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Maharashtra Advances Plans for India’s First Thorium‑Based Power Plants

Written by: Akshay ShivalkarUpdated on: 27 Jan 2026, 5:57 pm IST
The Maharashtra government is progressing plans for two thorium‑fuelled nuclear units totalling 1,980 megawatts as part of its long‑term clean energy shift.
Maharashtra Advances Plans for India’s First Thorium‑Based Power Plants
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Maharashtra is moving forward with plans to establish India’s first thorium‑based power plants, marking a significant step in the state’s transition toward cleaner and more reliable baseload electricity. The state government is working with the Department of Atomic Energy and the Nuclear Power Corporation of India Limited to finalise development details for two proposed thorium‑fuelled nuclear units.

The facilities are expected to be built on land owned by the state power utility. The initiative represents a strategic move to replace ageing thermal power stations while reducing reliance on fossil fuels.

Maharashtra’s Strategy to Develop Thorium‑Fuelled Nuclear Units

The proposal outlines two nuclear units with capacities of 1,540 megawatts and 440 megawatts. These units together would contribute a total planned capacity of 1,980 megawatts.

The facilities are intended to replace two older thermal power stations currently operated by the state utility. The project forms part of the state’s broader plan to secure a stable and cleaner energy supply.

India’s Growing Interest in Thorium Technology

Thorium is increasingly seen as a safer and more sustainable alternative to traditional nuclear fuel. Experts state that thorium reactors operate at atmospheric pressure and carry a lower risk of meltdown.

These systems also offer potential long‑term advantages due to India’s extensive thorium reserves. The availability of domestic resources strengthens the rationale for adopting thorium‑based technologies.

Financial Structure and Expected Power Costs

Electricity generated from the proposed thorium plants is estimated to cost around ₹3.50 per unit. This cost is lower than that of most thermal power generation methods.

However, the initial capital expenditure for thorium‑based units is expected to be higher. The Maharashtra Institution for Transformation is overseeing the planning and implementation framework for the project.

Read More: Maharashtra Signs Investment MoUs Worth Over $50 Billion.

Conclusion

Maharashtra’s plan to develop thorium‑based nuclear power units signals a major shift in its long‑term energy approach. The proposed 1,980 megawatt capacity aims to replace older thermal facilities and enhance the state’s baseload power reliability.

The cost structure suggests potential long‑term savings for consumers despite higher upfront investment. The project could position Maharashtra as a national leader in adopting next‑generation nuclear technology.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Jan 27, 2026, 12:21 PM IST

Akshay Shivalkar

Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.

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