Background of the SHANTI Bill
SHANTI Bill and India’s Nuclear Energy Transition: The Sustainable Harnessing of Advancement of Nuclear Energy for Transforming India Bill 2025 marks a major policy shift in India’s nuclear energy framework. The Bill was approved by the Union Cabinet in December 2025, signalling the government’s intent to expand nuclear capacity through regulated private participation.
India’s nuclear sector has historically been under the exclusive control of the Department of Atomic Energy (DAE). The SHANTI Bill seeks to move away from this closed model while retaining strong state oversight over safety and security.
Static GK fact: India’s nuclear power programme is based on a three-stage strategy conceptualised by Homi J. Bhabha, focusing on optimal use of indigenous uranium and thorium resources.
Opening the Nuclear Sector to Private Players
A central feature of the Bill is the introduction of private sector participation across the nuclear value chain. This includes reactor construction, equipment manufacturing, fuel-cycle services, and power generation under strict regulatory supervision.
The move ends the long-standing monopoly of the DAE and its public sector entities. By creating space for private firms, the government aims to unlock fresh capital, managerial efficiency, and innovation in a sector with high entry barriers.
Static GK Tip: Nuclear power plants in India are operated primarily by Nuclear Power Corporation of India Limited (NPCIL), a wholly government-owned enterprise.
Unified Legal and Regulatory Framework
The SHANTI Bill consolidates multiple existing laws into a single comprehensive statute. This unified framework is designed to reduce regulatory fragmentation and policy uncertainty that previously discouraged investors.
Clearer rules on licensing, safety oversight, and operational responsibility are expected to improve investor confidence. A predictable legal environment is particularly important for capital-intensive sectors like nuclear energy with long payback periods.
Significance for Energy Security and Climate Goals
Private participation is expected to significantly enhance resource mobilisation. India has set an ambitious target of achieving 100 GW of nuclear power capacity by 2047, aligned with its long-term clean energy transition.
The entry of private firms can accelerate the adoption of advanced nuclear technologies, including Small Modular Reactors (SMRs) and modular reactor designs. These technologies offer shorter construction timelines, lower upfront costs, and enhanced safety features.
Static GK fact: Nuclear energy is classified as a baseload power source, capable of providing continuous electricity unlike solar or wind energy.
Technological Innovation and Supply-Chain Strengthening
Private sector involvement is likely to improve domestic manufacturing and supply-chain resilience. Increased competition can lead to improved reactor components, digital safety systems, and modern project management practices.
A stronger nuclear supply chain also reduces India’s dependence on fossil fuel imports, supporting long-term energy independence and emissions reduction commitments.
Challenges to Effective Private Participation
Despite its potential, the Bill faces significant challenges. Safety and liability concerns remain a major deterrent, particularly due to the stringent provisions of the Civil Liability for Nuclear Damage Act 2010, which places liability on suppliers.
There are also national security considerations, as nuclear materials and technologies require strict safeguards, traceability, and monitoring. Regulatory institutions will need enhanced capacity to oversee private actors.
Long project gestation periods of 7–10 years reduce commercial attractiveness. Without viability-gap funding or risk-sharing mechanisms, private investment may remain limited.
Way Forward
The SHANTI Bill represents a calibrated attempt to balance state control with private efficiency. Its success will depend on regulatory credibility, liability reforms, and institutional preparedness to manage a mixed public–private nuclear ecosystem.
Static Usthadian Current Affairs Table
SHANTI Bill and India’s Nuclear Energy Transition:
| Topic | Detail |
| SHANTI Bill 2025 | Enables regulated private participation in nuclear energy |
| Core Change | Ends exclusive monopoly of Department of Atomic Energy |
| Investment Goal | Supports 100 GW nuclear capacity by 2047 |
| Key Technology Focus | Small Modular Reactors and modern safety systems |
| Major Challenge | Liability under CLNDA 2010 and long gestation periods |
