Rajya Sabha Approves Landmark Nuclear Energy Bill to Attract Private Investment

The Rajya Sabha has recently passed the 2025 Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Bill, known as Shanti, which aims to allow private operators into the civil nuclear sector. This legislation, which has already cleared the Lok Sabha, is now pending presidential approval. The bill proposes significant changes, including a tiered liability system for nuclear accidents and the removal of certain legal provisions that have hindered foreign investment. While the government views this as a step towards a clean energy future, opposition voices raise concerns about safety and the influence of private interests in a critical sector. Prime Minister Modi has hailed the bill as a transformative moment for India's technological landscape.

By Narendra Chaudhary Dec 19, 2025, 20:19 IST

Rajya Sabha Passes Nuclear Energy Bill

On Thursday, the Rajya Sabha approved the 2025 Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Bill, which is designed to allow private entities to participate in the civil nuclear sector.

This legislation, known as Shanti, received clearance from the Lok Sabha just a day prior and now awaits the president's approval to become law.

Amendments proposed to the bill, along with a request from the Opposition to refer the legislation to a parliamentary committee for further examination, were dismissed during a voice vote, as reported by a news outlet.

The proposed law aims to issue licenses to private firms, joint ventures, and government entities for the construction, ownership, operation, or decommissioning of nuclear power facilities.

Additionally, it seeks to eliminate a provision from the 2010 Civil Liability for Nuclear Damage Act that permitted nuclear plant operators to initiate legal action against suppliers if their equipment was implicated in an incident.

In 2008, the Bharatiya Janata Party had criticized the Congress-led United Progressive Alliance government for not including such a provision.

However, after the enactment of the Civil Liability for Nuclear Damage Act in 2010, this clause was seen as a barrier to foreign investment in India's nuclear sector, despite the Indo-US nuclear agreement.

The new bill proposes a tiered compensation system for operators in the event of accidents, where their liability will correlate with the thermal power capacity of the nuclear facility.

The 2010 legislation set a maximum liability limit for operators at Rs 1,500 crore.

The objective of this bill is to stimulate investment in the nuclear energy sector, aiding India in reaching its goal of 100 gigawatts of nuclear power capacity by 2047.

During the Upper House debate, Trinamool Congress MP Sagarika Ghose expressed concerns, labeling the bill as fundamentally unsafe. She remarked, “This bill brings neither peace nor security...”

Ghose emphasized that while India has responsibly pursued nuclear energy for decades, the current approach risks compromising public safety and placing a critical sector in the hands of private interests and foreign influences.

She criticized the bill as reckless, asserting that it prioritizes profit over public welfare and represents a capitulation to the Trump administration.

In response, Jitendra Singh, the Minister of State for the Department of Atomic Energy, defended nuclear power as a dependable energy source, assuring that safety measures would remain intact.

Following the Rajya Sabha's approval, Prime Minister Narendra Modi hailed the legislation as a “transformational moment” for India's technological advancement, stating it would significantly contribute to a clean energy future.