Draft SHANTI Rules: India Proposes 6-Month Timeline for Nuclear Project Licences

The government has proposed a 180-day timeline for granting licences for nuclear facilities, plants and mines under the draft SHANTI Rules, 2026, as per news reports.  

The rules also propose that all related clearances be issued within 60 days after an application is admitted. 

The Department of Atomic Energy released the draft Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Rules, 2026 for public consultation on August 14. Comments have been invited until September 4. 

In-Principle Approval Proposed for Nuclear Projects 

The draft rules include a provision for “in-principle approval” for applicants that have not yet finalised a site or reactor technology. 

This would allow companies to start talks with reactor technology suppliers and work on land and other infrastructure before applying for the final licence. 

The government has also proposed a single composite licence covering the construction, operation and decommissioning of a nuclear power plant.  

The licence would continue through these stages as long as the operator meets the requirements of the Atomic Energy Regulatory Board (AERB). 

Foreign Reactor Designs Included 

The proposed framework also allows nuclear projects based on foreign reactor designs, subject to certain conditions. 

The foreign design would need approval or certification from the regulator in its country of origin, and the reactor would have to be operating either there or in another foreign country. 

The rules also mention technology from countries that have their own nuclear reactor design capabilities and an established supply-chain ecosystem. 

New Financial Requirements for Operators 

Operators would have to maintain financial security against nuclear damage through insurance, financial security or a combination of both. 

This security would need to remain in place until all spent fuel has been removed from the spent-fuel storage pool. 

The draft also proposes a Nuclear Liability Fund, which would be funded through a levy on operators. A separate Spent Fuel Management Fund is proposed for the future management of spent fuel handing over to the Centre. 

India Targets 100 GW of Nuclear Capacity 

India currently has around 8.78 GW of installed nuclear power capacity against its target of 100 GW by 2047. 

The proposed rules come as the government looks to expand the nuclear sector and bring in greater private investment and foreign technology. 

Read More: JioBlackRock Asset Management to Launch Regular Plans for Eligible Mutual Fund Schemes! 

Conclusion 

The draft rules set out timelines for approvals as well as the financial responsibilities that would come with operating a nuclear facility. The government is accepting public comments on the proposals until September 4, after which the rules can move forward. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.