NTPC Plans to Replace Old Coal Plants with Small Nuclear Reactors

India’s top power producer is setting its sights on the future by turning to small modular reactors (SMRs) to replace ageing coal plants. As per reports by Reuters, the company has taken a bold step towards cleaner energy by calling for consultants to carry out feasibility studies for the development of SMRs. These compact nuclear reactors are simpler in design compared to traditional nuclear plants and can be scaled according to energy demand.

Moving Away from Coal

The company mainly operates coal-based power plants and is now looking to retire several of them over the next 5 years. These outdated units, which currently form a large part of its 63 GW coal power capacity, are expected to be gradually phased out and replaced with SMRs. This transition is part of a larger effort to reduce dependency on fossil fuels and make way for cleaner, more sustainable power sources.

India’s First Step Towards Small Nuclear Reactors

This initiative marks a significant moment for the country’s nuclear energy space. Although other companies have shown interest in building SMRs, this is the first official move in the form of a tender. According to Reuters, the proposal is also aligned with the government’s recent plans to amend nuclear liability laws, making it easier for foreign and private companies to invest in the sector.

India currently has about 8 GW of nuclear energy capacity, all operated by a state-run corporation. However, the goal is to reach 100 GW by 2047. NTPC’s decision to explore SMRs is expected to contribute meaningfully towards that target.

Strategic Investments and Global Collaboration

As part of this shift, the power producer is also reported to be in talks with several international firms, including those from Russia and the United States, to help develop SMRs in India. Alongside this plan, the company is also working on two large-scale nuclear projects with a combined capacity of 5.2 GW and aims to build a total of 15 GW of nuclear capacity over time.

Looking ahead, it has laid out a roadmap to build 30 GW of overall capacity by 2034. This investment, estimated at $62 billion, underlines its long-term vision to lead India’s energy transformation.

Growth Beyond Nuclear

The company is not only focusing on nuclear energy but also expanding across other clean energy platforms. It has ventured into renewable energy with 15 GW of renewable capacity currently under construction. Its broader goal is to achieve 60 GW of renewable energy capacity by 2032. Additionally, it is exploring areas such as e-mobility, green hydrogen, battery storage, and waste-to-energy technologies.

NTPC Share Price Today

Despite NTPC’s ongoing efforts to modernise its energy portfolio and invest in clean technologies, investors remain cautious. As of 10:15 AM on April 9, 2025, NTPC’s share price was trading at ₹352.70, down slightly by 0.11%, with a market capitalisation of ₹3.42 lakh crore. 

The company recently reported a 3.88% rise in power generation in FY25 compared to the previous year, with total generation touching 438.6 billion units. Its installed capacity also grew by nearly 4 GW in FY25, reaching an impressive 80 GW, showcasing its consistent efforts in expanding infrastructure.

Conclusion

The plan to replace coal-fired plants with small nuclear reactors highlights a major shift in India’s approach to power generation. By moving forward with SMRs, the company is not only investing in new technology but also setting a precedent for other energy players in the country. With a growing emphasis on clean, reliable, and scalable power, this move could play a key role in shaping India’s energy landscape for decades to come.

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