impacts of developing several new mines and plants in China, Indonesia, Africa, and South America within a short time span, coupled with the fact that the top three mineral-producing and mineral-processing nations control 50-100% of the current global extraction and processing capacities, pose geopolitical and other risks.

What are the issues with nuclear power?

• Nuclear power plants (NPPs) generate 10% of the world’s electricity and help it avoid 180 billion cubic meters of natural gas demand and 1.5 billion tonnes of CO2 emissions every year. Any less nuclear power could make the world’s journey toward net zero more challenging and more expensive.
• NPPs are efficient users of land and their grid integration costs are lower than those associated with variable renewable energy (VRE) sources because NPPs generate power 24x7 in all kinds of weather. Nuclear power also provides valuable co-benefits like high-skill jobs in technology, manufacturing, and operations.
• Conventional NPPs have generally suffered from time and cost overruns. As an alternative, several countries are developing small modular reactors (SMRs) nuclear reactors with a maximum capacity of 300 MW to complement conventional NPPs. SMRs can be installed in decommissioned thermal power plant sites by repurposing existing infrastructure, thus sparing the host country from having to acquire more land and/or displace people beyond the existing site boundary.

What are the advantages of SMRs?

• SMRs are designed with a smaller core damage frequency (the likelihood that an accident will damage the nuclear fuel) compared to conventional NPPs.
• They also include enhanced seismic isolation for more safety. SMR designs are also simpler than those of conventional NPPs and include several passive safety features, resulting in a lower potential for the uncontrolled release of radioactive materials into the environment.
• The amount of spent nuclear fuel stored in an SMR project will also be lower than that in a conventional NPP.
• Studies have found that SMRs can be safely installed and operated at several brownfield sites that may not meet the more stringent zoning requirements for conventional NPPs. The power-plant organization can also undertake community work, as the Nuclear Power Corporation did in Kudankulam, Tamil Nadu before the first unit was built.
• Accelerating the deployment of SMRs under international safeguards, by implementing a coal-to-nuclear transition at existing thermal power-plant sites, will take India closer to net zero and improve energy security because uranium resources are not as concentrated as reserves of critical minerals.
• Most land-based SMR designs require low-enriched uranium, which can be supplied by all countries that possess uranium mines and facilities for such enrichment if the recipient facility is operating according to international standards.
• Since SMRs are mostly manufactured in a factory and assembled on-site, the potential for time and cost overruns is also lower. Further, serial manufacture of SMRs can reduce costs by simplifying plant design to facilitate more efficient regulatory approvals and experiential learning with serial manufacturing.
• Since SMRs are designed to operate for more than 40 years, the levelised cost of electricity is $60-90 per MWh. The figure is expected to drop rapidly after 2035, when the SMRs ordered by a number of east-European countries from NuScale and GE Hitachi are expected to come online. The costs will decline steepest for India when reputed companies manufacture SMRs. This at least was the reason SMRs were included in the U.S.-India joint statement after Prime Minister Narendra Modi met U.S. President Joe Biden in June 2023.

SMRs: Catalysts for India's Energy Transformation:

• SMRs possess transformative capabilities that can reshape India's energy landscape. With their enhanced safety and simplified design, SMRs can be safely deployed on brownfield sites, circumventing stringent zoning requisites that conventional NPPs encounter. The utilization of low-enriched uranium aligns with India's domestic resources and global standards. Furthermore, the modular assembly process mitigates time and cost overruns, positioning SMRs as an economically prudent choice. As India embarks on its ambitious journey to achieve net-zero emissions by 2070, SMRs could act as a pivotal force in elevating nuclear power's contribution.

Necessary Legal and Regulatory Reforms:

• To fully unlock SMR benefits, a strategic overhaul of the legal and regulatory framework is imperative. The revision of the Atomic Energy Act to accommodate private sector participation in SMR deployment is pivotal. Balancing safety and security, government control over nuclear fuel and waste must be maintained.
• Simultaneously, an autonomous regulatory body equipped with specialized expertise is essential to oversee the entire nuclear power generation cycle.
• Collaborative efforts between nations and international organizations can ensure standardized regulations and expedited approvals, fostering a conducive environment for SMR implementation.

Seamless Integration into India's Grid:

• The Central Electricity Authority's projections illuminate the need for a diversified power generation portfolio in India. While coal-based thermal power plants and renewable energy sources are poised to play pivotal roles, SMRs can bridge the gaps.
• The CEA also projects that TPPs will provide more than half of the electricity generated in India by 2031-2032 while VRE sources and NPPs will contribute 35% and 44%, respectively. Since India has committed to becoming net zero by 2070, the country’s nuclear power output needs a quantum jump. Since the large investments required for NPP expansion can’t come from the government alone, attracting investments from the private sector (in PPP mode) is important to decarbonize India’s energy sector.

Fostering Public Perception and Trust:

A critical aspect of SMR adoption is cultivating public trust in nuclear power. Transparent dissemination of comprehensive environmental and public health data, in tandem with international safeguards, can address concerns and foster acceptance. By adhering to stringent safety protocols and regulatory frameworks, SMRs can instil confidence, portraying nuclear energy as a viable and secure component of India's energy mix.

Conclusion:

In the pursuit of a carbon-neutral future, Small Modular Reactors emerge as a beacon of innovation and progress. Their unique attributes, seamless integration, and potential for private sector involvement hold the promise of reshaping India's energy trajectory. By embracing SMRs and enacting essential legal and regulatory reforms, India can forge a path towards net-zero emissions, robust energy security, and a sustainable future that benefits both the present and future generations.

Source : The Hindu