1. Nuclear power: Westinghouse to miss deadline to firm-up India deal

Nuclear power: Westinghouse to miss deadline to firm-up India deal

The contract, when finalised and put into action, is expected to give a big boost to India’s $150-billion nuclear power programme.

By: | Updated: May 2, 2017 6:06 AM
Toshiba, Westinghouse-Toshiba nuclear reactors deal, Westinghouse Electric Company, Narendra Modi, Barack Obama, Exim Bank The contract, when finalised and put into action, is expected to give a big boost to India’s 0-billion nuclear power programme. (Source: Reuters)

India has asked Japanese company Toshiba to offer ways to resolve the issue of sale of nuclear reactors following bankruptcy of its US-based Westinghouse Electric Company. The Westinghouse-Toshiba nuclear reactors deal for making six reactors was to be negotiated by June 2017 but that deadline is sure to fall through, Indian officials told FE.

“The US-based Westinghouse Electric Co filed for bankruptcy protection in March this year. We have to wait for the company to come up with solutions to meet the June deadline,” an official who didn’t want to be named said. According to the official: “Though no money has exchanged hands, and with techno-commercial negotiations of the deal at an advanced stage, any delay or even a cancellation from the US-based company will impact India’s target of tripling its nuclear generating capacity by 2024”.

The contract, when finalised and put into action, is expected to give a big boost to India’s $150-billion nuclear power programme. Prime Minister Narendra Modi and former US president Barack Obama had announced at a summit last year that the Westinghouse deal should be finalised by June 2017. Westinghouse has already been allotted a site in Gujarat to build a nuclear power station with total capacity of 2,500 MW and possibility of expansion in future.

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Similarly, two sites have also been identified for GE plants in Andhra Pradesh with an initial capacity of 3,200 MW. “Before the Prime Minister visits US this summer, there will be series of meetings to address this situation and come up with a solution,” the official added. India is also negotiating with US’ Exim Bank for loan of around $8-9 billion to part-fund building of the reactors. Both parties are negotiating the terms of the loan in the hope that the problem will be sorted out soon.

  1. Arvind Baba
    May 16, 2017 at 5:20 pm
    The breakdown of the US-India nuclear deal exposes a comprador mentality. The mother of all ironies was that the greedy Americans extracted out of us an additional promise as well that we would import reactors exclusively from their vendors to manufacture 20,000 MW of power. In sum, we promised to be a captive market for their vendors in the downstream of the nuclear deal. Now their vendor is pul down shutters and claiming bankruptcy. This must be God’s wrath.
    Reply
    1. Aazar Kund
      May 5, 2017 at 1:18 pm
      India is working on comprehensive nuclear power generation plan. Yet, its still unprepared to deal with any kind of nuclear accident like ushima. It may lose its huge population in case of nuclear accident.
      Reply
      1. E
        Eva
        May 3, 2017 at 11:14 am
        The above story is actually a hind for the western countries who are willing to do business with India in the realm of nuclear technology. India's incapability to deal with technology and that's too with nuclear technology can be seen in the way it handles its kudankulam nuclear power plant and likely others power reactors which are still not upgraded and not producing the desired demand of electricity due to technological fall-outs. This is quite embarr ing to see that the country who seems to be making bigger claims about its achievements in nuclear power sector is in fact making the world a fool.
        Reply
        1. swapnil patil
          May 5, 2017 at 1:30 pm
          I guess without having proper knowledge about India's Nuclear Program & International Politics your commenting like this. India's Incapability: 1. India has widely recognized 3 Stage Nuclear Power Program. 2. India has indigenously developed its Nuclear Weapons without stea any technical do ents from any country....you should check out stan's & North Korea's history. 3. India has indigenously developed PHWR & Fast Breeder Reactor. 4. Unit 5 of the Rajasthan Atomic Power Station on 7 September 2014 became the second longest running reactor in the world. 5. India contributed $ 1 million to IAEA's Nuclear Security Fund in 2013 Back to your prime concern: With this India-USA nuclear deal, there is a win-win situation for both. Westinghouse was on the verge of bankruptcy & India wanted to have more uranium fuel for the development. With this deal US based Westinghouse got a "JOB" & in return USA will support India for NSG membership. FYI: India is not a part of NPT & NSG. JH
          Reply
        2. Nuña Bidness
          May 3, 2017 at 2:17 am
          The Indian's really do NOT want to build those GE plants since GE isn't willing to do the kind of stupid that Westinghouse was willing to do to close a deal.
          Reply
          1. swapnil patil
            May 5, 2017 at 1:36 pm
            Partially right. Yes GE isn't wil to support "BANKRUPT" Westinghouse because of India's strong Liability Act. Thing is, with this deal there is a win-win situation for both. Westinghouse got a "JOB" & in return USA will support India for NSG membership. Jai Hind
            Reply
          2. Anaya Shahid
            May 2, 2017 at 9:37 pm
            The nuclear deal with India was never a suitable option, it will only bring economic loss and nuclear disaster. Indian nuclear team is not capable enough to handle latest technologies along with their military any mishap and liability law will become an issue. Instead Westinghouse will lose its left credibility whatsoever after Indian deal.
            Reply
            1. swapnil patil
              May 5, 2017 at 1:42 pm
              1. Is there any Nuclear Disaster in India? I hope u know about Three Mile Accident 2. Unit 5 of the Rajasthan Atomic Power Station on 7 September 2014 became the second longest running reactor in the world. 3. India has developed PFBR
              Reply
            2. C
              Chettupuzha Joseph
              May 2, 2017 at 5:48 pm
              Nuclear power is too expensive in today's world. We should skip the plants and focus on other technologies. We are acting desperate instead of the other way round. Their technology is untested and it is because of this the the projects in US were dela to such an extent that the company went bankrupt. Drowning parent Toshiba as well. This will end up as an other American Dream in India The great ENRON Dream. Indian Banks/ people finally Lost. In America Toshiba lost.
              Reply
              1. Nuña Bidness
                May 3, 2017 at 2:18 am
                You really don't know what you are talking about, do you?
                Reply
                1. swapnil patil
                  May 5, 2017 at 1:37 pm
                  too expensive LOL
                  Reply
                2. U
                  Udhishtir
                  May 2, 2017 at 8:28 am
                  When the "line" is dead, there need be no tears for "missing" it!! India should instead build PHWRs, which have been indigenously developed, world-cl , proven successful, economically and safely operating at several sites in India. IMPORT of enriched uranium reactors is not in our country's interests and flouts Make-in-India policy because many of the parts for these reactors can be only be made by firms in an. Building Indian PHWRs will also enhance Make-in-India policy.
                  Reply
                  1. swapnil patil
                    May 5, 2017 at 1:43 pm
                    Uranium Please to run PHWR....
                    Reply
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