Westinghouse capable of delivering India nuclear reactors: Rick Perry
US energy secretary Rick Perry says Westinghouse is emerging out of bankruptcy and is now capable of delivering the planned six nuclear reactors to India on time
New Delhi: US energy secretary Rick Perry said on Tuesday that Westinghouse Electric Co. is emerging out of bankruptcy and is now capable of delivering the planned six nuclear reactors to India on time. On his first visit to India, Perry said India must look at “broad portfolio” of energy sources to deliver reliable electricity to its growing population and not just at affordability.
Civil nuclear cooperation has been a cornerstone of US-India relations. The 2016 deal, under which Westinghouse was to build six AP1000 reactors in Andhra Pradesh, was concluded after more than a decade of diplomatic efforts. But it was in limbo after Westinghouse in March last year filed for bankruptcy following an estimated $13 billion of cost overruns at two US projects.
“The most important development is that Westinghouse is coming out of its bankruptcy” by shedding problematic parts of the company, Perry said.
“Westinghouse is exceptionally good at building reactors. They are the best reactor manufacturer in the world. Their technology is the best in the world. So they are now ready to go, build reactors.”
Asked if Westinghouse is capable of implementing the project on time, he said: “Absolutely.” Perry said the Trump administration thinks nuclear energy is very important and it would use it for ‘leaning forward’ in its partnership with various countries.
“India is on top of that list.” He rejected doubts being raised on spending millions of dollars on large and expensive foreign-built nuclear plants when dropping renewable power prices had provided with a surfeit of electricity generation, saying sustainable reliable power is key to meeting growing energy needs.
“Having a diverse portfolio (of energy sources) is really important. Does that mean that every one of those sources of energy will be cheaper than other, probably not. What is more important—reliability or affordability”,” he asked. India, he said, is growing rapidly and there is a need for a million new jobs every month.
“Having a broad portfolio of energy is really important to do that,” he said. “The argument I am making is that if this is just about the cheapest form of electricity that you can get here, you are going to have problems, you are going to have some challenges because at some point of time just relying on cheapest form of electricity will not address the economic challenges that you are going to have, the growth that you are going to have,” he said.
Giving an example of his Texas state, he said the state deregulated the electrical industry, made it very competitive, kept low rates and had a broad portfolio.
“Everybody wants to buy whatever they buy at the cheapest price they can get it. But you have to keep in mind that you may be putting in jeopardy your reliability at the altar of affordability,” he said.
India has one of the world’s oldest nuclear power programmes, having built Asia’s first research reactor in 1954. But electricity generated from nuclear remains a small part of the energy basket. The country has 22 reactors providing up 2.1% of the country’s overall capacity, compared with 17.7% from renewable sources and 58.7% from coal.
Perry said India and US are leaders in the non-proliferation while “China and Russia don’t care about non-proliferation.”
“India and US should be very close partners. Our historic structures of democracy, following the rule of law, our constitutional freedoms, all of those would be a signal that these are countries that share a lot of same values,” he said.
- Barista in advanced talks with Swiggy, another player for food delivery
- Insurance startup Turtlemint raises $25 million from Sequoia, Nexus, Blume Ventures
- India to bar private refiners from tapping Iran oil quota
- Snapdeal partners with RBL, Federal Bank to penetrate non-metro markets
- Cabinet approves ₹6,000 crore capital infusion in Exim Bank
Editor's Picks »
- Your ITR filing will soon get processed in just one day
- Karnataka coalition dodges crisis, threat of collapse still looms
- Will Sebi do a SpiceJet in clearing the Jet-Etihad deal?
- Jet Airways creditors’ meet ends without a deal
- RBI loosens curbs on companies’ offshore borrowing, move seen supporting rupee
- Why Tata Motors’ Project Charge at JLR is failing to recharge its shares
- Outlook on global profit growth worst since 2008 financial crisis
- Q3 results: ICICI Securities loses its retail broking crown
- High drug approvals to keep up pricing pressure for pharma firms
- Roads sector: Toll collections set to surge, but risks loom for developers