From No To Nuclear: Why Australia Is Finally Selling Uranium To India

For years, India and Australia had a civil nuclear agreement on paper. But one crucial piece was missing – uranium. Despite signing a framework over a decade ago, Australia never operationalised uranium exports to India because of concerns over India’s civil nuclear laws and safeguards. That hesitation has finally ended during PM Narendra Modi’s current visit to Melbourne.

Australia’s concerns have been addressed after the big change came in December 2025, when India passed the SHANTI Act, a sweeping overhaul of its civil nuclear framework. The law opened the sector to private and foreign participation under a regulated licensing system and updated rules that had remained largely unchanged for decades.

The timing is significant. India wants to

dramatically expand its nuclear power programme – from the current 8.8 GW to 100 GW by 2047. That ambition will require technology, investment and, most importantly, a steady supply of uranium.

This is where Australia comes in. Home to nearly 28 per cent of the world’s known uranium reserves, it is one of the few countries that can become a long-term and reliable supplier. The new legal framework appears to have addressed Canberra’s concerns, allowing the two sides to finally activate an agreement that had remained dormant for years.

The story, however, is bigger than energy.

It reflects how much the relationship between India and Australia has evolved. In 2010, Canberra refused to sell uranium to India because New Delhi was not a signatory to the Nuclear Non-Proliferation Treaty (NPT). That decision defined Australia’s approach for years.

Today, the same country is ready to supply uranium.

What changed wasn’t India’s NPT status – it remains outside the treaty. What changed was the level of strategic trust. India’s strong non-proliferation record, closer ties with Australia through forums such as the Quad, and the reforms brought in through the SHANTI Act have together altered the equation.

For India, this is another step towards securing fuel for its clean energy transition. For Australia, it is a recognition that India is an increasingly important strategic partner in the Indo-Pacific.

The uranium deal is, therefore, more than just an energy agreement. It marks a clear shift in Australia’s approach towards India and underscores how far the bilateral relationship has come in little over a decade.