SHANTI Act liability absurdly low: plea in SC, Pg15

Key Highlights:

• The Supreme Court is reviewing the SHANTI Act of 2025, which caps nuclear accident liability at under ₹4,000 crore.
• A petitioner challenged the Act, arguing it allows private and foreign corporations to operate nuclear plants with limited liability.
• The petitioner cited the Oleum gas leak case (1986), emphasizing higher compensation for hazardous activities.
• The court questioned the challenge but acknowledged the sensitivity of the legislative policy.

Detailed Insights:

• The SHANTI Act aims to promote nuclear energy by allowing private sector involvement, but its liability cap is under scrutiny.
• The petitioner argues the liability cap is "absurdly low" to attract foreign investment, potentially compromising Article 21 (right to life).
• The Oleum gas leak case established that companies involved in hazardous activities must provide greater compensation for accidents.
• The court is considering whether the challenge is against foreign involvement in nuclear plants or the limited financial liability.

Key Concepts Involved:

• Article 21: Guarantees the right to life and personal liberty, a fundamental right in the Indian Constitution.
• Liability Cap: A legal limit on the amount of compensation a company must pay in case of an accident or damages.
• Oleum Gas Leak Case: A 1986 Supreme Court case that set a precedent for compensation in hazardous industries.