One of the most notable legislative acts enacted by the Parliament to reorganise the country’s nuclear energy system is the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025. It supersedes previous laws, such as the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act of 2010, to establish a new, coherent, comprehensive legal framework for nuclear energy. The bill is the first to permit regulated involvement by the private sector in the construction and operation of nuclear facilities, thereby increasing investment, adopting new technologies, and expanding capacity. India aims for 100 GW by 2047. It also grants statutory effect to the regulatory body, the Atomic Energy Regulatory Board, strengthening safety regulation and updating liability regulations to support new technologies and international collaboration.
Key Provisions of the SHANTI Bill, 2025 Explained
-
Replacement of Existing Nuclear Laws: The SHANTI Bill, 2025, replaces the Atomic Energy Act, 1962 and the Civil Liability for Nuclear Damage Act, 2010 and consolidates the two into one comprehensive law. Such consolidation makes the governance of the civil nuclear sector in India easier and the regulatory approvals and liability processes easier.
-
Liberalisation of Sector: The Bill is the first since independence to allow non-government entities, including Indian joint ventures and foreign companies, to build, own, operate, and decommission nuclear power plants, and NPCIL will no longer have the exclusive right to operate.
-
Retention of Strategic State Control: Although the wider participation, the government still has the authority to control sensitive areas like nuclear fuel production, heavy water plants and radioactive waste management to serve the national security and non-proliferation commitments.
-
Increase in Nuclear Regulators' Statutory Status: The Atomic Energy Regulatory Board is given statutory power and is responsible to Parliament, thereby enhancing both independence and transparency, as well as nuclear safety.
-
New Nuclear Liability Regime: The Nuclear liability regime is revised, whereby the suppliers do not have a role to play in compensation, and only the operators are concerned. The operator's liability is limited and tied to the plant's capacity, which lowers the financial risk and makes the investment more attractive.
Important Previous Year Questions (PYQs) on India’s Nuclear Energy
| Exam | Year | Question | Answer |
|---|---|---|---|
| UPSC CSE (Prelims) | 2013 | Which of the following is/are the advantage(s) of nuclear energy? | High energy density; low greenhouse gas emissions |
| UPSC CSE (Prelims) | 2016 | India is a member of which of the following export control regimes? | NSG (except full membership earlier), MTCR, Wassenaar Arrangement |
| UPSC CSE (Prelims) | 2018 | Thorium is used as a nuclear fuel in which reactors? | Fast Breeder Reactors (3-stage programme) |
| UPSC CSE (Prelims) | 2021 | India’s three-stage nuclear power programme is based on which fuel sequence? | Uranium → Plutonium → Thorium |
| UPSC CSE (Mains) | 2012 | Discuss India’s nuclear energy programme and its role in energy security. | Focus on 3-stage programme and thorium |
| UPSC CSE (Mains) | 2018 | Explain the significance of thorium reserves in India’s nuclear strategy. | Energy independence and sustainability |
| UPSC CSE (Mains) | 2023 | Evaluate the role of nuclear energy in India’s clean energy transition. | Baseload power; low emissions |
| SSC CGL | 2017 | Which element is commonly used as nuclear fuel in India? | Uranium |
| SSC CGL | 2020 | Where is India’s first nuclear reactor located? | Tarapur, Maharashtra |
| NDA | 2019 | What is nuclear fission? | Splitting of a heavy nucleus releases energy |
| CDS | 2021 | Which organisation regulates nuclear safety in India? | Atomic Energy Regulatory Board (AERB) |
| State PSCs | Various | Which department controls nuclear energy in India? | Department of Atomic Energy |
| Railway Exams | 2018 | Nuclear power plants use which reaction to generate energy? | Controlled nuclear fission |
| UPSC CSE (Prelims) | 2022 | Small Modular Reactors (SMRs) are associated with which benefit? | Flexibility and lower capital cost |
Expected MCQs for SHANTI Bill 2025
The SHANTI Bill, 2025, primarily aims to do which of the following?
A. Privatise nuclear fuel production
B. Consolidate and modernise India’s nuclear energy laws
C. End government control over nuclear energy
D. Promote nuclear weapons development
Correct Answer: B
Explanation: The Bill repeals older laws and creates a unified legal framework for civil nuclear energy.
Which two Acts are repealed by the SHANTI Bill, 2025?
A. Atomic Energy Act, 1948 and Energy Conservation Act, 2001
B. Atomic Energy Act, 1962 and CLND Act, 2010
C. Electricity Act, 2003 and Environment Protection Act, 1986
D. Nuclear Safety Act, 2011 and CLND Act, 2010
Correct Answer: B
Explanation: The Bill replaces both the Atomic Energy Act, 1962 and the Civil Liability for Nuclear Damage Act, 2010.
What major change does the SHANTI Bill introduce regarding nuclear power plant operations?
A. Only foreign companies can operate plants
B. NPCIL monopoly is removed
C. State governments gain control
D. Plants can operate without regulation
Correct Answer: B
Explanation: Private Indian companies and joint ventures are allowed to operate nuclear plants, ending NPCIL’s exclusive role.
Which areas remain under exclusive government control despite private participation?
A. Reactor design and construction
B. Nuclear fuel, heavy water, and radioactive waste
C. Electricity distribution
D. Plant maintenance
Correct Answer: B
Explanation: Strategic areas are retained by the state to ensure national security and non-proliferation.
The SHANTI Bill grants statutory status to which body?
A. Department of Atomic Energy
B. Nuclear Power Corporation of India Ltd
C. Atomic Energy Regulatory Board
D. National Security Council
Correct Answer: C
Explanation: AERB gets statutory backing and becomes accountable to Parliament, strengthening safety oversight.
Under the revised nuclear liability framework, who is responsible for compensation in case of an accident?
A. Equipment suppliers
B. Foreign partners
C. Nuclear plant operators
D. Central government
Correct Answer: C
Explanation: Supplier liability is removed; operators bear sole responsibility.
Operator liability under the SHANTI Bill is capped based on:
A. Extent of damage caused
B. Market value of the plant
C. Installed capacity of the plant
D. Duration of operation
Correct Answer: C
Explanation: Liability limits are linked to installed capacity to reduce financial uncertainty.
How does the SHANTI Bill align India with global nuclear practices?
A. By allowing nuclear weapons exports
B. By removing safety regulations
C. By aligning liability norms with international conventions
D. By ending state oversight
Correct Answer: C
Explanation: Removal of supplier liability brings India closer to global nuclear liability standards.
Conclusion (SHANTI Bill 2025)
SHANTI Bill, 2025, is a landmark decision in the nuclear energy policy of India, as it will modernise the old laws of the sector and allow regulated participation in the sector by the private sector. It will achieve this by enhancing the safety control and maintaining the strategic state control in order to increase the clean energy capacity, secure investment and facilitate long term energy security agenda of India.
