The other ToT - India's L&T to Manufacture Heavy Nuclear Forgings for Areva's EPR Nuclear Reactors

[Chanakya's_Chant]

PM Narendra Modi's France visit sees Areva's nuclear plant agreement with NPCIL, L&T

The Areva-L&T pact was the highlight of the occasion following talks between Modi and Hollande at Paris on Friday evening, sources said. - A picture from the banquet hosted by President Hollande last evening.​

NEW DELHI: Prime Minister Narendra Modi's visit to France witnessed a landmark MoU for techno-commercial cooperation between Areva and Nuclear Power Corporation of India Ltd after years of negotiations and a key pact between the French nuclear giant with Larsen and Tourbo for making components in this country for setting up six advanced reactors at Jaitapur in Maharashtra.

The Areva-L&T pact was the highlight of the occasion following talks between Narendra Modi and Hollande at Paris on Friday evening, diplomatic sources told ET from France. Sources said the pact is part of Make in India initiative and this involves production of nuclear heavy forging in the country. This is critical for making of outer casket for nuclear reactors which Areva usually sources from Japan but is unable to do so for Indian market in the absence of Indo-Japan civil nuclear deal so far. This was agreed upon following strong push from both Modi and Hollande for 9,900-MW nuclear power plant, five years after the civil nuclear deal was signed by Delhi and Paris, according to diplomatic sources.

"The agreements to reduce the cost of nuclear power are very important for us to progress in our co-operation. This is representative of our deep trust in each other," Modi said in Hindi after the meeting late evening in Paris.

Areva, the French nuclear operator signed an agreement with Indian firm Larsen & Toubro to jointly manufacture nuclear components - a move that fits in with Modi's "Make in India" initiative aimed at encouraging domestic manufacturing.

But crucially, Indian production of key nuclear parts will likely also reduce manufacturing costs and the eventual burden on the taxpayers when India purchases reactors made from these components.

Finally, the Indian manufacture of nuclear components will yield something India has long craved - technology transfer from a key nuclear power. "We have no reason for any distrust in our relationship," Hollande said.

NPCIL and L&T in 2009 formed a joint venture company to produce special steels and ultra heavy forgings. The very heavy forging capacity in operation today is in Japan (Japan Steel Works), China (China First Heavy Industries, China Erzhong, SEC), France (Le Creusot), and Russia (OMZ Izhora). New capacity is planned in UK (Sheffield Forgemasters) and India (Bharat Heavy Electricals, Bharat Forge Ltd). And now following the L&T and Areva pact a key component will be domestically produced. French government claims that the reactors (European Pressurised Reactors) are expensive because of enhanced safety measures.

Addressing India's concern, France also came down heavily on cross-border terror.

Later Modi and French president Francois Hollande went on a boat ride on River Seine in what was dubbed as 'Naav Pe Charcha' (discussions during boat ride).

They agreed on dismantling terrorist infrastructure, denying safe heavens to terrorist and bringing perpetrators and conspirators of terrorist attacks to justice, sources informed.

Source:- PM Narendra Modi's France visit sees Areva's nuclear plant agreement with NPCIL, L&T - The Economic Times
French nuke shot in PM arm

 

[SR-91]

Awesome news.

India will now manufacture Crucial Nuclear components, Very Heavy Forgings and that too by a Indian Private Company.

This is big.

 

[Chanakya's_Chant]

Nuclear energy

17. Recalling the Memorandum of Understanding signed on 4 February 2009 between NPCIL and AREVA, the two leaders encouraged their commercial enterprises for an early conclusion of techno-commercial discussions on the proposal for construction of six 1650 Mwe nuclear power plants at Jaitapur, with due consideration to project viability andin the framework of an ambitious partnership for large and critical components. They also welcome the signing of the Memorandum of Understanding between AREVA and L&T, which will widen the scope of our industrial cooperation as well as the conclusion of Pre-engineering studies agreement. The two leaders also urged their atomic energy establishments to lay an ambitious foundation for the future of India-France civil nuclear cooperation, including a wide range of subjects, including in the area of civil nuclear liability.

Source:- India-France Joint Statement during the visit of Prime Minister to France (April 9-11, 2015)

​

The EPR is a third generation pressurized water reactor (PWR) design by Areva. In Europe this reactor design was called European Pressurized Reactor, and the internationalized name was Evolutionary Power Reactor, but it is now simply named EPR by Areva. The generation III EPR design are increased safety while providing enhanced economic competitiveness through improvements to previous PWR designs. The EPR was designed to use uranium more efficiently than older Generation II reactors, using approximately 17% less uranium per unit of electricity generated than these older reactor technologies. India's NPCIL has ambitions to build up to 9900MW at the Jaitapur site, equating to 6 EPRs. The construction work is to commence soon this year.

Probably the World's most SAFEST Nuclear Reactor.

