U.S., INDIA SEAL N-DEAL
Two countries break 7-year logjam to set in motion civil nuclear agreement
After talks between visiting US President Barack Obama and Prime Minister Narendra Modi, India and the United States on Sunday managed to “break the logjam” that had existed since 2008 for operationalising their landmark civil nuclear agreement, with an announcement by foreign secretary Sujata Singh that “the deal is done.”
In what President Obama called a “breakthrough,” the two sides have resolved key hurdles on the liability of suppliers of nuclear reactors in the event of an accident and the tracking of fuel supplied by the US and other countries for its proposed nuclear plants.
“We have broken the logjam of the past few years. We have reached an agreement. The deal is done,” foreign secretary Sujatha Singh announced after extended discussions between the two leaders lasting over three hours.
In another major step on cooperation in the defence sector, the two countries renewed an enhanced Defence Framework Agreement for the next 10 years. Under the Defence Technology and Trade Initiative, four projects were also agreed on as “pathfinder projects,” which are the “next generation Raven Mini UAVs, roll on and roll off kits for C-130 J-Super Hercules military transport aircraft, mobile electric hybrid power source and Uniform Integrated Protection Ensemble Increment 2.”
Both also agreed on a working group to explore aircraft carrier technology besides designing and development of jet engine technology. India and the US decided to resume talks on the bilateral investment treaty during discussions between Prime Minister Modi and US President Obama.
The White House said the understanding on the civil nuclear programme resolves US concerns on both tracking and liability. US ambassador to India Richard Verma said that US companies will have to assess the market before making a decision.
The civil nuclear agreement that finally fell through after it remained in a logjam since 2008 came after India and the US resolved concerns about tracking and liability
“In our judgment, the Indians have moved sufficiently on these issues to give us assurances,” US ambassador to India Richard Verma said. Mr Verma explained that it will still be for US companies to assess the market and decide whether to partake in India’s nuclear programme.
Neither country needs to take any legislative action to complete the agreements reached between the two leaders.
As Prime Minister Modi described it, the nuclear deal was the centrepiece of the discussions, given its contentious nature, but the two leaders reached an understanding on a number of other areas, including defence.
In breaking the logjam, experts feel the Modi government has managed to achieve what the previous Manmohan Singh government could not.
India’s foreign secretary said, “The liability provisions and administrative arrangements finalised under the 123 Agreement are consistent with our bilateral legal arrangements and contracts, IAEA safeguards and international laws and obligations.”