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Customs duty waived on nuclear power imports till January 31 2026 under Customs Act, 1962, waiver to apply retrospectively to imports made since April 2019

Written By mediavigil on Saturday, June 13, 2026 | 3:21 AM

Department of Revenue, Ministry of Finance, Government of India has issued Notification No. 53/2026-Customs (N.T.) dated June 11, 2026, under Section 28A of the Customs Act, 1962, directing that customs duty shall not be required to be paid on imports of goods for generation of nuclear power falling under tariff item 84013000 for the period from April 1, 2019, to January 31, 2026. In effect, the union government has gone back in time to erase the customs duty.

No government cleans up seven-year-old liabilities without a reason.

The notification states that Notification No. 45/2025-Customs dated October 24, 2025, as amended by Notification No. 02/2026-Customs dated February 1, 2026, had allowed duty-free import of such goods under serial number 227A. 

The Government noted that a practice of non-levy of customs duty on these goods was generally prevalent during the specified period and, exercising powers under Section 28A, has directed that any customs duty payable on such imports during the period shall not be required to be paid.

Earlier, Union Minister of State (Independent Charge) for Science & Technology and Earth Sciences, and Minister of State in the Prime Minister’s Office, Personnel, Public Grievances and Pensions, Atomic Energy and Space, Dr. Jitendra Singh, in a written reply in the Lok Sabha on March 11, 2026 informed that the Zero customs duty on the imports of goods required for nuclear power projects will result in reduction of the project cost and the unit cost of electricity generated. This will make the projects more viable. 

Dr. Singh was responding to questions posed to the Prime Minister by Shrirang Appa Chandu Barne, Naresh Ganpat Mhaske, Bharti Pardhi, Dr. Shrikant Eknath Shinde and Ravindra Dattaram Waikar seeking "(a) the details of benefits and advantages of the zero customs duty on imports for nuclear power projects announced in the Union Budget 2026-27; (b) the objectives sought to be achieved through this tax exemption in terms of project viability, cost reduction, timely capacity expansion and overall strengthening of the nuclear energy sector; (c) the categories of equipments, components or technologies covered under the zero-duty regime including reactors, turbines and related systems; (d) the manner in which this measure is expected to facilitate timely execution of upcoming nuclear power projects and attract domestic and foreign investment; and (e) the manner in which this incentive aligns with long-term national goals of clean energy transition, energy security and low-carbon growth along with the expected impact on India’s nuclear energy capacity?"

On behalf of the Prime Minister, Dr. Singh replied: "(a) The Zero customs duty on the imports of goods required for nuclear power projects will result in reduction of the project cost and the unit cost of electricity generated. This will make the projects more viable. (b) The customs duty exemption on imports of goods required for Nuclear Power Projects will make the projects more economically viable and result in reduced tariffs for the consumers. This will also enable wider private participation in backdrop of SHANTI Act, 2025. (c) The categories of equipment expected to be covered under the zero custom duty regime are critical equipment such as Reactor Pressure Vessels (RPVs), Steam Generators (SGs), Pressurizers, Turbines and other related equipment for Light Water Reactors being set up with foreign cooperation (d) The custom duty exemption on imported components will reduce timelines involved in custom clearances and result in faster deliveries of equipment to projects. (e) The customs duty exemption will augment addition of nuclear energy at faster pace thereby achieving the goals of 100 GW nuclear energy capacity by 2047 and clean energy transition towards Net Zero carbon emissions by the year 2070."

Press Information Bureau (PIB) had issued a press release in this regard but it had decided to omit the names of the MPs who posed the question. It also chose to ignore the fact that the questions were addressed to the Prime Minister.   

Responding to questions posed to Prime Minister by Dr. Shahsi Tharoor, Dr. Singh had laid a statement on table of the House on December 3, 2025. It reads: "During Budget 2025 announcement, the Government has announced that active private sector participation will be facilitated by undertaking amendments to Civil Liability for Nuclear Damage (CLND) Act 2010 and the Atomic Energy Act 1962." Instead of amending these acts, they have been repealed and replaced by SHANTI Act.   

