India Inc expects huge business opportunities to open up with the Nuclear Supplier's Group sanctioning an India specific waiver on Saturday.
The Confederation of Indian Industry said India will become a manufacturing hub for components and supporting industrial products of nuclear reactors. In a statement, director general Chandrjeet Banerjee said: "the deal will help India sustain higher GDP growth as 53,000 Mw of electricity needed would be met through nuclear energy by year 2030".
On its part, the Federation of Indian Chambers of Commerce and Industry hailed the deal saying it would open the doors for foreign investment in India and usher the country into the global nuclear club. "The deal will enable India to get nuclear fuel for its reactors, which have been running at almost half their capacity. Not just the United States, but France, Russia and Australia will also become suppliers of nuclear fuel to India", a Ficci statement claimed.
Associated Chambers of Commerce and Industry of India president Sajjan Jindal said the NSG waiver was a result of the collective diplomatic efforts.
The PHD Chamber of Commerce and Industry said the waiver was a significant step towards India's energy security and hoped the US Congress would fast track approval of the India-US nuclear deal. LK Malhotra, president, said the country's energy deficit has been increasing over the years.
"During the 12th Five Year Plan, additional energy generation from all sources is targeted at 78,500 Mw, which is very ambitious taking cognisance of the fact that total energy augmentation for the last few five year plans was much below the targeted generation for the 12th Plan. This would require tapping of all resources optimally, particularly nuclear energy", he said in a statement.
Malhotra hoped that once the process of approval of the nuclear deal is completed, there would be private-public participation for installation of nuclear plants.
Analysts said for the investment potential of the India-US nuclear deal to be realised, a key domestic policy amendment in the form of allowing private sector participation is necessary. At present, private sector as well as foreign investment in the atomic energy sector is completely banned.