Introduction
The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025 is a consolidated law that repeals and replaces the Atomic Energy Act, 1962 and the Civil Liability for Nuclear Damage (CLND) Act, 2010. It came into effect on 21 December 2025 and is the most sweeping reform of India’s nuclear sector to date.
Why Was the SHANTI Act Needed?
The Union Budget 2025-26 launched the Nuclear Energy Mission (see related CTC) with a target of 100 GW nuclear capacity by 2047. Achieving this required opening the sector to private and foreign participation — something the old state-monopoly framework did not permit, and something the strict, open-ended supplier liability under the 2010 CLND Act actively discouraged (it had deterred foreign vendors such as Westinghouse and EDF).
Key Structural Reforms
- Private participation with strong government control: Private firms can enter civil nuclear projects, but strategic activities remain with the Centre, which retains licensing powers.
- Independent regulation and dispute resolution: AERB gets statutory status, while disputes can move from the Advisory Council to APTEL and finally the Supreme Court.
The New Liability Regime
- Graded Liability & Government Backstop: Operator liability is capped at ₹100–3,000 crore based on reactor type and risk, while total liability is capped at 300 million SDRs (~₹3,900 crore); beyond the operator’s limit, the Centre bears liability up to this ceiling, with excess potentially sought from the CSC.
- Limited Supplier Liability: Unlike the old CLND Act, supplier recourse is allowed only when provided in a written contract or when nuclear damage results from an individual’s intentional act.
Key Facts on the SHANTI Act, 2025
| Particular | Details |
| Full form | Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Act, 2025 |
| Core shift | State monopoly → regulated private/foreign participation |
| Regulator | AERB given statutory, independent status |
| Operator liability cap | ₹100 crore — ₹3,000 crore (graded, by reactor type) |
| Overall liability ceiling | 300 million SDR (~₹3,900 crore), per CSC 1997 |
| Supplier recourse | Contractual or intentional-act only (Section 16); statutory recourse removed |
| Linked mission | Nuclear Energy Mission — 100 GW by 2047 |
Conclusion
The SHANTI Act, 2025 replaces India’s six-decade-old atomic energy law with a unified, investment-friendly framework that enables private participation while keeping strategic activities and overarching safety oversight with the State. It is the legal backbone for operationalising the Nuclear Energy Mission and India’s 100 GW by 2047 target.
| This CTC has been elaborately discussed in the following article – Bharat Small Modular Reactors: India’s Nuclear Push |