India, Westinghouse close to deal on 6 nuclear plants

India expects to seal a contract with Westinghouse Electric Co LLC to build six nuclear reactors in the first half of next year, a senior government official said, in a sign its $150 billion dollar nuclear power programme is getting off the ground.

The proposed power plant in Gujarat will accelerate India’s plans to build roughly 60 reactors, which would make it the world’s second-biggest nuclear energy market after China.

India wants to dramatically increase its nuclear capacity to 63,000 megawatts (MW) by 2032, from 5,780 MW, as part of a broader push to move away from fossil fuels, cut greenhouse gas emissions and avoid the dangerous effects of climate change.

The United States signed a pact with India in 2008, opening the way for nucl-ear commerce. But hopes that reactor makers would get billions of dollars of new business evaporated after India adopted a law in 2010 giving the state-run operator NPCIL the right to seek damages from suppliers in the event of an accident.

However, IAEA’s convention on supplementary compensation (CSC) for nuclear damage requires signatories to shift liability to the operator and offers access to relief funds. But Indian officials have been trying to assu-age suppliers’ concerns.

In a statement, Westing-house said it expected India would move towards a framework that satisfies the CSC and channels accident liability exclusively to the operator.

Shares of Westingho-use’s parent, Toshiba Corp, jumped as much as 3.3 percent on Thursday after the news.

A Toshiba spokesman declined to comment on the report.