Staff Correspondent, Dhaka:
India is seeking to advance a long-pending uranium supply agreement with Australia during Prime Minister Narendra Modi’s upcoming visit, signaling a renewed focus on energy security amid the country’s rapidly expanding artificial intelligence (AI) and digital infrastructure ambitions.
Although India and Australia signed a Civil Nuclear Cooperation Agreement in 2014, commercial uranium exports have yet to materialize. Fresh discussions between the two governments, however, suggest both sides are now closer to translating the framework into a practical supply arrangement.
The timing is significant. India is positioning itself as a global hub for AI-driven data centres, a sector expected to require enormous and uninterrupted electricity supplies. As conventional energy sources face environmental and capacity constraints, nuclear power is increasingly viewed as a reliable low-carbon option capable of supporting large-scale digital infrastructure.
For Australia, one of the world’s largest uranium producers, a commercial supply agreement with India would strengthen economic ties while reinforcing the strategic partnership between the two Indo-Pacific democracies. It would also complement broader cooperation in critical minerals, clean energy and regional security under their Comprehensive Strategic Partnership.
From India’s perspective, securing a stable uranium supply would help diversify fuel sources for its expanding nuclear power program and reduce long-term energy vulnerabilities. The move also aligns with New Delhi’s goal of increasing the share of clean energy in its power mix while meeting rising industrial and technological demand.
However, several commercial, regulatory and logistical issues remain under discussion, and officials from both countries have cautioned that no final agreement has yet been reached. Nevertheless, Prime Minister Modi’s meeting with Australian Prime Minister Anthony Albanese is expected to provide fresh political momentum.
If concluded, the uranium supply deal would extend beyond energy cooperation. It would represent a strategic investment in India’s digital economy, support the country’s AI ambitions, and deepen a partnership that is increasingly driven by shared economic, technological and geopolitical interests in the Indo-Pacific.
