Parliament on Thursday passed the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, marking a major shift in India’s nuclear energy policy. The legislation, which was cleared by the Lok Sabha on Wednesday, was introduced earlier this week by Union Minister of State for Atomic Energy Jitendra Singh.
The SHANTI Bill seeks to open up the nuclear power sector to private participation, a space that has so far been dominated exclusively by public sector enterprises. Under the new law, private companies and joint ventures will be eligible to construct, own, operate and even decommission nuclear power plants and reactors in India, subject to obtaining mandatory safety and radiation exposure clearances.
The passing of the SHANTI Bill by both Houses of Parliament marks a transformational moment for our technology landscape. My gratitude to MPs who have supported its passage. From safely powering AI to enabling green manufacturing, it delivers a decisive boost to a clean-energy…
— Narendra Modi (@narendramodi) December 18, 2025
One of the key provisions of the Bill is the removal of a contentious civil liability clause that earlier placed a heavy burden on suppliers of nuclear fuel and technology. The legislation also proposes rationalising the compensation framework in case of nuclear accidents, a move aimed at creating a more pragmatic and investment-friendly civil liability regime for nuclear damage.
The government hopes the reforms will significantly boost domestic and foreign investment in the nuclear energy sector, helping India achieve its ambitious target of 100 gigawatts of nuclear power capacity by 2047 as part of its long-term clean energy roadmap.
Reacting to the passage of the Bill, Prime Minister Narendra Modi described it as a “transformational moment” for India’s technology and energy landscape. Thanking Members of Parliament who supported the legislation, the Prime Minister said the SHANTI Bill would play a crucial role in “safely powering AI” and accelerating green manufacturing.
“This Bill delivers a decisive boost to a clean-energy future for the country and the world,” PM Modi said in a post on X. He added that the reforms would open up new opportunities for the private sector and young innovators, calling it an ideal time to “invest, innovate and build in India”.
Until now, only public sector entities were permitted to operate nuclear power plants in India, though joint ventures were allowed in limited cases. The new law expands eligibility to include government departments, government-owned or controlled institutions, public sector companies, private companies, joint ventures, and any other entity expressly permitted by the central government through notification.
According to the statement of objects and reasons, the SHANTI Bill also proposes amendments to the Patents Act, 1970, to facilitate the grant of patents related to atomic energy, further strengthening India’s nuclear technology ecosystem.
With the passage of the SHANTI Bill by both Houses of Parliament, the government has laid the groundwork for a more open, investment-driven and future-ready nuclear power sector aligned with India’s clean energy and climate commitments.