India's Nuclear Revolution: How the SHANTI Bill Opens the Sector to Private Players

Speaking to ANI, Anujesh Dwivedi, Partner at Deloitte India, said that the proposed legislation marks a clear break from the past. "I think it's a very, very transformative bill. It's a landmark movement for nuclear energy in the country," he says, adding that the move towards one consolidated law is "a big leap forward" for the sector.

A key shift under the SHANTI Bill is the opening up of the nuclear sector beyond government and central public sector entities. Dwivedi told ANI that the Bill "proposes to open up the sector beyond Government of India and central sector entities to enable private sector players, foreign or global players, and state sector entities to participate in nuclear power projects." He noted that Indian private companies already play an active role in thermal and renewable energy, and anticipates similar participation in nuclear power once an ecosystem is created.

The proposed bill also addresses long-standing concerns around supplier liability. The Civil Liability to Nuclear Damage Act (CLNDA), 2010, places liability on suppliers, which global companies view as a risk. Dwivedi said that the proposed changes are likely to ease these concerns. "Now that the proposed amendment is likely to address the supplier's liability concerns on civil liability, it is anticipated that French, Russian players will find more interest in the sector," he noted, pointing to possible joint ventures with Indian firms.

At the operational level, the Bill lays down rules for licensing and safety authorisation, regulates the use of nuclear and radiation technologies in healthcare, agriculture, industry and research, and gives statutory status to the Atomic Energy Regulatory Board. It also proposes a revised civil liability framework and new institutions to handle claims related to nuclear damage.

Dwivedi placed the Bill in the context of India's current capacity. He said that the country has about 8 gigawatts of nuclear power installed, forming around 3 per cent of total capacity. "We are targeting to achieve 100 gigawatts by 2047, and then further scale it to almost 300 gigawatts by 2070," he noted, adding that nuclear power is expected to support base load needs in the long term as India moves towards net zero.

The proposed bill is closely linked to India's long-term energy and climate goals of country's roadmap for decarbonisation by 2070 and a target of achieving 100 gigawatts of nuclear power capacity by 2047.

- ANI