The “Sustainable Harnessing of Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025” is proposed legislation that aims to open India’s civil nuclear power sector to private participation, ending a decades-long government monopoly. The Union Cabinet approved the bill on December 2025, and it is expected to be introduced in Parliament during the ongoing Winter Session.
Key highlights:
- Objective: The primary goal is to accelerate India’s nuclear power capacity to 100 GW by 2047 to meet rising energy demands and net-zero emission targets by 2070.
- Private Participation: It opens India’s tightly state-controlled nuclear sector to private and foreign investment (up to 49% FDI) for the first time.
- Scope of Private Roles: Private companies will be allowed to participate in various aspects, including the exploration and mining of atomic minerals, fuel fabrication, equipment manufacturing, and certain plant operations under government oversight.
- Legal Framework: The bill will subsume and replace existing laws, including the Atomic Energy Act, 1962, and the Civil Liability for Nuclear Damage Act, 2010, to create a unified and modern legal structure.
- Liability Reforms: It addresses long-standing concerns by clarifying the nuclear liability framework, introducing insurance-based caps for operators, and proposing government backstopping beyond a defined threshold. This aims to boost investor confidence.
- Regulatory Changes: The legislation proposes institutional reforms, including the establishment of an independent nuclear safety authority and a specialized tribunal to handle nuclear disputes, aligning India with international best practices.
- Missions: The bill supports related government initiatives, such as the ₹20,000 crore Nuclear Energy Mission for the research and development of indigenous Small Modular Reactors (SMRs).
This legislation is seen as a historic policy shift intended to transition India’s nuclear sector from a purely state-controlled ecosystem to a public-private model, essential for achieving long-term energy security and net-zero goals.
PRACTICE QUESTIONS
With reference to the “SHANTI Bill, 2025”, consider the following statements:
I. The Bill aims to achieve 100 GW of nuclear capacity by 2047
II. It proposes to end the monopoly of the Department of Atomic Energy (DAE) and allow private sector participation in the entire nuclear value chain, including uranium exploration and fuel fabrication
III. The Bill proposes subsuming several existing laws, including the Atomic Energy Act, 1962, and the Civil Liability for Nuclear Damage Act, 2010, into a single, unified legal framework
IV. The Bill caps the liability of foreign equipment suppliers while enhancing the insurance pool for victim compensation to align with international standards.
How many of the statements given above is / are correct?
a) Only one
b) Only two
c) Only three
d) All four
Answer: d
Explanation: Statement I is Correct: The full form is indeed “Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India,” and a key target is to reach 100 GW of nuclear power capacity by 2047 as part of a dedicated mission. Statement II is Correct: A major policy shift, the bill allows private firms to participate in various upstream activities like atomic mineral exploration, mining, and fuel fabrication, which were previously exclusive domains of the DAE. Statement III is Correct: The Bill is intended to be a comprehensive law that replaces and consolidates various existing acts related to atomic energy to create a streamlined regulatory framework. Statement IV is Correct: The Bill aims to boost investor confidence by revamping the civil liability regime, capping supplier liability, and redesigning the operator insurance pool to align with global standards and attract foreign technology providers.
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