The New Nuclear Bill Severely Compromises India's National Interests

(MENAFN- The Arabian Post)

By Dr Arun Mitra

The new nuclear bill, titled Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI), passed by Parliament, has received the assent of the President of India, Droupadi Murmu. With this, it has become an Act governing various aspects of nuclear energy in the country.

There is a strong push towards expanding nuclear power for electricity generation. At a time when the entire world is deeply concerned about the accelerating climate crisis-which threatens to reach catastrophic levels-the pro-nuclear lobby is aggressively projecting nuclear power as“clean energy.” However, the criteria for any genuinely green source of energy include sustainability, cost of installation and decommissioning, cost of generation, and humanitarian consequences. Nuclear energy fails on several of these counts.

The nuclear energy process involves multiple stages-from uranium mining and transportation to enrichment, reactor installation, electricity generation and long-term waste management. A foolproof system for handling radioactive waste is essential, yet remains unresolved globally. In addition, the enormous costs of decommissioning nuclear plants must be factored in. Given that nuclear energy is inherently hazardous, any accident can have grave consequences. In such situations, the protection of affected communities must be paramount.

A study conducted by Indian Doctors for Peace and Development (IDPD), titled“Health Impact on the People Living Around Jadugoda Uranium Mines”, revealed alarming health impacts among local populations. These included congenital deformities, malformed children, primary sterility, cancers, and several other serious illnesses. These conditions were significantly higher compared to people of the same ethnic background and similar socio-economic status living more than 30 kilometres away from the mines.

India began pursuing nuclear energy as early as the 1950s. In 1960, the International Atomic Energy Agency (IAEA) projected that India would generate 43500 MW (43.5 GW) of nuclear power by 2000. However, as of February 2025, actual generation stands at only 8,180 MW. Consequently, nuclear energy contributes less than 2% of India's total electricity generation. As of October 2025, India's total installed electricity generation capacity was 505 GW. The share of different sources was: thermal power 44.53%, hydroelectric 9.97%, nuclear power 1.74%, renewable energy (wind, solar, biomass, waste, etc.) 38.64%, and oil & gas 4.10%.

Despite this poor performance, the Indian government, through its Nuclear Energy Mission, aims to expand nuclear capacity to an ambitious target of 100 GW by 2047. Commenting on this, Princeton University physicist M. V. Ramana has stated that such a target is“very unlikely and probably impossible.” He further points out that globally, the share of nuclear energy in electricity generation has declined from 16.7% in 1997 to just 9.2% in 2022.

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According to the World Nuclear Industry Status Report, the cost of generating electricity from solar power ranges between USD 36–44 per megawatt hour (MWh), while onshore wind costs USD 29–56 per MWh. In contrast, nuclear power costs between USD 112 and USD 189 per MWh-three to four times more expensive than renewable sources.

The cost of decommissioning a nuclear power reactor, including waste management, typically ranges from USD 500 million to USD 2 billion. The decommissioning process usually takes 15–20 years, though it can extend further.

Another serious concern is the inseparable link between nuclear energy and nuclear weapons. As M. V. Ramana explains,“Technically speaking, having a nuclear reactor means you're going to have more capacity to make nuclear weapons.”

Nuclear power plants require the highest level of security and therefore demand direct and strict government control. Any laxity can prove disastrous. The SHANTI Act runs directly contrary to these requirements by allowing blanket entry of private players into nuclear power generation. An analysis by Friends of the Earth India (FoE) and the National Alliance of People's Movements (NAPM) warns that such an opening is extremely dangerous and significantly increases the risk of nuclear incidents and accidents. Granting operational control over fissile and highly radioactive materials to private entities could have catastrophic and irreversible consequences. Private businesses, driven primarily by profit motives, are far more likely to compromise on safety and security. The Act clearly prioritises business interests over public safety, environmental protection, workers' rights, and the wellbeing of affected communities.

The liability provisions under the Act are grossly inadequate. The cap of USD 460 million (₹3,910 crore) per accident bears no relation to the scale of potential damage. It is inconceivable that any cap-let alone such a meagre one-should be imposed on liability regardless of the magnitude of a nuclear disaster. This amount is even lower than the USD 470 million compensation paid to victims of the Bhopal Gas Tragedy as per the analysis of FoE and NAPM. In contrast, similar legislation in the United States sets financial liability at USD 10.5 billion per accident.

The SHANTI Act also removes the earlier provision that allowed operators to seek compensation from equipment suppliers. As a result, even if an accident occurs due to faulty design or sub-standard equipment, suppliers will escape liability, while the burden will fall on Indian taxpayers.

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Further, the Act drastically reduces the limitation period for filing compensation claims to three years, compared to the earlier provisions of 10 years for property damage and 20 years for personal injury. These restrictive timelines will exclude many genuine victims who may develop serious health problems years after exposure.

The Act also excludes affected communities, civil society organisations, and even state governments from directly initiating criminal proceedings in cases of negligence-related nuclear accidents. Only individuals authorised by the Central Government or the Atomic Energy Regulatory Board can file complaints. This violates the fundamental right of individuals and communities to seek judicial redress, especially when nuclear accidents can cause widespread collateral damage points out Soumya Dutta, an anti-nuclear activist.

In the event of a major disaster-such as Fukushima or Chernobyl-the economic consequences could severely strain India's economy. The cost of Fukushima's cleanup and response has already exceeded USD 182 billion-several hundred times higher than the liability cap proposed under the SHANTI Act.

The Act vests regulatory powers in the Central Government, which is itself promoting nuclear energy and diluting safety provisions. Instead, an independent, transparent, and multi-stakeholder regulatory mechanism is urgently required. Therefore, it is imperative that the entire issue of nuclear power expansion be debated thoroughly and democratically.

Significantly, just two days after Parliament passed the SHANTI Bill-allowing private participation and capping operator liability at ₹3,000 crore-U.S. President Donald Trump signed the National Defence Authorization Act (NDAA) on December 19, 2025. The Act advises the U.S. Secretary of State to work with the Indian government to“align India's domestic nuclear liability rules with international norms.”

This clearly explains the motivation behind opening India's nuclear sector to private players and removing supplier liability.

It is high time that concerned citizens and organisations should raise the issue vociferously and force the government to stall this act and hold detailed debate in the parliamentary standing committee and with civil society members and various stake holders. (IPA Service)

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