India, France seal $9.3-bn deal for two N-power plants

New Delhi: India and France on Monday signed a framework agreement for construction of two 1650 MW nuclear power reactors in Maharashtra. They plan to construct as many as six of these European Pressurized Reactors (EPR) at an approximate cost of $25 billion.

Agreements have been signed and clearances granted for the first two nuclear power plants.

The reactors are third generation advanced reactors designed  along with Electricité de France (EDF) and Siemens AG in Germany.

The agreement was signed in the presence of French president Nicolas Sarkozy and Indian prime minister Manmohan Singh. The deal for the two reactors is valued at about $9.3 billion.

The agreement initiates the process of sealing agreements with international firms for as many as 20 nuclear reactors as India scrambles to enhance power generation to meet soaring demand.

The Indian economy is one of the fastest growing in the world ranking behinds that of worl leader China.

The Indian prime minister, however, made it clear that issues related to the pricing of power and other technical matters were yet to be settled.