SHANTI Bill: Nuclear Energy Reforms Explained for UPSC

Context

The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025 has been introduced to modernise India's nuclear legal framework. It consolidates and replaces the Atomic Energy Act, 1962 and the Civil Liability for Nuclear Damage Act, 2010.

What is the SHANTI Bill?

The Bill aims to create a comprehensive structure for India's nuclear sector. It enables limited private participation while strengthening regulatory oversight.

Key Objectives:

• Consolidates and modernises India's nuclear legal framework
• Enables limited private participation under regulatory oversight
• Grants statutory recognition to the Atomic Energy Regulatory Board (AERB)
• Supports achieving 100 GW nuclear energy capacity by 2047

India's Nuclear Energy Status

Present Position:

• Nuclear power accounts for around 3% of total electricity generation (3.1% in 2024–25)
• Current installed capacity: 8.78 GW
• Projected capacity by 2031–32: 22.38 GW

Nuclear Energy Mission (Union Budget 2025-26):

• Allocation: ₹20,000 crore
• Focus: Design, development, and deployment of Small Modular Reactors (SMRs)
• Target: At least five indigenously designed SMRs operational by 2033
• Long-term goal: 100 GW nuclear capacity by 2047

BARC Initiatives under the Mission:

• 200 MWe Bharat Small Modular Reactor (BSMR-200)
• 55 MWe SMR-55
• Up to 5 MWth High-temperature gas-cooled reactor for hydrogen generation

Evolution of India's Nuclear Laws

• Atomic Energy Act, 1962 — Replaced the 1948 law; laid foundation for India's nuclear programme
• Amendments (1986, 1987, 2015) — Gradually opened the sector to government companies and joint ventures
• Civil Liability for Nuclear Damage Act, 2010 — Introduced no-fault liability regime for nuclear incidents

Key Provisions of SHANTI Bill

Private Sector Integration:

• Private companies can participate in plant operations, power generation, and equipment manufacturing
• Activities involving radiation exposure require prior safety authorisation from the regulatory authority

Activities Reserved for Central Government:

• Enrichment or isotopic separation of prescribed substances
• Management of spent fuel (reprocessing, recycling, radionuclide separation, high-level waste handling)
• Production and upgradation of heavy water

Regulatory Mechanisms:

• AERB — Granted formal statutory recognition to strengthen regulatory independence
• Licensing System — Structured system for granting, suspending, or cancelling licences
• Graded Liability Framework — Operator liability limits vary according to type of nuclear installation

Dispute Resolution:

• Atomic Energy Redressal Advisory Council for dispute redressal
• Appellate Tribunal for Electricity serves as appellate authority
• Central Government can appoint Claims Commissioners for nuclear damage claims
• Nuclear Damage Claims Commission for severe nuclear damage cases

Non-Power Applications:

• Regulatory framework for nuclear and radiation technologies in healthcare, agriculture, industry, and research

Significance

The Bill supports India's long-term vision of expanding clean energy while ensuring strategic interests remain protected. It provides the legal foundation needed for scaling nuclear capacity from 8.78 GW to 100 GW by 2047, aligning with India's decarbonisation goals by 2070.