This is his second extension on the post. He was appointed to the post in October 2015 and his tenure was to end in September 2016. However in August last year, he was given one-year extension.
The Appointments Committee of Cabinet has approved the extension of Mr Basu's tenure till September 19, 2018, an order issued by the Department of Personnel and Training (DoPT) said.
Mr Basu is a scientist of exceptional ability who has played a lead role in multiple areas of nuclear science and engineering and is a major contributor in establishing India as a leader in nuclear field.
He had been the Director of the Bhabha Atomic Research Centre (BARC) and chief executive of the Nuclear Recycle Board (NRB).
Mr Basu, who was instrumental in setting up reprocessing and waste management facilities at Indira Gandhi Centre for Atomic Research in Kalpakkam, is a recipient of Padma Shri award.
The Power Reactor Fuel Reprocessing Plant at Tarapur was also built under his guidance. Mr Basu is an engineering graduate from Veermata Jijabai Technological Institute in Mumbai.