EPR (nuclear reactor) - Wikipedia, the free encyclopedia​

 

[KIND]

The tech knowhow gained will be big. Thanks France.

 

[kaykay]

Thats great.

 

[indianBong]

this is seriously great..... getting a private party involved will improve quality and construction time....

 

[Capt.Popeye]

this is seriously great..... getting a private party involved will improve quality and construction time....

This is not the first time that L&T is involved in the Atomic Energy sector. They have been in the past too, starting with Tarapur in the early 1960s when original promoters of L&T; H.Holck-Larsen and Soren Toubro were still alive. Even Walchandnagar Industries worked there, when nobody believed that Indian Firms could do anything worth-while.

 

[indianBong]

This is not the first time that L&T is involved in the Atomic Energy sector. They have been in the past too, starting with Tarapur in the early 1960s when original promoters of L&T; H.Holck-Larsen and Soren Toubro were still alive. Even Walchandnagar Industries worked there, when nobody believed that Indian Firms could do anything worth-while.

thanks for the info... didn't know this....

 

[Capt.Popeye]

thanks for the info... didn't know this....

They worked as sub-contractors and vendors for GE and Bechtel who were the Plant suppliers and prime contractor respectively.

 

[SuperSubrayan]

This has to be done as this source of energy from France is usually 8-9 rupees per unit .So it had to be domestically produced to bring down the cost. Wonder what will be the cost per Unit now. Areva technology is too complex and if I may be very precise safety was a head to some country they had ToT I guess . Not sure though . Since we are carving for this kind of Nuclear TOT our nuclear technologies will be far more advanced and complex than the Chinese

 

[micky]

This has to be done as this source of energy from France is usually 8-9 rupees per unit .So it had to be domestically produced to bring down the cost. Wonder what will be the cost per Unit now. Areva technology is too complex and if I may be very precise safety was a head to some country they had ToT I guess . Not sure though . Since we are carving for this kind of Nuclear TOT our nuclear technologies will be far more advanced and complex than the Chinese

what is the unit price now in india..... i think 2.5 or 3 right........
does it mean we have to pay a lot..........

 

[SuperSubrayan]

what is the unit price now in india..... i think 2.5 or 3 right........
does it mean we have to pay a lot..........

Am not sure as there is no clarity on this issue. French Nuclear technology is very costly than Russian or American. Russians are the cheapest at 2-3 rs per unit. And deal signed with US is more likely 4-5 per unit. But french plant will cost 8-9 per unit (imported) So we have to make the equipments needed for the construction of this power plant at home. We are planning to build 6 reactors worth 10000 MW I guess. Hence we have roped in L&T so the cost might come down at least close to Americans . This deal is costly but we are doing it to into Nuclear Suppliers Groups with support of these Nuclear powers. Thus putting pressure on China to accept our entry into NSG without signing up for constant Inspection and to track our used nuclear material . Which can be used for making Nuclear weapons

Great move by Modi G . US, France, Russia, Auzzie, Japan, Canada , German all will support our permenant UNSC & NSG

 

[Paranoid Android]

That's a wet dream cum true..

 

[9%GDP_Growth]

L&T was prime contractor for Russian reactor at Kundalam. Wonder which other company can partner with Westinghouse for their reactor- Godrej or none.

 

[Chanakya's_Chant]

what is the unit price now in india..... i think 2.5 or 3 right........
does it mean we have to pay a lot..........

The cheapest per unit electricity produced (kWh) in India comes out of our indigenous nuclear power plants which supply electricity to the grid at a fixed tariff of Rs. 3.43 per unit (RAPS -5).

Unit-5 at Rawatbhata, a Pressurised Heavy Water Reactor (PHWR) made at a cost of Rs. 1200 crore in 2010 which ran for 739 days at a stretch. In this 765-day period, the reactor produced about 4258 million units of electricity, lighting up nearly 2.5 million homes in Rajasthan and Uttar Pradesh. The NPCIL earned Rs. 1225 crore by selling the electricity generated by the Rawatbhata plant. According to estimates, this was more than the cost of installing the plant. The reactor is expected to run for a full life of more than 40 years. Every year, the cost of fuelling and maintaining it comes to about Rs. 230 crore and it supplies electricity to the grid at a fixed tariff of Rs. 3.43 per unit.

The second most cheapest are the Russian Nuclear Reactors at KNPP which supply electricity at price of 4.29 per unit.

The third are the French Reactors at the proposed Jaitapur Nuclear Power Plant (JNPP) in Maharashtra is around Rs 9 per unit. (Costs may come down after this agreement)

And the most expensive are the American Reactors at the proposed Mithi Virdhi Nuclear Power Project is around Rs 12 per unit.

In effect, power from the NPP's is cheaper than power purchased from private thermal plants as well as other plants using oil and gas as fuel. Power from other sources cost between 3.15 per unit (wind energy) to 12 per unit (power generated using gas, diesel and naphtha).

The best way out is to go indigenous.