India Opens Up Nuclear Power Sector

Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)

Summary

India is opening up its nuclear power market to private developers for the first time following the passing of the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill.

India will allow private developers to take part in its nuclear power market for the first time as the country makes nuclear power a cornerstone of the country's future energy transition.

The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill was passed by both houses of the Indian parliament and is a win for its main proponent, President Narendra Modi. Nuclear power has consistently accounted for around 3% of total electricity generation in India with nuclear capacity standing at 8.78 gigawatts (GW) from 24 reactors. The country's long-term objective is to ramp that up greatly to 100 GW by 2047. Industrial Info is tracking 18 related active projects with a combined investment value of US$75 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the reports.

The SHANTI Bill consolidates and modernises India's nuclear legal framework, allows for limited private participation in the nuclear sector 'under regulatory oversight' and grants statutory recognition to the Atomic Energy Regulatory Board (AERB). It will replace two key pieces of existing legislation, which tightly controlled and also limited the expansion of nuclear power in India. 

• The Atomic Energy Act of 1962 - and its amendments over the decades - empowered the government to regulate atomic energy for peaceful purposes, ensuring strict control over research, development, and use of nuclear materials.
• The 2010 Civil Liability for Nuclear Damage Act, which introduced a no-fault liability regime, ensuring compensation in case of nuclear incidents. 

Approving the Bill, President Modi said: "The passing of the SHANTI Bill by both Houses of Parliament marks a transformational moment for our technology landscape. My gratitude to MPs who have supported its passage. From safely powering AI to enabling green manufacturing, it delivers a decisive boost to a clean-energy future for the country and the world. It also opens numerous opportunities for the private sector and our youth. This is the ideal time to invest, innovate and build in India!"

What it Means for Developers

The Bill permits private companies to undertake "plant operations, power generation, equipment manufacturing, and selected activities such as the fabrication of nuclear fuel including conversion, refining and enrichment of uranium-235, or production, use, processing or disposal of other prescribed substances." However, certain sensitive nuclear fuel‑cycle activities are reserved exclusively for the Central Government or its wholly owned institutions. These include "enrichment or isotopic separation of prescribed or radioactive substances (unless otherwise notified), management of spent fuel such as reprocessing, recycling, radionuclide separation, and high-level waste handling, production and upgradation of heavy water, and any other facilities or activities specifically notified by the Government."

In August, Industrial Info reported on India's grand plan for nuclear power, targeting 100 GW by 2047. In the shorter term, it aims to more than double its current capacity to more than 22 GW in the next seven years, with 18 reactors under development that are expected to add more than 13.6 GW of capacity. For additional information, see August 5, 2025, article - India Starts Feasibility Study for Small Modular Reactors.

SMRs Will Play a Key Role

Small modular reactors (SMRs) are expected to play a major role in the nuclear plan. There are three technologies being worked on by Bhabha Atomic Research Centre (BARC), India's premier nuclear research facility, including the 200-MWe Bharat Small Modular Reactor (BSMR), a 55-MWe SMR and the 5-MWth High Temperature Gas Cooled Reactor geared toward hydrogen production. State-owned NTPC Limited (New Delhi, India) is the first company to be exploring deploying SMRs at its aging coal-fired power plants. 

Key Takeaways

• India reforms nuclear power laws to allow private developers to take part in the sector for the first time.
• Nuclear power accounts for 3% of the country's power, but there are a large number of new projects in development.
• India wants to more than double its nuclear power capacity to 22 GW by 2032 and to 100 GW by 2047.

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About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).