The SHANTI Act, which received Presidential assent in 2025, is designed to accelerate the expansion of nuclear capacity and open the sector to private participation once implementing rules are issued. The present nuclear energy capacity of India stands at eight point seven eight gigawatts (GW) and the new law sets a long term target of 100 gigawatts (GW) by 2047. Applications for licences from private companies, joint ventures and research institutions will be considered only after the rules are formally notified and the parliamentary processes are completed.

The Act repeals the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act of 2010 and seeks to consolidate regulatory frameworks in support of a clean energy transition. It grants statutory recognition to the Atomic Energy Regulatory Board and is intended to establish clearer oversight and procedures for permitting and safety. The reform is presented as enabling limited private involvement while retaining government control over sensitive fuel cycle activities.

Key provisions aim to allow private parties to build and operate reactors and to engage in activities such as atomic mineral exploration, fuel fabrication and equipment manufacturing under regulatory oversight. Liability norms are being reworked to introduce insurance-backed liability caps with government backstop support beyond a defined threshold and proposals for a Nuclear Liability Fund funded by a levy on electricity tariffs. Sections 84 and 85 set out extensive matters to be addressed in rules, which has contributed to a detailed and time consuming drafting exercise.

Consultations led by NITI Aayog and other agencies have focused on operationalisation, strengthening domestic manufacturing, supply chain resilience and capacity building for a skilled workforce. Multiple 700 megawatts (MW) and 1,000 megawatts (MW) indigenous reactors are under development, with capacity projected to exceed 22 gigawatts (GW) by 2031-32. The government has indicated that private firms will be able to pursue bilateral trade, investment and technology discussions once the Act and its rules are formally in force, and officials have signalled that the notification process will guide the timeline for licence applications.