Revisiting India's Nuclear Laws: The Debate on Supplier Liability and Private Sector Participation
UPSC Relevance
Prelims: Science and Technology (Nuclear Energy, SMRs), Indian Polity (Key Legislations), International Relations (India-US Civil Nuclear Deal).
Mains:
General Studies Paper 2: Government policies and interventions for development in various sectors and issues arising out of their design and implementation.
General Studies Paper 3: Infrastructure: Energy; Science and Technology- developments and their applications; Conservation, environmental pollution and degradation.
Key Highlights from the News
The Central Government plans to amend India's two main nuclear laws: Civil Liability for Nuclear Damages Act (CLNDA), 2010, and Atomic Energy Act (AEA), 1962.
Aim of CLNDA amendment: To resolve the contentious issue of liability for suppliers of equipment to nuclear power plants.
Aim of AEA amendment: To allow the participation of private parties in the nuclear energy sector.
Historical Background: When CLNDA was passed in 2010, due to strong pressure from the opposition (then BJP, Left parties), a supplier liability clause was included in the law, making suppliers liable in addition to the operator. The memory of the 1984 Bhopal Gas Tragedy was the main context for this.
Consequence: Due to this 'supplier liability' clause, companies from Western countries like the USA and France showed reluctance to cooperate with India. This slowed down India's nuclear energy projects after the India-U.S. Civil Nuclear Agreement.
Current Objectives: The main objectives behind these amendments are to increase India's nuclear power generation capacity to 100 GW by 2047, ensure energy security, and facilitate climate change mitigation.
These discussions gain more significance as the world moves towards Small Modular Reactors (SMRs).

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