Categories: US

US Welcomes India’s SHANTI Bill 2025, Signals Deeper Partnership & New Phase in India-US Civil Nuclear Cooperation

The US backs India’s SHANTI Bill 2025, calling it a boost to civil nuclear cooperation and energy security as private players enter India’s nuclear sector.

Published by
Neerja Mishra

India’s push to reform its nuclear energy laws has received clear support from the United States. Washington has welcomed the SHANTI Bill 2025, calling it a move that strengthens energy security and deepens civil nuclear cooperation between the two countries.

The endorsement comes days after the Indian Parliament passed the landmark legislation, opening the nuclear sector to wider participation for the first time. The response from the US signals growing strategic trust as India looks to expand clean energy capacity while reducing dependence on fossil fuels.

What the US Said on SHANTI Bill?

The US Embassy in India reacted soon after the Bill became law. In a post on X, it said, “We welcome India’s new #SHANTIBill, a step towards a stronger energy security partnership and peaceful civil nuclear cooperation. The United States stands ready to undertake joint innovation and R&D in the energy sector.”

The statement highlights Washington’s interest in deeper collaboration, not just in power generation, but also in technology development and research.

What is the SHANTI Bill 2025?

SHANTI stands for Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India. The Bill aims to modernise India’s outdated nuclear laws and align them with current energy and climate goals.

According to the government, the law consolidates India’s nuclear legal framework and allows limited private participation under strict regulatory oversight. It also gives statutory backing to the Atomic Energy Regulatory Board (AERB), strengthening safety and compliance mechanisms.

Why Private Companies Matter Now?

Until now, nuclear power generation in India has largely remained the domain of public sector entities. Private companies could only take part through select joint ventures. The SHANTI Bill changes that structure.

Under the new law, private firms and joint ventures can apply to build, own, operate, and even decommission nuclear power plants, provided they secure licences and meet radiation safety requirements. This reform is expected to unlock fresh investment, speed up project execution, and bring advanced technology into the sector.

This shift also reflects India’s urgency to scale up clean energy without overburdening public finances.

What Changes in Nuclear Liability Laws?

A key feature of the SHANTI Bill is its proposal to repeal the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act, 2010. These laws were often cited as barriers to foreign and private investment due to liability concerns.

By restructuring the legal framework, India hopes to create a more predictable and investor-friendly environment, while maintaining strong safety controls.

How This Fits India’s Clean Energy Goals?

The government has linked the SHANTI Bill directly to India’s long-term climate commitments. Nuclear power plays a critical role in providing stable, low-carbon electricity.

India has set a target of achieving 100 GW of nuclear power capacity by 2047. Allowing private participation could significantly accelerate progress toward this goal, especially as renewable sources like solar and wind face storage and grid challenges.

Strategic Signal Beyond Energy

Beyond power generation, the US endorsement carries diplomatic weight. It signals closer India-US strategic alignment in advanced technologies, supply chains, and clean energy leadership. Joint research, innovation, and reactor technology cooperation could now move faster under a clearer legal framework.

For India, the SHANTI Bill is not just an energy reform. It is a statement of intent to become a major player in the global clean nuclear ecosystem, with trusted international partners onboard.

What Comes Next?

With the law in place, attention now shifts to rule-making, licensing processes, and investor response. How quickly private and foreign players step in will determine the Bill’s real impact.

What is clear is that India’s nuclear sector has entered a new phase — and the United States is watching, and welcoming, that shift closely.

Neerja Mishra