The United States has officially welcomed the passage of India's landmark nuclear energy legislation, signaling a significant boost to bilateral energy security cooperation. The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025, which received Presidential assent on Saturday, December 21, 2025, after being passed in Parliament on Thursday, has been hailed as a transformative step.
US Endorsement and Offer for Joint R&D
In a clear statement of support, the US Embassy in New Delhi issued a comment on Monday, December 23, 2024. The embassy stated, "We welcome India's new #SHANTIBill, a step towards a stronger energy security partnership and peaceful civil nuclear cooperation." Crucially, the US articulated its readiness to engage deeply with India in this newly opened sector, adding, "The United States stands ready to undertake joint innovation and R&D in the energy sector." This endorsement underscores the strategic importance of the bill for international partnerships.
What the SHANTI Bill Entails
The SHANTI Bill represents the most comprehensive overhaul of India's civil nuclear legal framework in decades. Its core provisions mark a decisive shift in policy. The legislation subsumes all existing laws governing the civil nuclear sector. Notably, it repeals two key acts: the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act of 2010.
The most groundbreaking change introduced by the bill is the opening of the nuclear power sector to private enterprise. For the first time, private companies and joint ventures will be permitted to build, own, operate, and decommission nuclear power plants in India. This participation will be conducted under a license granted by the government, paving the way for significant new investments and technological infusion.
Implications for India's Energy Future
The passage of the SHANTI Bill is poised to have far-reaching consequences. By allowing private players into a domain long reserved for state-owned entities, the government aims to accelerate the expansion of nuclear power capacity. This move is critical for India's goals of boosting clean energy output and ensuring long-term energy security.
The positive response from the United States, a key partner in India's civil nuclear journey since the 2008 agreement, suggests a new chapter of collaboration. The offer for joint research and development could lead to advancements in reactor technology, safety protocols, and fuel management, benefiting both nations.
In summary, the SHANTI Bill, 2025, is not just a domestic policy reform but a strategic instrument that strengthens India's energy diplomacy. It aligns the country's nuclear ambitions with global partnerships, primarily with the US, while unlocking private sector potential to meet growing energy demands sustainably.
