[The reprocessing agreement is one of the few remaining hurdles in full
implementation of the 123 Agreement between the US and India.
The completion of the Part 810 (of Code of Federal Regulations) requirements
- India providing (additional) non-proliferation assurances to enable the
DoE to authorise U.S. companies to participate in most aspects of civil
nuclear activities in India, apparently is the other remaining impediment.
The case of the nuclear liability cap Bill appears to be more complex. The
123 Agreement as such does not obligate India to enact any such law. But
unless there is at least some comprehensive law defining the nuclear
liabilities of the various concerned entities, it may be difficult for the
American companies, or even other private players, to take part in a major
way. However, the Bill, in the current parliamentary scenario marked by the
redrawn equations post March 8 under the significant impact of the Woman's
Reservation Bill, is not expected to have an easy passage. The pressure
will, however, persist.

It is quite noteworthy that almost 5 years have elapsed since the issue of
July 18 2005 joint statement by Bush-Singh from Washington DC, and that too
both taking up the issue as an issue of personal prestige and commitment. So
much so, the UPA-I had to even clear a confidence motion in the process,
having lost the support of key allies. Even in the US Congress, there were
moments of great anxieties. Apart, of course, from the bitter tussles in the
IAEA, and, more than that, in the 45-member NSG.
(For the impacts of the Indo-US Nuclear Deal, may like to look up: <
http://www.aapsorg.org/site/docs/international/MeetConfer/MumbaiResolution.htm
>.)]


I/II.
http://www.tribuneindia.com/2010/20100330/main1.htm

<http://www.tribuneindia.com/2010/20100330/main1.htm>

*India, US agree on N-reprocessing
Key step towards implementation of 123; will open doors for American firms
in India
Ashish Kumar Sen in Washington

*

*OBAMA ADMN SAYS...*

The deal will enable Indian reprocessing of US-obligated nuclear material
under IAEA safeguards. Completion of these arrangements will facilitate
participation by US firms in India’s rapidly expanding civil nuclear energy
sector

India and the United States have reached a deal on reprocessing
American-origin spent nuclear fuel to be supplied to India under the
landmark civil nuclear agreement signed in September 2008.

The Obama administration issued a statement on Monday saying: “The two
countries have taken an important step towards implementing civil nuclear
cooperation by completing negotiations on arrangements and procedures for
reprocessing US-origin spent nuclear fuel.”

The talks were wrapped up well before the August deadline. The US statement
noted that these arrangements will enable Indian reprocessing of
US-obligated nuclear material under IAEA safeguards. Completion of these
arrangements will facilitate participation by US firms in India’s rapidly
expanding civil nuclear energy sector.

The reprocessing arrangements were negotiated pursuant to Article 6 (iii) of
the US-India civil nuclear cooperation agreement, also called the 123
Agreement.

Under the 123 Agreement, India will construct new facilities dedicated for
reprocessing the safeguarded nuclear material under IAEA safeguards.

The advanced consent agreement is only the third of its kind ever undertaken
by the US. The US has such agreements with the European consortium EURATOM
and Japan. China, Brazil, Indonesia, South Korea, which have 123 Agreements
with the US, do not have such agreements.

In New Delhi, US Ambassador to India, Timothy J. Roemer, described the
development as an “important step.” He said this was “part of the great,
win-win narrative of the US-India global partnership, affirming the
commitment of our two countries to realise the full potential of our
landmark civil nuclear agreement.”

“These arrangements will help open the door for US firms in India’s rapidly
expanding energy sector, creating thousands of jobs for the citizens of both
our countries. The United States and India are one step closer to ensuring
greater access to clean and affordable energy and electricity for all
Indians, particularly those most in need,” said the US envoy.

“We recognise that Prime Minister Manmohan Singh shares President Barack
Obama’s bold vision for a world without nuclear weapons. We applaud India’s
outstanding track record on non-proliferation issues, and we look forward to
our continuing cooperation in this area,” he added.

Ron Somers, president of the US-India Business Council, said the agreement
with India reflects the special trust and respect that exists between
strategic partners.

