cnei-b8-nuclear liability bill - 2-9-2010

8/8/2019 CNEI-B8-Nuclear Liability Bill - 2-9-2010

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Nuclear Liability Bill



Group Members

o Dilip.N

oNithin Sunny

o Raji Manuel

o Ri ju Paul

o Rohitha Raju

o Tinu Thomas

SOP Owner: Miss Archana Thulaseedharan

Group B-8



Introduction to NLBIntroduction to NLB

Nuclear Liability bill deals with

liability of a foreign company doing nuclear

commerce in India. This bill is passed in

connection with the NUCLEAR AGREEMENT

with the US, it is the last step in connection to

this agreement, to facilitate nuclear

commerce and attract U.S. private companiesinvolved in nuclear commerce.



Agreements in connection with NLB

Non-proliferation Treaty

123 Agreement

Indo-US Nuclear agreement



Nuclear Non-Proliferation

Treaty (NPT or NNPT)

The Treaty on the Non-Proliferation of

Nuclear Weapons, also Nuclear Non-

Proliferation Treaty (NPT or NNPT)

A treaty to limit the spread (proliferation)

of nuclear weapons.

The treaty came into force on 5 March 1970.



The treaty was proposed by Ireland and

Finland, and they were the first to sign.

The NPT consists of a preamble and elevenarticles.

NPT is sometimes interpreted as a three-pillar system, with an implicit balance among them:

±

non-proliferation, ± disarmament, and

± the right to peacefully use nuclear technology.



India, Pakistan, Israel, North Korea are somecountries stayed away from NPT.

India is now supplied with nuclear raw materials by the special consideration of U.S.A.

If any country join in NPT, that country is

supposed to use nuclear energy only forcivilian purpose and not for military purpose.



123 Agreement

An agreement between India and USA which

refers to Sec. 123 of the U.S. Atomic Energy

Act.

The Hyde Act was passed by U.S.A to make an

exception for India, to enable transfer of

technology for civil nuclear energy.



Nuclear Agreement



Indo- US Nuclear Agreement

The Indo-U.S. Civilian Nuclear Agreement was

enacted successfully in 8th October, 2008.

To facilitate civilian nuclear partnership along with many other mutual benef its

India will separate its civilian and military

nuclear facilities and put civilian facilities

under the International Atomic Energy Agency

(IAEA) inspection.



Nuclear/Civil liability bill

Nuclear Liability Bill def ines the f inancial and

legal liabilities upon the involved groups, in case a nuclear accident occurs.

Cabinet of ministers approved this bill on

November 19,2009.

Bill was introduced in parliament on march

15,2010.



Bill was passed in the Lok-Sabha on august 25,2010.(252/26-passing vote)

The suppliers and the operator are the foreign private companies, they are controlled by NuclearPower Corporation of India Limited (NPCIL).

Liability amount of the operator in case of anuclear accident is limited to Rs:1500cr.



Why Nuclear Liability Bill

To reap the benef its of Indo-U.S. Civilian

Nuclear Deal of nuclear commerce.

Foreign private involvement in manufacturing

and supply of nuclear reactors.

To get nuclear energy from Nuclear Suppliers

Group (NSG)



Private investment in the Indian nuclear

power program.

India has an ambitious and indigenous nuclear

power program to achieve the goal of 20,000

MWe electricity produced through nuclearenergy by 2020, further increased to 60,000

MWe by 2032.



Provisions Related

1) Application of bill

2) Nuclear damage

3) Operator

4) Cases where the operator is liable



5) Recourse against party actually causing

damage

6) Persons who can claim compensation

7) Persons who can assess compensation



2) Nuclear damage

loss of life or personal in jury, and

damage to property caused by a nuclear

incident. It also includes damage caused to the

environment.



3) Operator

An operator is any person so designated by the central government. He is responsible for

damage caused by a nuclear incident.



4) Cases where the operator is liable

Damages during installation

Damage is caused by nuclear material send toinstallation, and af ter the operator has

assumed charge of the nuclear material .

Damage is caused by nuclear material coming

from, or originating in a nuclear installation,



6) Persons who can claim

compensation

Any person suffering nuclear damage

Application can be made by:

Owner of damaged property

Person sustaining in jury

Legal representative of a deceased person . An authorized agent



7) Persons who can assess

compensation

The bill allows the central government to

create two authorities by notif ication

Claims commissioner

Nuclear damage claims commission



Sections in NLB

Section 6(2)

Section 17(b)

Section 1(3A)

Section 18(b)

Section 16(1)

Section 35



Section 6(2)

Nuclear operators to be strictly liable for

damages resulting from an accident but their

liability is capped at Rs.1500 crore,unless a

higher amount is notif ied by the government.



Section 1(3A)

Only government or government company

can benef it from the liability cap.

Central government has not less than 51% ownership in government company.

This paves way for liability burden of any

private sector partner to be subsidized by the

tax payer



Section 17(b)

If accident has resulted as a consequence of an act of supplier or his employee, the

operator shall have a right of recourse.



Section 18(b)

Increases the time period for f iling claims in case of personal in jury from 10 to 20 years.



Section 16(1)

Claims for damages must be disposed of within three months of application.



Section 35

Victims can approach the High court and theSupreme court for review of compensation

amounts.



The extent of environmental damage and

consequent economic loss will be notif ied by the government. This might create a conf lict

of interest in cases where the government is

also the party liable to pay compensation.

The time-limit of ten years for claiming

compensation may be inadequate for those

suffering from nuclear damage



Though the Bill allows operators and suppliers

to be liable under other laws, it is not clear

which other laws will be applicable.

The right of recourse against the supplier

provided in the Bill is not compliant with

international agreements.



Benef its

Win-win situation for both countries.

Generating employment and abundant clean

energy. Providing legal framework for payment of

compensation in case of a nuclear accident.

Availability of raw materials from U.S.



Pave way for private investment.

It will reduce the probability of nuclear

catastrophe to some extent. Is considered as environment friendly and

sustainable source of energy.



Negative Impact

The amount of f inancial assistance and legal

relief is considered insuff icient and

unsatisfactory.

Government liability is unlimited

Basic problem with nuclear installation is

radiation



CONCLUSION

Plan for negative consequences

prior to reaping benef its from

positive consequences



Reference

The Hindu (15-03-2010 to 27-08-2010)

http://www.prsindia.org./index.php?name=Sections&action=

bill_details&id=6&bill_id=1042&category=42&parent_categor

y=1

http://www.npcil.nic.in/main/AllProjectOperationDisplay.aspx

http://www.world-nuclear.org/info/reactors.html.

http://www.nrc.gov/reading-rm/doc-collections/fact-

sheets/chernobyl-bg.html



Thank you



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cnei-b8-nuclear liability bill - 2-9-2010

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