CLAT-2027 Blog

SHANTI Act & India’s Private Nuclear Power Push: CLAT 2027 Current Affairs

The Kudankulam Nuclear Power Plant in Tamil Nadu, representing India's nuclear power sector now opening to private participation

CURRENT AFFAIRS | 25 JUNE 2026

What Happened

At its Annual General Meeting, the Adani Group’s Chairman Gautam Adani announced plans to develop 10 GW of nuclear power over the next nine years, becoming one of several private players moving into a sector that was, until recently, a State monopoly. The pivot is enabled by the Sustainable Harnessing and Advancement of Nuclear Technology Bill (the ‘SHANTI Act’), passed by Parliament in December 2025, which opens private participation across the nuclear value chain — generation, fuel supply, R&D and Small Modular Reactors (SMRs). NTPC, Reliance and Tata Power are also entering the space; an Adani–Bhutan Druk Green 5,000 MW hydro joint venture was referenced alongside.

Background: From State Monopoly to Private Participation

For over six decades India’s nuclear power generation was reserved for the State under the Atomic Energy Act, 1962, with public-sector undertakings such as the Nuclear Power Corporation of India Limited (NPCIL) operating reactors. The Act vested the Central Government and the Department of Atomic Energy with sweeping control over atomic energy and fissile materials, effectively excluding private generation. The SHANTI Act, 2025 amends this settlement to permit regulated private entry, while safety and security oversight remains with the State.

A second pillar of the legal architecture is the Civil Liability for Nuclear Damage Act, 2010, which channels liability to the operator and caps compensation — a statute that has long shaped private and foreign-supplier appetite for India’s nuclear market. Opening the sector dovetails with India’s clean-energy commitments and its net-zero-by-2070 target, with SMRs pitched as scalable, lower-footprint options.

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Why It Matters

This is a structural shift in India’s energy law and policy — recalibrating the State’s historic monopoly over atomic energy to admit private capital, while retaining strict regulatory and liability frameworks. It tests how a 1962 statute is being re-engineered for a net-zero economy.

Constitutional & Legal Framework

The foundational statute is the Atomic Energy Act, 1962, which reserved nuclear power for the State/government corporations and empowered the Department of Atomic Energy. The SHANTI Act, 2025 amends this regime to allow private participation across generation, fuel supply, R&D and SMRs. Liability is governed by the Civil Liability for Nuclear Damage Act, 2010 (operator-channelled, capped compensation). Atomic energy is a Union subject under the Seventh Schedule, anchoring central legislative competence.

Key Facts

Particular Detail
Announcement Adani to develop 10 GW nuclear power over 9 years
Enabling law SHANTI Act (Sustainable Harnessing & Advancement of Nuclear Technology)
Passed December 2025
Old regime Atomic Energy Act, 1962 (State monopoly)
Liability law Civil Liability for Nuclear Damage Act, 2010
Other entrants NTPC, Reliance, Tata Power
Tech focus Small Modular Reactors (SMRs)
Policy goal Net-zero by 2070; clean-energy expansion
Nodal body Department of Atomic Energy
CLAT Angle

A clean test of statutory change: the move from the Atomic Energy Act 1962 State monopoly to private entry under the SHANTI Act 2025, paired with the Civil Liability for Nuclear Damage Act 2010. Legal-reasoning passages may probe operator-channelled liability and the State’s regulatory role. Remember ‘SHANTI = opening up; 1962 Act = State monopoly’.

Mnemonic / Memory Hook

SHANTI opens the door, 1962 kept it shut”. SHANTI = Sustainable Harnessing And Advancement of Nuclear Technology. Liability? Think ‘2010 caps it, channels it to the operator’.

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