The finalisation of a reprocessing agreement puts the spotlight on the
liability issue and on CFR (Code of Federal Regulations) Part 810
assurances. India this month shelved a bill to limit nuclear firms’
liability in the case of accidents at nuclear plants.

Parliament is expected to take up the matter after the recess. Sources told
The Tribune that US officials have raised concerns regarding the liability
issue with their Indian counterparts.

The two countries also need to tackle the issue of CFR assurances, which are
required by the US before it gives export licenses to US companies seeking
to start negotiations on civilian nuclear trade with India.

“The agreement on non-proliferation assurances and India’s adoption of a
regime to make nuclear liability predictable, consistent with the
IAEA-sponsored Convention on Supplementary Compensation, will enable India
to assume a key role in the global commercial nuclear supply chain,” said
Ted Jones, director for policy advocacy at USIBC.

The council said delays in the Part 810 assurances, are currently preventing
work by Indian suppliers in the US as well as collaboration in India.

In an interview with Asahi Shimbun earlier this month, US Assistant
Secretary of State Robert Blake reaffirmed Obama’s commitment to the nuclear
agreement signed under President George W Bush.

“The ultimate goal of ours is, of course, to allow the export of nuclear
reactors to India,” Blake said. India has set aside two nuclear reactor park
sites in Gujarat and Andhra Pradesh. Blake said up to eight reactors could
be located in each of those parks.

Meanwhile, Manmohan Singh will travel to Washington next month to
participate in a Nuclear Security Summit.

II.

http://www.indianexpress.com/news/india-ustieupndeallooseends/597475/

India, US tie up n-deal loose ends

*Express News Service* Posted online: Tuesday , Mar 30, 2010 at 0800 hrs
*New Delhi : *India today announced it had completed negotiations on the
reprocessing arrangement with the United States, taking one of the last
steps towards implementing the nuclear deal with Washington.

“India and the United States have taken an important step towards
implementing the civil nuclear cooperation agreement by completing
negotiations on arrangements and procedures for reprocessing US-obligated
spent nuclear fuel,” a statement by the Ministry of External Affairs said.

As first reported by The Indian Express, the two sides sorted out
differences on the reprocessing of spent fuel during a final round of
negotiations earlier this month.

The date of announcement was a delicate matter. It is learnt that the first
date agreed upon was March 22 but that was deferred by a week by the US,
possibly not to send a wrong signal to Pakistan whose Foreign Minister
Mehmood Qureshi visited Washington last week.

The arrangement is the last leg of the civil nuclear deal and has paved the
way for India to set up dedicated reprocessing facilities under IAEA
safeguards where spent US origin nuclear fuel can be reprocessed.

There were differences on two counts, one on what kinds of non-proliferation
measures would be put in place and the other on the termination clauses in
the agreement. While the US was keen on a single reprocessing facility,
India insisted on multiple locations for reprocessing the spent fuel.

After the finalisation of the arrangement, India now needs to push through
the civil nuclear liability law in Parliament and the reprocessing pact also
has to lie in the US Congress before getting passed. While officials have
been saying that the civil liability Bill has nothing to do with
operationalising the nuclear deal, it is leant that the Bill needs to go
through soon.

The arrangement will then go to the IAEA for confirmation as the nuclear
body has to set up the supervisory arrangement for the reprocessing facility
and set guidelines for the handling and transportation of spent fuel.

Welcoming the move, Timothy J Roemer, US Ambassador to India, said that with
these arrangements, the two countries are close to completing a “historic
partnership” on civil nuclear cooperation.

“This important step is part of the great, win-win narrative of the US-India
global partnership, affirming the commitment of our two countries to realise
the full potential of our landmark civil nuclear agreement,” he said.

“These arrangements will help open the door for US firms in India’s rapidly
expanding energy sector, creating thousands of jobs for the citizens of both
our countries. The United States and India are one step closer to ensuring
greater access to clean and affordable energy and electricity for all
Indians, particularly those most in need,” Roemer said.

He said the US recognises Prime Minister Manmohan Singh’s vision of a
nuclear weapons free world and acknowledged India’s non-proliferation
record. “We applaud India’s outstanding track record on non-proliferation
issues, and we look forward to our continuing cooperation in this area,” he
said.


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