Paper: GS-II, Subject: Polity, Topic: Legislative, Issue: SHANTI Bill, 2025
Context:
The Lok Sabha passed the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025.
- The Bill opens India’s civil nuclear sector to private and foreign companies a major policy shift from decades of state monopoly.
- Despite Opposition protests, the Bill was cleared and will now move to the Rajya Sabha.
Key Changes Introduced by the Bill
Private companies can operate nuclear power plants
- Earlier, only the government-run NPCIL could run nuclear plants.
- Now private and foreign firms can build, operate, and manage them.
Repeals older laws that restricted private participation
- Amends atomic energy legislation to open civil nuclear activity to private entities.
Operator liability is capped
- The operator’s accident liability is limited to the capacity of the plant.
- Critics say this reduces safety accountability.
Govt retains control of nuclear waste
- Only the Union government will manage nuclear waste and disposal.

Why the Govt Supports the Bill
- Attract foreign investment & technology into the nuclear sector.
- Accelerate clean energy transition and meet net-zero commitments.
- Expand nuclear capacity to reduce reliance on coal.
- Promote innovation and competition in nuclear power generation.
| SHANTI Bill: Comparison with Existing Laws | ||
| Aspect | Atomic Energy Act, 1962 & CLNDA, 2010 | SHANTI Bill 2025 |
| Sector Control | Complete government monopoly over nuclear energy. | Government control retained, but limited private participation allowed |
| Private Participation | No role for private companies | Private firms allowed up to 49% minority equity |
| Foreign Involvement | Effectively restricted due to legal and policy barriers | Foreign participation permitted through partnerships |
| Liability Framework | Strict supplier liability under CLNDA | Risk-sharing & liability management mechanisms proposed |
| Technology Focus | Large, indigenous nuclear reactors | Emphasis on Small Modular Reactors (SMRs) |
| Investment Environment | Closed and risk-heavy for investors | More investment-friendly and aligned with global practices. |
The SHANTI Bill represents a bold attempt to harness the potential of nuclear energy through private sector participation. However, it also raises important questions about safety, liability, and transparency.
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