Replying to the question of Dr. Thirumaavalan Tholkappiyan addressed to the Prime Minister as to whether the Government has done any research for the safe production of atomic energy,  on April 2, 2025, Dr. Singh informed the Lok Sabha that "Department of Atomic Energy (DAE) has done extensive research for the safe production of atomic energy. Highest priority is accorded to safety in all aspects of nuclear power viz. siting, design, construction, commissioning and operation. Nuclear power plants are designed based on the paramount safety principles of defence in depth, Redundancy, Diversity and Fail-safe design features; thus, ensuring multiple barriers between the source of radioactivity and the environment. The operations are performed through well laid out procedures by highly qualified, trained and licensed personnel. Bhabha Atomic Research Centre (BARC) a constituent unit of DAE, has done extensive research & is providing technological support to Nuclear Power Corporation of India Limited (NPCIL) for safe operation of Pressurized Heavy Water Reactor (PHWR) based Nuclear Power Plants (NPPs) under normal and off-normal conditions. The research field includes development of reactor materials, effect of irradiation on materials, nuclear & radiation monitoring instrumentation, reactor control system and many more. The plant safety is ensured through R&D done for structural integrity, thermal hydraulic and radiation safety. The research ensured defence in depth philosophy practiced in NPP design and operations. R&D is also done for other operating reactors on similar line to ensure safe operation. Similarly, Indira Gandhi Centre for Atomic Research (IGCAR) has done extensive research on Fast Breeder Reactor technology."

Responding o questions posed to Prime Minister by Sasikanth Senthi on April 1, 2026, Dr. Singh informed the Lok Sabha that "The SHANTI Act which has received the assent of President of India on 21st December, 2025 allows private sector participation for setting up a nuclear facility, or to carry out activities for the production, use and disposal of nuclear energy under a license from the Central Government and safety authorization of the Regulatory Board. This Act has been enacted for the promotion and development of nuclear energy and ionising radiation for nuclear power generation, and other non-power applications, and for its safe and secure utilisation. This Act also has provisions for civil liability for nuclear damage in case of any nuclear incident in the nuclear installation. The SHANTI Act has aligned the civil liability for nuclear damage with international liability regime. It provides a pragmatic and graded approach for nuclear damage liability from 100Cr to 3000Cr based on the type of nuclear facility. The principal for payment compensation for the nuclear damage is prompt payment by operator with strict and no-fault liability. Above operator’s liability, Government of India’s liability is upto 300 million SDR. Above this liability, Government can seek from Convention on Supplementary Compensation which is an international Convention to which India is party."

Dr. Singh added: "Government of India has established the Atomic Energy Regulatory Board (AERB) by a statutory order (S.O. 4772), to carry out certain regulatory and safety functions envisaged under Section 16, 17 and 23 of the Atomic Energy Act, 1962. Atomic Energy Regulatory Board (AERB) is empowered to lay down safety standards and frame rules and regulations for regulatory and safety envisaged under the Act. Nuclear Power Plants (NPPs) in India are sited, designed, constructed, commissioned & operated in conformity with relevant nuclear safety requirements including environmental safety. Highest level of nuclear safety is ensured in the NPPs, which is verified through systematic multi-tier safety review in AERB and periodic regulatory inspections of NPPs carried out by AERB. In case any deviation is noticed, AERB enforces suitable corrective/ remedial measures. The Parliament has recently passed the SHANTI Act, 2025 which envisages participation of private entities in the nuclear sector. The regulatory framework and requirements of AERB are generally entity and technology neutral. Therefore, the same regulatory framework can be utilised for safety regulation of any Nuclear Power Project irrespective of the entity involved (Private/Public). (e) AERB has established criteria for reporting of nuclear incidents by the licensee. As per the recently passed SHANTI Act, 2025, AERB is required to provide its recommendations to the Central Government for notifying such nuclear incidents, within 15 days from the date of occurrence of the nuclear incident."

Replying to questions from Rao Rajendra Singh addressed to the Prime Minister, Dr. Singh informed:"management of nuclear waste that will be generated from the planned expansion to 100 GW by 2047 is in line with current waste management practice. Nuclear wastes arising from nuclear power plants and fuel cycle facilities are safely disposed/managed under the provisions of “The Atomic Energy Act. 1962”, subsequent amendments and the Atomic Energy (Safe Disposal of Radioactive Wastes) Rules 1987. As a waste management philosophy, no waste in any physical form is released/disposed to the environment unless the same is cleared, exempted or excluded from regulations.A comprehensive radioactive waste management is established taking into account the operational capability for the management of radioactive waste and an independent regulatory capability for its overview. Radioactive wastes generated at nuclear power plants, during their operation, are of low & intermediate activity level and are managed at the site itself. These wastes are treated, concentrated, compacted, immobilized in solid materials like cement and disposed in specially constructed structures such as reinforced concrete trenches and tile holes, located at the site. The disposal facilities are kept under constant surveillance with the help of bore-wells laid out in a planned manner by routinely monitoring the underground water and soil samples to confirm effective confinement of radioactivity present in the disposed waste. This practice is at par with international practices following the guidelines of International Atomic Energy Agency (IAEA)." 

