Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025

Source: News on Air

Subject: Government Schemes

Context: President of India has granted assent to the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025, passed during the Winter Session of Parliament.

About Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025:

What it is?

A comprehensive legislation that replaces the Atomic Energy Act, 1962 and the Civil Liability for Nuclear Damage Act, 2010, creating a unified framework for regulation, licensing, safety, and liability in India’s civil nuclear sector.

• Accelerate nuclear power capacity for clean energy transition

• Enable private and JV participation under strict regulation

• Modernise safety, liability, and oversight mechanisms

Key features:

• Opening the sector to non-government entities Licences can now be granted to Indian private companies, government–private joint ventures, and other entities expressly permitted by the Centre (excluding foreign-incorporated companies). Permitted activities include building, owning, operating, and decommissioning nuclear plants, and fabrication, transport, trade, and storage of nuclear fuel. Mandatory safety authorisation from the Atomic Energy Regulatory Board (AERB) for any radiation-related activity.

• Licences can now be granted to Indian private companies, government–private joint ventures, and other entities expressly permitted by the Centre (excluding foreign-incorporated companies).

• Permitted activities include building, owning, operating, and decommissioning nuclear plants, and fabrication, transport, trade, and storage of nuclear fuel.

• Mandatory safety authorisation from the Atomic Energy Regulatory Board (AERB) for any radiation-related activity.

• Revised nuclear liability framework Retains the no-fault liability principle for operators and compulsory insurance coverage. Introduces a tiered liability cap based on reactor capacity: ₹100 crore to ₹3,000 crore (replacing the flat ₹1,500 crore cap). Central government bears excess liability beyond the operator’s cap. Liability exclusions (e.g., certain natural disasters) and claims adjudication mechanisms are retained.

• Retains the no-fault liability principle for operators and compulsory insurance coverage.

• Introduces a tiered liability cap based on reactor capacity: ₹100 crore to ₹3,000 crore (replacing the flat ₹1,500 crore cap).

• Central government bears excess liability beyond the operator’s cap.

• Liability exclusions (e.g., certain natural disasters) and claims adjudication mechanisms are retained.

• Change in operator’s right of recourse Removes the right of recourse against suppliers for defective equipment or materials. Recourse remains only where contractually provided or in cases of deliberate acts causing damage, aligning India with global nuclear liability norms.

• Removes the right of recourse against suppliers for defective equipment or materials.

• Recourse remains only where contractually provided or in cases of deliberate acts causing damage, aligning India with global nuclear liability norms.

• Expanded territorial jurisdiction for claims Compensation coverage extends to nuclear damage suffered in foreign states arising from incidents in India, subject to specified conditions.

• Compensation coverage extends to nuclear damage suffered in foreign states arising from incidents in India, subject to specified conditions.

• Statutory status to Atomic Energy Regulatory Board (AERB) Grants legal backing to AERB to ensure safe use of nuclear energy and radiation. Composition: Chairperson, one whole-time member, up to seven part-time members (experts of eminence). Appointments via a search-cum-selection committee; tenure 3 years, extendable up to 6 years.

• Grants legal backing to AERB to ensure safe use of nuclear energy and radiation.

• Composition: Chairperson, one whole-time member, up to seven part-time members (experts of eminence).

• Appointments via a search-cum-selection committee; tenure 3 years, extendable up to 6 years.

• Atomic Energy Redressal Advisory Council New appellate body to hear appeals against decisions of the Central Government or AERB. Chaired by the Chairperson, Atomic Energy Commission; includes heads of BARC, AERB, and CEA. Further appeal lies with the Appellate Tribunal for Electricity.

• New appellate body to hear appeals against decisions of the Central Government or AERB.

• Chaired by the Chairperson, Atomic Energy Commission; includes heads of BARC, AERB, and CEA.

• Further appeal lies with the Appellate Tribunal for Electricity.