SHANTI Act: NPCIL to rework nuclear business model in light of new law

The Nuclear Power Corporation of India Limited (NPCIL) will hold consultations with industry to seek fresh inputs on the nuclear power business model following passage of the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, 2025, which allows private participation in the nuclear sector.  

The NPCIL will hold a consultative workshop on January 22 to evolve an approach for the implementation of the Bharat Small Reactors (BSR) programme in accordance with the new nuclear regime.

“To this end, NPCIL seeks structured inputs from industry stakeholders to ensure that the revised model adequately addresses implementation requirements while safeguarding national policy objectives,” it said in a communication to industry on January 6.  

The NPCIL called for the request for proposal for BSRs on December 31, 2024, and several private players, including the Adani group, Reliance, Tatas, Jindal and JSW expressed interest. However, the industry demanded certain clarifications before going ahead.   

“In furtherance of the government’s policy to enable private industry access to reliable and carbon-free nuclear power, NPCIL has earlier issued a request for proposal, outlining the Business Model for industry participation,” it said.

Considering the interest received, the deadline for submission of proposals has been extended to March 31, 2026. 

The RFP was originally structured in accordance with the provisions of the Atomic Energy Act, 1962, and the Civil Liability for Nuclear Damage Act, 2010, which were applicable at that time.

“This landmark legislation provides an enabling and liberalised framework for enhanced industry participation in nuclear energy,” it added. 

India has set a target of achieving 100 GW of nuclear power by 2047 from 8.8 GW now, with a focus on small modular reactors for industrial decarbonisation as part of the country’s net-zero target.