India Passes SHANTI Bill to Modernize Nuclear Energy Sector
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The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025, has been passed by both houses of Parliament, marking a significant step toward modernizing India's nuclear energy framework. Introduced during the Winter Session of Parliament, the legislation aims to promote advanced nuclear energy development while opening the sector to private participation.
Legislative Passage in Parliament
The SHANTI Bill progressed swiftly through the legislative process during the Winter Session of Parliament, which ran from December 1 to December 19, 2025. The Lok Sabha approved the Bill on Wednesday, followed by its introduction and passage in the Rajya Sabha on Thursday via voice vote. This made it one of eight Bills passed by both houses during the session, contributing to high productivity levels of approximately 110 percent in the Lok Sabha and 121 percent in the Rajya Sabha.
Union Minister of State for Atomic Energy, Jitendra Singh, addressed concerns during the Rajya Sabha debate, emphasizing that safety protocols remain unchanged from the Atomic Energy Act of 1962. He stated that standard operating procedures (SOPs) prioritize safety above production, with the phrase “safety first, second production” embedded in the guidelines.
“The SOP in place clearly mentions ‘safety first, second production’.”
Singh further noted that the Atomic Energy Regulatory Board has been granted statutory powers under the new Bill, ensuring robust oversight. Critical materials such as source material, fissile material, and spent fuel will continue to be held under government custody, maintaining public sector control over sensitive aspects.
Key Objectives and Provisions
The SHANTI Bill, 2025, seeks to update outdated laws to facilitate the adoption of advanced nuclear technologies, including small modular reactors (SMRs). A primary goal is to expand India's nuclear power capacity to 100 GW by 2047, aligning with the government's long-term energy diversification strategy.
Central to the legislation is the provision allowing private sector involvement in nuclear power generation. This opens opportunities for private players to invest in and operate nuclear facilities, particularly smaller-scale projects suited for SMRs. The Bill introduces graded liability provisions for suppliers in the event of accidents, designed to encourage participation from smaller entities while balancing risk.
Government statements highlight the Bill's role in modernizing regulatory frameworks to support sustainable nuclear energy harnessing. It replaces restrictive elements of prior laws, enabling faster deployment of next-generation reactors that promise higher efficiency and lower emissions.
Safety and Regulatory Safeguards
Safety remains a cornerstone of the SHANTI Bill. Provisions retain the stringent standards of the 1962 Act, with the regulatory board empowered to enforce compliance. The custody of nuclear fuels and materials by the government ensures that core security functions stay within public domain.
During parliamentary discussions, concerns were raised about potential reductions in oversight. However, official responses affirmed that the Bill strengthens statutory mechanisms without diluting existing protections. This framework is intended to build public confidence while accelerating sector growth.
Context Within India's Nuclear Energy Landscape
India's nuclear power sector has historically been dominated by public entities like the Nuclear Power Corporation of India Limited (NPCIL). Current installed capacity stands at around 8 GW, with plans to scale up significantly to meet rising energy demands. The SHANTI Bill addresses bottlenecks in private investment, which has been limited by liability concerns and monopolistic structures.
Prior to this legislation, the Civil Liability for Nuclear Damage Act, 2010, imposed strict supplier liability, deterring international vendors. The new Bill's graded approach aims to mitigate this, potentially attracting foreign technology transfers for advanced reactors.
The government's 100 GW target by 2047 forms part of broader initiatives to achieve energy self-reliance under the Viksit Bharat vision. Nuclear energy is positioned as a clean baseload source to complement renewables, reducing dependence on fossil fuels.
Alignment with National Energy Goals
Recent government releases underscore steps like technology indigenization and international collaborations to diversify the energy mix. The SHANTI Bill supports these by streamlining approvals for private-led projects, which could expedite capacity additions.
In the Winter Session context, the Bill's passage alongside others like the Viksit Bharat Shiksha Adhishthan Bill reflects a focus on transformative infrastructure. Parliament's productivity enabled comprehensive debates, including those on safety and private sector roles.
Parliamentary Debates and Stakeholder Views
Discussions in both houses featured diverse perspectives. Congress MP Jairam Ramesh advocated balancing private investment with a strong public sector engine. He supported private participation but cautioned against neglecting government-led efforts.
TMC MP Sagarika Ghose questioned whether the Bill favored specific interests, prompting Singh to clarify the liability grading for broader accessibility, including small players.
DMK MP P Wilson expressed apprehensions over reduced government oversight, describing the move as a shift in essential functions. These inputs shaped clarifications on retained safeguards.
The debates underscored the Bill's implications for sector governance, with replies reinforcing continuity in safety and material control.
Administrative Implementation Roadmap
Following Presidential assent, expected soon after passage, the Ministry of Atomic Energy will notify rules for operationalization. This includes establishing guidelines for private licenses, liability caps, and regulatory approvals.
Administrative impacts include expanded roles for the Atomic Energy Regulatory Board in monitoring private facilities. State governments may see new coordination mechanisms for site clearances and land acquisition, integrating with existing atomic energy protocols.
The Bill mandates phased integration of advanced technologies, with pilot projects likely prioritized for SMRs in industrially viable locations.
Public Sector's Continued Centrality
NPCIL will retain primacy in large-scale plants and fuel cycle management. Private entities will focus on generation, under strict oversight, preserving public sector leadership.
Potential Impacts on Energy Security and Economy
By enabling private capital, the SHANTI Bill could accelerate capacity growth, contributing to India's net-zero ambitions by 2070. Nuclear power offers reliable, low-carbon energy, vital for industrial and urban expansion.
Economically, it promises job creation in high-tech manufacturing, reactor construction, and operations. Suppliers benefit from clarified liabilities, fostering a domestic nuclear industry ecosystem.
Public impacts encompass enhanced electricity access in energy-deficient regions. Affordable nuclear power could stabilize tariffs, supporting MSMEs and rural electrification.
Environmental and Technological Advancements
Advanced reactors under the Bill reduce waste and improve safety profiles compared to older designs. This aligns with global trends toward Generation IV technologies.
India's three-stage nuclear program gains momentum, with private involvement speeding thorium utilization, leveraging domestic reserves.
Broader Session Achievements
The Winter Session's success, with 10 Bills introduced and eight passed by both houses, highlights legislative efficiency. Special discussions on Vande Mataram's 150th anniversary and election reforms complemented productivity.
Financial business, including Supplementary Demands for Grants, ensured fiscal support for initiatives like SHANTI.
Future Outlook
Implementation will involve stakeholder consultations, with the government monitoring progress toward the 100 GW goal. International partnerships, under frameworks like the Nuclear Suppliers Group waiver, stand to benefit.
The SHANTI Bill positions India as a proactive player in global nuclear renaissance, balancing innovation with accountability. Its enactment concludes a pivotal session, setting foundations for energy transformation.
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