NITI Aayog Maps Road to Private Nuclear Power under SHANTI Act

Policymakers and industry leaders have gathered to finalize the operational framework for the SHANTI Act 2025, signaling a historic opening of India's nuclear sector to private investment.

NEW DELHI — NITI Aayog has convened a high-level stakeholder consultation to expedite the implementation of the SHANTI Act 2025, a landmark legislation designed to transform India’s nuclear energy landscape. The consultation, held recently at the Dr. Ambedkar International Centre in New Delhi, brought together top policymakers, industry heads, and regulatory experts to deliberate on the operational roadmap for private sector participation in nuclear power generation.

The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025, replaces the aging Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage (CLND) Act of 2010. By enabling private companies to own and operate nuclear plants under strict regulatory oversight, the Act is a cornerstone of India’s goal to reach 100 GW of nuclear energy capacity by 2047.

Key Pillars of the SHANTI Framework

The technical discussions, chaired by NITI Aayog Member Prof. Abhay Karandikar, were structured around three core pillars essential for the successful rollout of the new nuclear regime:

• Legislative and Regulatory Clarity: The session focused on drafting rules and regulations that ensure statutory compliance. A primary objective is to attract foreign direct investment (FDI) while maintaining ironclad safeguards for domestic and strategic interests.

• Finance and Risk Mitigation: Experts deliberated on long-term project financing and the development of robust insurance frameworks. These mechanisms are vital for de-risking high-capital nuclear projects and building investor confidence.

• Capacity Building and Manufacturing: The consultation emphasized the need to strengthen the domestic supply chain and manufacturing base. Discussions also covered the creation of a specialized, highly skilled workforce capable of sustaining an expanded nuclear ecosystem.

Strengthening the Regulatory Ecosystem

A significant focus of the SHANTI Act 2025 is the strengthening of the Atomic Energy Regulatory Board (AERB), which now receives formal statutory recognition. This move is intended to provide the regulatory certainty required by private players and international investors entering the Indian market.

"According to officials," the framework under discussion aims to balance the need for rapid industrial scaling with the uncompromising safety and security standards required for atomic energy. The stakeholders examined strategies to enhance public awareness and community trust, which are considered vital for the long-term acceptance of large-scale nuclear projects across the country.

Why It Matters

The implementation of the SHANTI Act represents a seismic shift in India’s energy policy. As the nation pursues its "Viksit Bharat @2047" vision and commitment to net-zero emissions by 2070, nuclear power is viewed as the "clean firm power" needed to complement variable renewable sources like solar and wind. For investors and energy companies, the SHANTI Act provides a structured, legally backed pathway into a sector that was previously the exclusive domain of the state.

Key Facts at a Glance

• Policy Shift: Allows private companies to own and operate nuclear energy plants.

• Target Capacity: Supports India's long-term goal of 100 GW nuclear capacity by 2047.

• Regulatory Backbone: Grants statutory recognition to the Atomic Energy Regulatory Board (AERB).

• Consultation Scope: Focused on draft rules, FDI provisions, insurance frameworks, and workforce development.

FAQ

What is the primary objective of the SHANTI Act 2025? The Act aims to modernize nuclear governance, attract private and foreign investment, and accelerate India’s transition to clean energy by scaling up nuclear capacity.

Who participated in the NITI Aayog consultation? The event involved senior officials from the Ministry of Power, Central Electricity Authority, NTPC Ltd., Department of Atomic Energy, and the AERB, alongside industry leaders.

Does the Act replace older laws? Yes, it modernizes and consolidates the legal framework by replacing the Atomic Energy Act, 1962, and the CLND Act, 2010.

Source: NITI Aayog Official Statement, Press Information Bureau, ANI News