Aluminium major, Nalco has decided to drop its plan to foray into nuclear energy generation.
The company had signed a memorandum of understanding (MoU) with Nuclear Power Corporation of India (NPCIL) in 2012 to set up two units of Kakrapara Atomic Power Station in Gujarat with capacities of 700 MW each. The cost of the project was estimated at Rs 12,000 crore. According to the joint venture agreement, Nalco would have a 26 percent stake in the new entity — NPCIL-Nalco Power Company.
The company has now decided to pull out of the JV with NPCIL, following change in technology of the project.
NPCIL and Bharatiya Nabhikiya Vidyut Nigam are the two government of India-owned companies authorised to set up nuclear power plants in the country. They are responsible for design, construction, commissioning and operation of thermal nuclear power plants.