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SHANTI Act Opens Nuclear Sector to Private Entities, Caps Liability at ₹3900 Cr and Exempts Suppliers

Target:UPSC GS-IIMPSCTeachingSSC GAPrelims HighMains HighStatic GK Link
12 Feb 2026
~2 min
Source: The Hindu
Key Data:₹100 crore to ₹3000 crore operator liability cap300 million Special Drawing Rights (≈₹3900 crore) total liability cap3% of India's electricity from nuclear energy100 GW nuclear target by 2047February 12, 2026
Bodies:ParliamentAtomic Energy Regulatory BoardAtomic Energy CommissionInternational Nuclear Safety Advisory Group
Practice MCQs from today's news ▸
What This Article Covers

1.The SHANTI Act, passed in Winter Session 2026, allows private entities to operate nuclear plants and modifies the Civil Liability for Nuclear Damage Act (CLNDA).

2.It removes supplier liability and caps total accident compensation at ~₹3,900 crore, which is vastly lower than potential damages (e.g., Fukushima: ~₹46 lakh crore).

3.For exam perspective, focus on the shift from 'absolute liability', the role of the Atomic Energy Regulatory Board (AERB), and the economic vs. safety trade-off.

The Big Picture
Prelims · HighMains · High

The recently passed SHANTI Act opens India's nuclear power sector to private players while significantly altering the liability framework. It indemnifies suppliers and caps operator liability, raising critical concerns about safety, moral hazard, and victim compensation, especially in light of past nuclear disasters like Fukushima and Chernobyl.

Exam Lens

Quick Exam Facts From News

Total Liability Cap300 million SDR (~₹3,900 crore)
Operator Liability Cap (Max)₹3,000 crore
India's Nuclear Energy Share~3% of electricity
Nuclear Capacity 20206.78 GW (Target: 20 GW)
New Target by 2047100 GW

1-Minute Revision

  • ›Total Liability Cap: 300 million SDR (~₹3,900 crore)
  • ›Operator Liability Cap (Max): ₹3,000 crore
  • ›Target this Data: Total liability cap of 300 million SDRs (~₹3,900 crore)
  • ›Target this Nodal Body: Atomic Energy Regulatory Board (AERB)
  • ›Target this Legal Point: Omission of Clause 46 of CLNDA and 'right of recourse' (Section 17)

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

Which regulatory body is primarily responsible for nuclear safety in India, as mentioned in the context of the SHANTI Act?

Q2Statement-basedHard

Consider the following statements regarding the SHANTI Act:

1. It allows private entities to operate nuclear power plants in India.

2. It increases the liability cap for nuclear suppliers compared to the earlier CLNDA.

3. It omits Clause 46 of the CLNDA, which allowed victims to seek remedies under other laws.

Which of the statements given above is/are correct?

Q3Data-centricMedium

According to the article, what is the approximate total cap on liability for a nuclear accident under the SHANTI Act, expressed in Indian Rupees?

Q4Application/ImpactMedium

What is a primary criticism of the liability provisions in the SHANTI Act, as discussed in the article?

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