Work has started on the design of two 1000 MWe nuclear reactors due to be constructed in Tamil Nadu, according to the Indian Nuclear Power Corp. A detailed project report is also being prepared, Reuters reports.

The units are to be built by Russia. Site data has been relayed to Russian engineers. Under an agreement revived in June after 10 years, the units will be installed at Kundankulam, 654 km south of Madras. The cost of the project is $3 billion.

Initial work on the project is being funded by an interest-free loan from the government. When complete, the units will be open for inspection by the International Atomic Energy Agency (IAEA), as Russia is bound by IAEA guidelines for nuclear suppliers.

The project report is likely to take around two years to complete. The units are expected to enter service by 2007.