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India’s Parliament passes Shanti Bill, allowing private nuclear power

India’s Parliament passes Shanti Bill, allowing private nuclear power

India’s Parliament has passed the SHANTI Bill, formally known as the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025. This legislation marks a major reform by allowing private sector participation in the nuclear power sector, ending the long-standing monopoly of government entities like the Nuclear Power Corporation of India Ltd (NPCIL).

The bill replaces the Atomic Energy Act of 1962 and amends the Civil Liability for Nuclear Damage Act of 2010, permitting private companies to build, own, and operate nuclear reactors, including small modular reactors (SMRs). It introduces a cap on operator liability at ₹3,000 crore for accidents, removes automatic supplier liability, and establishes a nuclear liability fund for excess damages, while granting statutory powers to the Atomic Energy Regulatory Board (AERB).

The Union Cabinet approved the bill on December 12, 2025, it passed the Lok Sabha on December 17, and the Rajya Sabha cleared it on December 18 by voice vote amid opposition protests.

The government aims to expand nuclear capacity from 8.88 GW currently to 22 GW by 2032 and 100 GW by 2047 to support energy security, clean energy goals, and India’s net-zero targets.

Opposition parties criticized the bill for diluting liability protections, potentially limiting victim remedies in accidents, and favoring a few private firms while centralizing oversight.