Dr Singh added: "Post 2025-26 budget announcement, a Roadmap for achieving the goal of 100 GW of Nuclear Capacity by 2047 has been actively deliberated by a committee that has reviewed all the relevant aspects, including management of nuclear waste. For successful lift-off of Nuclear Energy Mission, a host of ground-preparatory activities are to be completed, say within a tight time frame of 5 to 7 years, towards policy, legal and regulatory reforms, in all related areas of nuclear power generation including Spent Fuel Reprocessing & Waste Management, among others."

De informed the Lok Sabha: "Typically, radioactive solid wastes arising from nuclear power plants which are to be disposed at site during the life time including decommissioning is within 0.15 cubic meters/year/MW. Records of radioactive wastes are regularly filed with regulatory authority regarding quantity and location of such waste disposed."

He added: "India follows a closed nuclear fuel cycle for recovery of fissile material and reduce the burden of nuclear waste management, where domestic spent fuel is reprocessed and most of its components are recycled back as fuel for future reactors. High-level radioactive waste generated during reprocessing is immobilised into an inert glass matrix by vitrification and stored in Solid Storage Surveillance Facilities for interim storage at par with international practices following the guidelines of International Atomic Energy Agency (IAEA). Research and development are in progress on partitioning technologies, for recovery of long-lived radioactive constituents and separation/ extraction of the useful radioisotopes for societal application for waste volume reduction, and incineration of long-lived actinides to inactive or short-lived radioactive wastes is likely to obviate the need for a Long-Term Disposal in the decades
to come."

Dr Singh pointed out that "Nuclear Energy Mission announced during Budget 2025-26 intends to create an outlay of INR 20,000 Crores, specific to development of SMRs which will cater to the funding requirement for Research & Development. The mission of 100 GW by 2047 and associated fuel cycle activities (includes nuclear waste management) will require an enormous funding to carry out its implementation which has to be met by extra-budgetary resources as well as private financing. To ease the massive funding requirements for unprecedented nuclear energy growth, at the policy level Nuclear energy’s role as part of climate action is recognized in India’s Climate Finance Taxonomy (Draft), which will make nuclear eligible for climate finance, thereby easing out the requirement for finance in bringing new nuclear plants and associated fuel cycle facilities." 

Answering questions posed to the Prime Minister by Eswarsamy on March 12, 2025, Dr. Singh informed that "A well established waste management system is in place at all the nuclear power plant sites, including Kudankulam site. The wastes generated at the nuclear power stations during their operation are of low and intermediate radioactivity level. These wastes are appropriately treated, concentrated and subjected to volume reduction. The concentrates are immobilized in inert materials like cement, bitumen, polymers etc. and stored in specially constructed structures (near surface disposal facilities) located at the site under monitoring. The treated liquids and gases are diluted and discharged under continuous monitoring, ensuring that the discharges are well within the stipulated limits set by Atomic Energy Regulatory Board (AERB). The radioactivity level of the stored wastes reduces with time and by the end of the plant life, falls to very low levels. The releases are also monitored by the AERB."

Notably, the Government has announced an ambitious Nuclear Energy mission with a target of reaching a nuclear power capacity of 100 GW by 2047.  1 gigawatt (GW) is 1,000 megawatts (MW).  As of February 11, 2026,  there are 24 nuclear power plants (excluding RAPS-1) in commercial operation in the country with a total capacity of 8,780 MW built in over 70 years. NPCIL runs all the reactors. In order to meet its ambition, it will have to build one large reactor every nine weeks from the 2030s at a cost of Rs 23 to Rs 25 lakh crore. 

Will firms like L&T, BHEL, MTAR, Kirloskar Brothers, Walchandnagar Industries, HCC, WPIL, PTC Industries, Godrej & Boyce,  Admach Systems, Holmarc Opto-Mechatronics, Unimech Aerospace, Core Energy Systems, Tema India, Saisidha Sugar Equipment, Echaar Equipment, Bengal Industries, Raj Kesari Electrodes, Cords Cable Industries, Advance Cable Technologies, Rollon Bearings, Loyal  Equipment and Kay Bouvet Engineering be able to do it? 

The lessons from industrial disasters in Bhopal, Chernobyl and Fukushima has compelled countries like  Belgium, Germany, Italy, Spain and Sweden, Australia, Austria, Denmark, Greece, Ireland, Norway and Taiwan are against nuclear energy. The nuclear power plants are fraught with ecocidal ramifications.  It is apprehended that the nuclear barons, the nuclear commerce promoters may have engineered the conflict in West Asia and Russian border to compel countries across the world to adopt civilian and non-civilian nuclear technologies.     


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