N※N

India Unveils 'Shanti Bill' to Accelerate Nuclear Power Expansion

  //science-technology.news-articles.net/content/2 .. -bill-to-accelerate-nuclear-power-expansion.html
  Published in Science and Technology on Monday, December 15th 2025 at 12:11 GMT by The Hans India

India’s New “Shanti” Bill: A Comprehensive Push for Nuclear Power

On 29 May 2024, the Indian Parliament welcomed a landmark piece of legislation that could reshape the country’s energy future: the “Shanti Bill.” The bill, which was tabled by the Union Minister for Science & Technology and the Minister for Power, seeks to create a robust legal framework that accelerates the development, financing, and operation of nuclear power plants across the nation. Its name, “Shanti” meaning peace in Hindi, underlines the government’s vision of a clean, safe, and sovereign nuclear energy sector that supports the country’s ambition for a low‑carbon future.

Why “Shanti” Matters

India’s energy demand is projected to double by 2050. While renewable sources (solar, wind, hydro) have taken the front seat, the nuclear sector remains pivotal for ensuring baseload, reliable, and carbon‑free electricity. Currently, India’s nuclear fleet—13 GW of installed capacity—accounts for roughly 1.5 % of the nation’s total power generation. To meet its long‑term targets, the government has repeatedly highlighted the need to scale up nuclear capacity to 60 GW by 2035 and beyond.

The “Shanti” Bill is a direct response to the challenges that have historically slowed nuclear projects: complex licensing regimes, high upfront costs, bureaucratic bottlenecks, and limited private sector participation. By simplifying processes, fostering public‑private partnerships, and providing financial incentives, the bill aims to transform nuclear power from a niche, state‑led endeavour into a mainstream, investor‑friendly industry.

Core Provisions of the Shanti Bill

1. Simplified Licensing and Regulatory Framework

   The bill proposes the creation of a Special Purpose Vehicle (SPV)—a dedicated entity that can operate with a separate regulatory regime tailored to nuclear projects. This SPV will be empowered to handle licensing, safety inspections, and environmental clearances under a unified, streamlined process, significantly reducing the lead time from project conception to plant commissioning.

   The bill will allow the Atomic Energy Regulatory Board (AERB) to issue a “Nuclear Project License” within 24 months of application, a stark reduction from the current 4–5‑year cycle.

2. Financial Incentives and Loan Guarantees

   Recognizing that nuclear projects demand multimillion‑rupee capital, the bill introduces a government‑backed loan guarantee scheme that can cover up to 70 % of the project cost. This guarantee will be accessible to both domestic and foreign investors, thereby lowering the cost of capital and encouraging investment from private equity, infrastructure funds, and international lenders.

   The bill also sets the stage for Public‑Private Partnerships (PPPs), allowing private entities to own up to 50 % of the equity in new nuclear plants, with the state retaining majority control over safety and operation.

3. Accelerated Environmental Clearance

   Environmental approvals have traditionally been a pain point for nuclear projects. The Shanti Bill mandates a 90‑day window for environmental clearance from the Ministry of Environment, Forest and Climate Change (MoEFCC), subject to compliance with the Nuclear Safety Guidelines. It also introduces a “fast‑track” route for projects that meet certain pre‑defined safety and community engagement criteria.

4. Fuel Cycle & Indigenous Development

   One of the most contentious issues in India’s nuclear policy is the fuel cycle. The bill encourages the development of indigenous enrichment and reprocessing facilities by offering tax incentives and preferential procurement contracts. It also stipulates a “dual‑track” policy: while allowing import of enriched uranium for immediate use, it stresses the eventual transition to a domestic fuel supply chain.

5. Safety & Decommissioning Standards

   To reinforce public trust, the Shanti Bill includes a mandatory safety audit at 5‑year intervals, with the AERB overseeing all safety protocols. Decommissioning costs for old units will be earmarked in a dedicated “Nuclear Decommissioning Fund.” The bill also introduces compulsory insurance schemes for nuclear installations to cover potential liabilities.

Political & Stakeholder Reactions

Industry:
The Nuclear Power Corporation of India Ltd. (NPCIL) welcomed the bill, noting that it could shorten the project timeline from 10–12 years to 6–7 years. “A simplified legal framework will help us meet the government’s capacity targets faster,” said NPCIL’s Managing Director. Private power developers such as Adani Energy and Tata Power also expressed cautious optimism, citing the potential for better risk‑sharing models.

Academics & NGOs:
Dr. N. Venkataraman, a noted energy policy analyst at the Indian Institute of Technology (IIT) Delhi, highlighted that the bill’s success would hinge on transparent implementation. “The real test will be whether the government can balance the dual goals of safety and rapid deployment,” he said. Meanwhile, several environmental NGOs—including Greenpeace India and the Center for Environment, Energy & Development (CED) – urged the inclusion of stricter community consultation clauses.

Political Landscape:
The bill’s introduction was a strategic move by the ruling coalition to reinforce its commitment to “green growth.” Opponents from opposition parties argued that the public sector should maintain tight control over nuclear projects to prevent potential safety compromises. Yet, most opposition parties accepted that the bill is a necessary step for meeting climate goals, though they called for robust monitoring mechanisms.

Comparative International Context

The Shanti Bill places India in line with other nuclear‑power‑ambitious nations that have adopted regulatory reforms to expedite plant approvals. For instance:

• United States: The Nuclear Regulatory Commission (NRC) has issued “Nuclear Power Plant (NPP) Construction Projects” licenses within a 12‑month window for projects that meet “safety and environmental” thresholds.
• South Korea: The Korea Atomic Energy Research Institute (KAERI) employs a “fast‑track” licensing model for small modular reactors (SMRs) that can reduce project timelines by up to 30 %.
• France: The Autorité de Sûreté Nucléaire (ASN) uses a single‑stop licensing process for nuclear plants, streamlining approvals across safety, environmental, and construction facets.

By adopting a similar approach, India hopes to become a regional leader in nuclear technology and an attractive destination for foreign direct investment in clean energy.

What Lies Ahead

The Shanti Bill has been now under the scrutiny of the Parliament’s Finance Committee for potential fiscal implications. Should it pass the committee stage, the bill will be sent to the Rajya Sabha for debate. If approved, the next steps include:

1. Establishment of the Nuclear Project SPV – a statutory body that will serve as the primary licensing and regulatory interface.
2. Formulation of the “Nuclear Project Loan Guarantee Scheme” – to be implemented by the Ministry of Finance in collaboration with the State Bank of India (SBI) and other multilateral lenders.
3. Public Consultation Process – ensuring that local communities near potential sites are engaged early, thereby minimizing social resistance.
4. Capacity‑Building Initiatives – training for Indian nuclear engineers, safety inspectors, and regulatory staff to handle the increased project volume.

Conclusion

The Shanti Bill signals a bold, systemic shift in India’s approach to nuclear power. By addressing the three main bottlenecks—regulatory delays, financial hurdles, and limited private sector participation—the bill could catapult India towards its 60‑GW nuclear capacity goal by 2035. It also underscores a broader commitment to sustainable development, positioning nuclear energy as a cornerstone of India’s clean‑energy mix.

In a world grappling with climate change, India’s nuclear ambitions—bolstered by the Shanti Bill—are both a strategic necessity and a political promise. The coming months will determine whether the bill’s ambitious framework translates into tangible progress, setting a precedent for other emerging economies looking to balance rapid energy growth with stringent safety standards.