Nuclear to LPG: India Deepens US Energy Ties to Cushion Conflict Shock

Foreign Secretary Vikram Misri raised these areas during a meeting with US Energy Secretary Chris Wright in Washington, as he concluded a three-day visit to the American capital.

X/@USAmbIndia
Photo: X/@USAmbIndia
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Summary
Summary of this article
  • India explores deeper energy ties with US across nuclear, LPG and coal gasification.

  • Talks led by Foreign Secretary Vikram Misri focus on energy security and diversification.

  • SHANTI Act opens India’s nuclear sector to private and foreign participation.

India is actively exploring new avenues of energy cooperation with the United States, spanning civil nuclear power, coal gasification and LPG exports, as it works to reduce its vulnerability to the supply disruptions flowing from the Iran conflict and diversify its energy partnerships more broadly.

Foreign Secretary Vikram Misri raised these areas during a meeting with US Energy Secretary Chris Wright in Washington, as he concluded a three-day visit to the American capital. The Indian embassy said discussions focused on advancing energy security, deepening bilateral energy trade and identifying opportunities to strengthen the India-US energy partnership.

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US Ambassador to India Sergei Gor, who attended the meeting, indicated Washington's readiness to cooperate with New Delhi on civil nuclear energy as well as coal gasification and LPG — areas where both sides see scope for expanded commercial and strategic engagement.

On the defence side, Gor separately met with US Deputy Secretary of War Steve Feinberg and Secretary of the Army Dan Driscoll. "Defence cooperation between the US and India is only growing and it's making both our countries safer and stronger," Gor wrote on X, noting that discussions covered defence equipment sales and deepening interoperability between the two militaries.

SHANTI Act

The civil nuclear dimension carries particular significance following the passage of India's SHANTI Act, which came into force in December and opens the sector to private participation for the first time, repealing the Atomic Energy Act of 1962 and the Civil Liability for Nuclear Damage Act of 2010.

Under the SHANTI Act, entities will be allowed to participate across fuel cycle activities, equipment manufacturing, power generation and nuclear power plant operations. The law also permits up to 49% foreign direct investment in select segments of the nuclear sector.

India’s installed nuclear capacity currently stands at 8.78 GW and is projected to rise to 22 GW by 2031–32. The SHANTI Act aligns with the broader ‘Viksit Bharat’ vision of transforming India into a developed economy by 2047.

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