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New Delhi | December 21, 2025 In a transformative move for India’s energy landscape, the President of India, Smt. Droupadi Murmu, has granted her assent to the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025. The legislation, which was passed by both Houses of Parliament during the recently concluded Winter Session, officially becomes the SHANTI Act, 2025.
The Act represents a fundamental shift in the nation’s civil nuclear policy, designed to accelerate the transition toward clean energy and achieve the target of 100 GW of nuclear capacity by 2047.
Key Highlights of the SHANTI Act, 2025:
End of State Monopoly: The Act repeals the six-decade-old Atomic Energy Act, 1962, and the Civil Liability for Nuclear Damage Act, 2010. For the first time, Indian private companies and joint ventures are permitted to build, own, operate, and decommission nuclear power plants under a rigorous licensing framework.
Foreign Direct Investment (FDI): The new law allows for FDI of up to 49% in nuclear power projects, inviting global capital and high-end technology into the Indian market.
Statutory Regulator: The Atomic Energy Regulatory Board (AERB) has been granted statutory status, making it an independent body directly accountable to Parliament to ensure the highest standards of safety and transparency.
Small Modular Reactors (SMRs): To drive industrial decarbonization, the Act prioritizes the deployment of indigenous Bharat Small Reactors (220 MW), which are ideal for captive use by heavy industries.
Refined Liability Framework: The Act introduces a graded liability cap linked to plant capacity (ranging from ₹100 crore to ₹3,000 crore). Significantly, it removes the “right of recourse” against equipment suppliers, aligning India’s liability regime with international conventions.
Strategic Sovereignty: While opening power generation, the Central Government retains exclusive control over sensitive activities, including:
Uranium and Thorium mining.
Fuel enrichment and isotopic separation.
Reprocessing of spent fuel and high-level waste management.
Impact and Vision:
The SHANTI Act provides the legal engine for the Nuclear Energy Mission (allocated ₹20,000 crore in the 2025-26 Budget). It aims to modernize India’s nuclear ecosystem, making it a cornerstone of the Viksit Bharat 2047 roadmap and the nation’s commitment to Net Zero by 2070.
By integrating private sector efficiency with state strategic oversight, India is now positioned to become a global hub for civil nuclear technology and clean baseload power.
