Phase shaping using fractional order (FO) phase shapers has been proposed by many contemporary researchers as a means of producing systems with iso-damped closed loop response due to a stepped variation in input. Such systems, with the closed loop damping remaining invariant to gain changes can be used to produce dead-beat step response with only rise time varying with gain. This technique is used to achieve an active step-back in a Pressurized Heavy Water Reactor (PHWR) where it is desired to change the reactor power to a pre-determined value within a short interval keeping the power undershoot as low as possible. This paper puts forward an approach as an alternative for the present day practice of a passive step-back mechanism where the control rods are allowed to drop during a step-back action by gravity, with release of electromagnetic clutches. The reactor under a step-back condition is identified as a system using practical test data and a suitable Proportional plus Integral plus Derivative (PID) controller is designed for it. Then the combined plant is augmented with a phase shaper to achieve a dead-beat response in terms of power drop. The fact that the identified static gain of the system depends on the initial power level at which a step-back is initiated, makes this application particularly suited for using a FO phase shaper. In this paper, a model of a nuclear reactor is developed for a control rod drop scenario involving rapid power reduction in a 500 MWe Canadian Deuterium Uranium (CANDU) reactor using AutoRegressive Exogenous (ARX) algorithm. The system identification and reduced order modeling are developed from practical test data. For closed loop active control of the identified reactor model, the fractional order phase shaper along with a PID controller is shown to perform better than the present Reactor Regulating System (RRS) due to its iso-damped nature.