This paper presents a novel speed estimator using Reactive Power based Model Reference Neural Learning Adaptive System (RP-MRNLAS) for sensorless indirect vector controlled induction motor drives. The Model Reference Adaptive System (MRAS) based speed estimator using simplified reactive power equations is one of the speed estimation method used for sensor-less indirect vector controlled induction motor drives. The conventional MRAS speed estimator uses PI controller for adaptation mechanism. The nonlinear mapping capability of Neural Network (NN) and the powerful learning algorithms have increased the applications of NN in power electronics and drives. This paper proposes the use of neural learning algorithm for adaptation in a reactive power technique based MRAS for speed estimation. The proposed scheme combines the advantages of simplified reactive power technique and the capability of neural learning algorithm to form a scheme named “Reactive Power based Model Reference Neural Learning Adaptive System” (RP-MRNLAS) for speed estimator in Sensorless Indirect Vector Controlled Induction Motor Drives. The proposed RP-MRNLAS is compared in terms of accuracy, integrator drift problems and stator resistance versions with the commonly used Rotor Flux based MRNLAS (RF-MRNLAS) for the same system and validated through Matlab/Simulink. The superiority of the RP-MRNLAS technique is demonstrated.