Foreign nuclear technology must have its design certified in country-of-origin, Pg29

Key Highlights:

• The Department of Atomic Energy has released draft rules for the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act.
• Foreign nuclear technology must be certified by the regulatory body in its country of origin and already be operational there or in another foreign country.
• The rules define "country of origin" as nations self-reliant in nuclear reactor design with globally trusted regulatory approvals.
• Provisions include a single composite license for nuclear power plant lifecycle and recognition of captive nuclear power for energy-intensive industries and data centers.
• An "in-principle approval" mechanism is proposed, allowing applicants to proceed with site and technology selection before a final license.
• Operators will be required to maintain insurance or financial security for nuclear damage, and a Nuclear Liability Fund will be established.

SHANTI Act.jpg

Detailed Insights:

• The draft rules aim to ensure that imported or domestically acquired nuclear technology does not adversely affect India's interests or public health and safety.
• Technology providers are mandated to ensure design support and necessary permissions from the original developer, unless there is a complete transfer of technology.
• All Intellectual Property Rights related to the technology must vest with the technology developer.
• The "in-principle approval" is a statement of support to proceed towards applying for a formal license, subject to specified conditions.
• This preliminary approval can be revoked if there is a supervening public interest, national security concerns, or if obtained through misrepresentation.
• The Nuclear Liability Fund is intended to be funded through a levy on operators, ensuring financial provisions for potential nuclear damage.
• For government-owned nuclear installations, the Central Government will assume liability under the conditions set out in the rules.
• The draft rules establish a comprehensive regulatory framework to facilitate a broader nuclear power ecosystem, including private sector participation.
• The Department of Atomic Energy has invited public comments and suggestions on these draft rules until September 4, 2026.

Key Concepts Involved:

• SHANTI Act: A proposed legislative framework aimed at promoting and regulating the sustainable development and use of nuclear energy in India.
• Captive Nuclear Power: The generation of nuclear electricity by an entity primarily for its own consumption, rather than for sale to the grid.
• In-principle approval: A preliminary endorsement or statement of support that allows an applicant to proceed with initial steps, but does not constitute a final license.
• Nuclear Liability Fund: A dedicated financial pool, often funded by nuclear operators, to provide compensation for damages resulting from a nuclear incident.