Foreign supplier reluctance
US, French, and Russian companies have expressed concern over potential liability.
Some demand that India create a nuclear insurance pool to cover such risks (India has created one with GIC, but concerns remain).Delayed projects
Several Indo-US civil nuclear projects have not progressed despite the 2008 nuclear deal.
For instance, Westinghouse and GE-Hitachi have yet to build plants in India. Limited private sector role
Indian private suppliers (e.g., L&T, BHEL) are hesitant to supply components without clear indemnity.
The sector remains dominated by state-owned NPCIL. Risk of higher costs
Suppliers may charge more to offset legal risks.
Legal uncertainty can lead to project delays and increased financing costs.
