SHANTI Bill Passed: Private Players to Enter India’s Nuclear Energy Sector – Key Questions Answered

New Delhi:
In a historic move set to transform India’s energy landscape, the SHANTI Bill has been passed by Parliament and approved by the President, allowing private companies to establish nuclear power plants in India. The legislation aims to achieve 100 GW of nuclear capacity by 2047, while keeping strategic resources like thorium under strict government control.

Currently, India’s nuclear power contributes only 8.75 GW, roughly 3% of the total electricity generation, with over 60% of electricity still derived from coal. India holds about 25% of the world’s thorium reserves.

What’s New in Nuclear Energy?

Until now, nuclear power generation was restricted to the central government and its entities. The SHANTI Bill allows private Indian firms such as Adani, L&T, and Tata Power to operate nuclear plants under government licenses. According to energy expert Anujesh Dwivedi, this law paves the way for large-scale capacity expansion and structural reforms essential for meeting India’s long-term energy goals.

Government Control Remains

The government retains control over uranium and thorium mining, spent fuel management, enrichment, recycling, and high-level atomic waste. Nuclear material will be handed back to the government after cooling for a specified period. Strategic activities and sensitive resources remain under strict governmental oversight.

Liability and Safety

In case of an accident, the plant operator will be responsible for compensation, with a limit of 300 million Special Drawing Rights per incident. Any excess liability will be covered by the Central Government’s Nuclear Liability Fund. Operators are exempted from liability during war, terrorism, or extreme natural disasters.

Role of Regulatory Authority

The Atomic Energy Regulatory Board (AERB) will operate under a clear legal framework, empowered to inspect facilities, investigate incidents, issue mandatory directives, and revoke operations of units failing to meet safety standards.

Opposition Concerns

Congress leader Shashi Tharoor expressed concern that profit motives could compromise safety standards. The government, however, reassures that strict licensing, regulations, and continued government oversight will minimize all risks.

Key Takeaway

The SHANTI Bill marks a revolutionary shift in India’s energy policy, enabling private participation while maintaining strategic control and safety oversight, positioning India on a path toward cleaner, self-reliant, and robust energy infrastructure.