Areva in 'full-scale' talks with NPCIL for n-plants

Mumbai: French nuclear energy equipment supplier Areva SA is "in the middle of full-scale discussions" with Indian nuclear utility, the Nuclear Power Corp of India Ltd (NPCIL) to build nuclear power plants in India, according to Arthur de Montalembert, heading the company's India operations.

Areva's positive approach differs radically with that of its US rivals, which have gone slow on their Indian plans due to concerns over a freshly legislated domestic nuclear liability law.

Areva's talks with NPCIL may provide the French state-controlled nuclear equipment supplier an edge over its US rivals, GE Hitachi Nuclear Energy and Westinghouse Electric Co.

Both these Japanese owned US MNCs have delayed their India operations after the Indian parliament adopted laws that makes both equipment suppliers and plant operators liable for accident compensation claims.

Equipment suppliers eyeing India's multi-billion-dollar nuclear power market have sought changes in the law, but it is unlikely that the government will oblige as it is in no position to buck domestic sentiment against industrial concerns that pay scant heed to their liabilities to people in the case of an industrial accident.

Analysts feel, however, that the government may address some of their concerns when introducing regulations to implement the law later this year.