The Sustainable Harnessing of Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025 marks the most significant overhaul of India’s nuclear governance framework since the Atomic Energy Act of 1962. Approved by the Union Cabinet, the Bill aims to modernise regulation, reform nuclear liability norms, enable private sector participation, and accelerate nuclear capacity expansion in line with India’s long-term energy and climate goals.
Objectives of the SHANTI Bill
- Enable large-scale expansion of nuclear power capacity
- Attract domestic and foreign private investment
- Reform nuclear liability architecture in line with global best practices
- Strengthen safety governance and public accountability
- Support innovation in advanced reactor technologies
- Facilitate India’s target of 100 GW nuclear capacity by 2047
Key Features of the SHANTI Bill
Opening the Nuclear Sector to Private Participation
- Permits private players across the nuclear value chain
- Includes fuel fabrication, equipment manufacturing, construction, and potentially plant operation
- Ends the long-standing state monopoly in non-strategic nuclear activities
Unified Legal and Regulatory Framework
- Consolidates licensing, safety compliance, and operational norms under a single statute
- Reduces legal ambiguity and procedural delays
- Improves ease of doing business in the nuclear sector
Reformed Nuclear Liability Regime
- Clearly distinguishes operator and supplier responsibilities
- Introduces insurance-backed liability caps
- Provides government backstopping for catastrophic risks
- Aligns India’s liability framework with international conventions
Independent Nuclear Safety Authority
- Establishes an autonomous regulator separate from operators
- Ensures transparent, professional, and globally benchmarked safety oversight
- Enhances public trust and international credibility
Dedicated Nuclear Tribunal
- Creates a specialised adjudicatory mechanism
- Handles liability disputes, contractual issues, and compensation claims
- Reduces judicial delays in nuclear-related cases
Promotion of Small Modular Reactors (SMRs)
- Encourages research, development, and deployment of SMRs
- Supports industrial decarbonisation and flexible grid integration
- Enhances safety and scalability of nuclear energy
Need for Reform
India’s nuclear sector has historically functioned under a tightly controlled state monopoly. The existing legal framework is primarily governed by:
- Atomic Energy Act, 1962
- Civil Liability for Nuclear Damage Act, 2010
While these laws ensured sovereign control and safety in the early decades, they also resulted in:
- Limited private and foreign investment
- Ambiguous and restrictive liability provisions
- Fragmented regulatory oversight
- Slow capacity addition in nuclear power
With rising energy demand, decarbonisation commitments, and technological advancements in nuclear energy, a comprehensive legal reform became necessary.
Challenges and Concerns
- Public apprehension regarding nuclear safety and accidents
- Need for strong regulatory capacity and institutional independence
- Ensuring transparency and accountability in private participation
- Managing long-term waste disposal and environmental risks
Conclusion
The SHANTI Bill represents a paradigm shift in India’s nuclear energy policy, moving from a closed, state-dominated system to a regulated, investment-friendly, and innovation-driven framework. By reforming liability norms, strengthening safety oversight, and enabling private participation, the Bill lays the foundation for a robust expansion of nuclear power. Its success, however, will depend on effective implementation, regulatory independence, and sustained public confidence. If executed prudently, the SHANTI Bill can become a cornerstone of India’s clean energy transition, energy security, and long-term climate strategy.
