New Delhi: The government has sharply increased budgetary support for nuclear energy research and development, raising allocations by 88 percent year-on-year to Rs 2,410.58 crore in Budget 2026–27, according to the detailed expenditure statements of the Union budget.
The allocation marks a significant jump from Rs 1,284.77 crore in 2025–26 (revised estimate) and Rs 1,290.72 crore in 2024–25, underscoring the government’s continued focus on strengthening domestic nuclear technology and fuel-cycle capabilities.
The largest share of the enhanced R&D allocation has been earmarked for the Bhabha Atomic Research Centre (BARC), whose R&D projects have been allotted Rs 1,800 crore for 2026–27, nearly double the Rs 918.91 crore provided in 2025–26 (revised estimate).
Funding for R&D projects at the Raja Ramanna Centre for Advanced Technology (RRCAT) has also been raised, increasing from Rs 63 crore in 2025–26 (revised estimate) to Rs 125 crore in 2026–27. The Atomic Minerals Directorate for Exploration and Research (AMD) has been allocated Rs 169.58 crore for 2026–27, compared with Rs 145 crore in the previous year.
The revised estimates for 2025–26, however, show lower utilisation across several heads compared with original budget estimates, pointing to under-spending on some nuclear R&D programmes.
Apart from R&D, allocations for Central schemes and projects in the nuclear energy sector have also seen a substantial increase. The outlay for these schemes has been raised to Rs 7,121.72 crore in 2026–27, up 33 percent from Rs 5,354.82 crore in 2025–26 (revised estimate).
In comparison, the government had allocated Rs 6,777.58 crore towards Central schemes and projects in the nuclear sector in 2024–25.
Budget 2026–27 has also extended the existing basic customs duty exemption on imports of goods required for nuclear power projects until 2035. The exemption has been broadened to cover all nuclear power plants, irrespective of capacity.
The higher budgetary support comes amid the government’s longer-term plans to scale up nuclear capacity as part of India’s energy transition. India has outlined an ambition to add 100 GW of nuclear power capacity by 2047 and has recently opened parts of the sector to private investment, with a focus on Bharat Small Reactors for industrial decarbonisation.
As part of this effort, multiple small reactor designs are under development domestically, including small modular reactors and a high-temperature gas-cooled reactor intended for hydrogen production through thermochemical processes.
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