Recent talks about the Indo-US nuclear deal have highlighted ongoing obstacles to greater cooperation. While the US has hinted at potential changes, legal issues on both sides continue to complicate the partnership.
Here's a simplified explanation:
What is the main problem? Legal restrictions in both the US and India are making it difficult for the two countries to fully cooperate on nuclear energy.
What are the US legal barriers?
The US Atomic Energy Act of 1954 has a rule called "10CFR810."
This rule allows US companies to export nuclear equipment to India, but with strict safety conditions.
However, it prevents US companies from manufacturing or designing nuclear equipment in India. This is a problem because India wants to be involved in making nuclear parts.
What are the Indian legal barriers?
India's Civil Liability for Nuclear Damage Act of 2010 is meant to provide compensation to victims of nuclear accidents.
Foreign companies like GE-Hitachi and Westinghouse are worried that this law makes them responsible for accidents, even if they only supplied equipment. This makes them hesitant to invest in India's nuclear industry.
What is the "China angle"?
The US and India are also working together on an initiative called iCET (US-India initiative on Critical and Emerging Technology) to improve cooperation on technology.
If iCET is successful, it could allow the US and India to jointly manufacture nuclear components for new projects in India.
This is important because India wants to become a hub for manufacturing small modular reactors (SMRs).
What are SMRs? Small nuclear reactors that produce less power than traditional reactors (30MWe to 300MWe). Click Here
Why are SMRs important in this context?
China is trying to become a leader in SMR technology.
India has experience with smaller reactors, but its reactors use "heavy water," while most other countries use "light water" reactors (LWRs). This puts India at a technological disadvantage.
What are the potential benefits of US-India collaboration?
India needs US technology.
The US faces high labor costs and increasing protectionism (making it harder for US companies to compete globally).
By working together, the US and India could overcome these challenges and better compete with China in the nuclear energy market.
Key Terms/Acronyms:
10CFR810: A US regulation about nuclear exports.
iCET: US-India initiative on Critical and Emerging Technology.
SMRs: Small Modular Reactors.
LWRs: Light Water Reactors.
In simple terms: The US and India want to work together more on nuclear energy, but there are legal obstacles in both countries.
US law restricts manufacturing in India, and Indian law makes foreign companies worried about liability. However, cooperation on other technologies (iCET) could help overcome some of these issues, especially in the area of small nuclear reactors, where both countries could benefit from working together to compete with China