SHANTI Bill: India's new legislation to boost nuclear sector
What's the story
The Indian government has introduced a new bill, the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Bill, 2025 (SHANTI Bill), in Parliament. The legislation was tabled by Minister of State for Science and Technology Jitendra Singh. It seeks to repeal the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act of 2010, thereby opening up India's nuclear power sector to private players.
Legislative intent
Aim to encourage public-private partnerships
The SHANTI Bill intends to promote participation from both public and private players, including through public-private partnerships and joint ventures. It also seeks to promote the large-scale deployment of small modular reactors. The proposed legislation also hopes to create a strong regulatory framework for the safe and secure use of nuclear energy.
Liability provisions
Bill introduces civil liability regime for nuclear damage
The SHANTI Bill introduces a 'pragmatic civil liability regime for nuclear damage,' removing the controversial supplier liability clause from the Civil Liability for Nuclear Damage Act. This change is expected to encourage US companies to set up nuclear power plants in India. The bill also allows private sector 'operators' to enter India's highly regulated atomic energy sector and run nuclear power plants.
Operational permissions
It allows private entities to operate nuclear power plants
The SHANTI Bill gives the Center the power to grant licenses to any government company, private company, joint venture or permitted entity. These entities will have the right to build, own and operate a nuclear power plant or reactor; fabricate nuclear fuel including conversion refining and enrichment of uranium-235 up to a threshold value besides transportation or storage of nuclear fuel/spent fuel.
Operator protection
Addressing rights to recourse for operators
The SHANTI Bill also addresses the issue of 'rights to recourse' for operators while limiting civilian court jurisdiction on nuclear energy-related matters. It mandates that an operator should bring in an insurance policy or financial security mechanism to cover his liability, with the maximum amount of liability proposed being three hundred million Special Drawing Rights for each nuclear incident. However, this requirement is exempted for a nuclear installation owned by the Central Government.