Moscow: India and Russia have signed a $ 400-million deal for the supply of nuclear fuel for Kudankulam atomic power plant under construction in Tamil Nadu with the Russian assistance.

The nuclear fuel deal for the supply of first batch of nuclear fuel rods was signed in Moscow on February 12 by the Chairman of Nuclear Power Corporation of India Limited (NPCIL) V K Chaturvedi and President of Russian fuel company TVEL Corporation Alexander Nyago.

Under the inter-governmental agreements of 1988 and 1998 on the building of two 1000 MW VVER light water reactors units at Kudankulam power plant, Russia is to supply fuel for the whole period of its exploitation (40 years), TVEL Corporation spokesman Vladislav Bochkov told reporters.

The Kudankulam power plant is expected to be commissioned in 2007-2008 and the supplies of nuclear fuel would commence in 2006.

Part of the nuclear fuel would be supplied under the Russian government credit line extended for the Kudankulam plant, Bochkov said.

He said the Kudankulam power plant would be under facility-specific safeguards of International Atomic Energy Agency (IAEA) and the government of India would store and recycle the spent fuel on its soil.

Indian government has taken obligations to enter into agreement with IAEA on safeguards applied to the reactors, obtained nuclear materials, including the by-products of fission, Bochkov said.

PTI