India's Nuclear Power Sector Set for Private Sector Boost: Govt Tables Bill to Scrap Liability Clause

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The Indian government has introduced a bill in Parliament to open up the country's nuclear energy sector to private players, aiming to boost investments and achieve its ambitious target of 100 GW of nuclear power capacity by 2047. The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025, seeks to replace the existing liability clause for suppliers of fuel and technology, which has been a major concern for global suppliers. Under the proposed bill, private companies can construct, own, and operate nuclear power plants in India after receiving a licence. The government has also proposed to exempt research, development, and innovation activities from needing a licence. The bill aims to provide a pragmatic civil liability regime for nuclear damage and repeal the Atomic Energy Act 1962 and the Civil Liability for Nuclear Damage Act (CLND Act) 2010. The bill has been welcomed by industry experts, who say it will help attract foreign investment and improve investor confidence. The government has also proposed to set up an Atomic Energy Redressal Advisory Council to hear complaints of any licensee or operator, along with fixing tariffs. The bill proposes to limit the liabilities of operators based on the reactor's output, with higher capacity reactors having higher liability limits. The government has also proposed to fix tariffs for power from nuclear power plants based on specified norms and mechanisms. The move is seen as a significant step towards achieving India's clean-energy goals and making nuclear power a major contributor to the country's energy mix. The bill is expected to be sent to a standing committee for further scrutiny.