India Makes Historic Progress in Nuclear Energy: Track These 3 Stocks

Nuclear energy is India's preferred path toward a dependable source of clean, baseload power in the transition away from fossil fuels. Its role in ensuring grid stability and long-term energy security is becoming increasingly important.

Unlike solar and wind, nuclear offers uninterrupted baseload power, making it increasingly relevant as industrial demand rises and grid stability becomes critical.

The government wants to triple nuclear capacity by 2032, taking it from roughly 7,500 MW to over 22,000 MW. That's not just policy talk anymore. Projects are moving, and budgets are flowing.

The government has announced a Nuclear Energy Mission with an outlay of Rs 200 bn, aimed at boosting research and development of small modular reactors (SMRs). Under this initiative, five indigenously developed SMRs are targeted to be operational by 2033.

With policy momentum building and the nuclear value chain opening up to private participation, the sector is entering a new phase of growth.

The Shanti Bill

In December 2025, Parliament passed the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Bill (SHANTI), 2025.

The new law opens the sector to private participation after decades of tight regulation.

Key Points:

• Ends government monopoly by allowing private sector participation in nuclear power.
• Expands private role across fuel cycle, manufacturing, and power generation.
• Introduces stronger safety regulation and a unified legal framework.
• Proposes liability reforms and a dedicated nuclear tribunal.
• Allows up to 49% FDI in select nuclear activities.
• Aims for 100 GW nuclear capacity by 2047.

Major Indian Companies in the Nuclear Sector

#1 Larsen & Toubro (Nuclear Power EPC)

First on the list is L&T.

The company undertakes civil construction works for nuclear power plants and has deep expertise in building pressurised heavy water reactors (PHWRs), light water reactors (LWRs), and natural draft cooling towers (NDCTs).

Apart from this, L&T is also among the few Indian firms selected for the transfer of small modular reactor technology from the US, enabling it to participate in the development and commercialisation of SMRs as India expands its nuclear capacity in the coming years.

SMRs are fission reactors that are physically a fraction of the size of a conventional nuclear power reactor with a generation capacity ranging from less than 30 MWe (Megawatt electrical) to 300+ MWe, providing a flexible, scalable, and cost-effective alternative to conventional large nuclear reactors.

Further in September 2025, L&T bagged order worth up Rs 25 billion (bn) from Nuclear Power Corporation (NPCIL) for the Kudankulam power project in Tamil Nadu.

The order was won by the Heavy Civil Infrastructure (HCI) vertical of L&T for 2x1000 Mwe Kudankulam Nuclear Power Project (KKNPP 5 & 6) which would involve installation of the reactor and turbine systems, sea water systems, and other related equipment.

L&T's Financial Snapshot

#2 NTPC (Nuclear JV)

Next on the list is NTPC.

NTPC has made a significant entry into the nuclear power sector with the operationalisation of the ASHVINI joint venture with Nuclear Power Corporation of India Limited (NPCIL) and the creation of its subsidiary, NTPC Parmanu Urja Nigam Ltd, reinforcing its commitment to clean baseload power.

In September 2025, PM Modi laid the foundation stone for the 2800 MWe Mahi Banswara Rajasthan Atomic Power Project (MBRAPP) in Rajasthan, marking a key milestone for NTPC in nuclear energy.

The project is a joint venture with NPCIL in which NTPC holds a 49% stake. It will feature four indigenous 700 MWe pressurised heavy water reactors (PHWRs) and is expected to be among the largest nuclear plants in India.

Alongside large-scale projects like MBRAPP, NTPC is also exploring small modular reactors and other nuclear partnerships.

NTPC's Financial Snapshot

#3 MTAR Technologies

Third on the list is MTAR Technologies.

MTAR has been a key contributor to India's civilian nuclear power program.

In nuclear power, assemblies like fuel machining heads, drive mechanisms, bridge and column assemblies, and coolant channel assemblies are among the company's products.

These are crucial components for both the renovation and upkeep of current reactors as well as the building of new pressurised heavy-water reactors.

The company is an established supplier to NPCIL and manufactures critical reactor and fuel-handling components used in India's pressurised heavy water reactors.

MTAR's Financial Snapshot

Conclusion

Supported by a twin push toward SMRs and thorium-based technologies, India's nuclear ecosystem will create opportunities across engineering, utilities, capital goods, insurance, and long-duration finance.

Companies with strong execution capabilities are well placed in this megatrend.

However, nuclear is a complex and capital-intensive sector. Long project timelines, regulatory clearances, safety considerations, and external factors such as fuel supply and geopolitics can influence outcomes.

Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.

Happy investing.

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