"The race in Asia is that of energy," said Rahul Bedi of Jane's Defence Weekly.

"China is far ahead of us. If we can get (nuclear energy) and if we can pay for it, it will be good for the economy."

Both China and India need to secure as many energy resources as possible to maintain their momemtum as the world's two fastest growing economies.

But Beijing is way ahead in the race, adding 5,000 to 10,000 megawatts of nuclear power almost every year -- against India's total of 3,000 MWs of operating capacity and another 4,000 MWs under construction.

Experts said the the situation has arisen largely because India was denied access to large nuclear reactors and fuel by the international community through sanctions imposed after it conducted nuclear tests in 1974 and later in 1998.

But with US President George W. Bush announcing on Monday that he would ask Congress as well as allied nations to lift sanctions preventing Indian access to civil nuclear technology, the picture will change rapidly, say experts.

Under the agreement, if approved by the US Congress, India would be allowed to buy nuclear fuel and reactor components from the United States and other countries.

Only three percent of India's energy needs are currently met by nuclear power.

Energy expert Rajendra Srivastav, who is also country director of the French power major Electricite de France, said that for a country which clocked seven percent growth rate in 2004, securing nuclear power is "very important".

"Not just economically but also symbolically," he said. "Since the nuclear tests, India has been treated like a pariah by the international community. This will now change."

Srivastav said India would be looking at importing six to eight 1,000 MW nuclear reactors if Bush's plan passes all the hurdles.

"If these reactors are brought in, it will be very good for a growing economy like India," he said.

"It will give us independence in energy security and also reduce the cost of importing oil and gas. Ideally, nuclear energy should form 15-20 percent of our installed capacity. Today it forms less than three percent of the capacity."

He added that even if India gets the nuclear technology, the question of "beating China at this does not arise.

"China is aiming at 40,000 MWs by 2020 and they are adding 5,000 to 10,000 MWs each year. If we get nuclear power, it would be a gain for us but it will not affect China in any way," Srivastav said.

India is currently in talks with several nations to set up a costly network of pipelines to import gas, including from Iran through Pakistan.

India's energy demand is expected to grow at five percent per annum, according to the Tata Energy Research Institute, a private think tank.

The country's incremental energy demand for the next decade is projected to be among the highest in the world spurred by sustained economic growth, rising income levels and increased availability of goods and services.

Currently India has six up and running nuclear power plants while four are under construction.

One of the six reactors -- the Tarapore Atomic Power Station -- is running at only 58 percent capacity due to a shortage of enriched urnanium fuel which only the United States can supply.

More than 60 percent of Indian households still depend on traditional sources of energy like wood, cow dung and crop residues for their energy requirements.

All rights reserved. � 2005 Agence France-Presse. Sections of the information displayed on this page (dispatches, photographs, logos) are protected by intellectual property rights owned by Agence France-Presse. As a consequence, you may not copy, reproduce, modify, transmit, publish, display or in any way commercially exploit any of the content of this section without the prior written consent of Agence France-Presse.

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