This Union Budget 2025-26 aims to initiate transformative reforms across six domains during the next five years. These reforms will augment our growth potential. They will enhance our global competitiveness, said Union Minister for Power and housing and Urban Affairs  Manohar Lal.  He added that out of the six domains the two are:  Power Sector and Urban Development.

Budget 2025-26: Key Reforms to Transform India’s Power Sector

The Budget 2025-26 represents a significant milestone for the power sector. It introduces transformative reforms that will drive India’s growth. These reforms will pave the way for a secure and sustainable energy future. They will also ensure it is resilient and affordable, said Union Minister for Power Shri Manohar Lal. Manohar Lal remarked that the government is dedicated to improving the financial and operational stability of electricity distribution companies. They have also provided incentives for enhancing intra-state transmission capacity. These efforts will greatly boost the efficiency of the power sector.

Power Sector : Manohar Lal Welcomes Budget Exemptions for Battery Manufacturing

He states that the announcement of the full exemption of scrap of lithium-ion batteries is a welcome decision. This includes Lead, Zinc, and 12 more critical minerals. This will help secure their availability for manufacturing of batteries in India and promote more jobs for our youth.  The budget also proposed, in addition, to add 35 additional capital goods to the exempted list for EV battery manufacturing for electric vehicles. He commended the emphasis on nuclear energy. He stated that the vision to develop at least 100 GW of nuclear power by 2047 is important. This vision underscores India’s ambitious yet essential transition towards clean energy. Welcoming the launch of the Nuclear Energy Mission, he highlighted that the ₹20,000 crore allocation for research and development in Small Modular Reactors (SMRs) marks a significant step forward. Additionally, he emphasized that operationalizing at least five indigenously developed SMRs by 2033 is crucial. Achieving this milestone will not only strengthen India’s energy security but also solidify its leadership in advanced nuclear technology. Union Minister for Power Shri Manohar Lal said that the focus on nuclear energy will strengthen the country’s power infrastructure and reduce dependence on conventional sources. This budget sets the stage for a resilient, efficient, and sustainable energy future, ensuring that India’s economic growth is powered by clean and reliable energy, he stated.