Skip to main content

Modi-Obama nuclear deal a "shameful capitulation" to MNCs: Indian taxpayers to pay for N-disaster

EAS Sarma
By Our Representative
Even before the ink could dry on the Modi-Obama nuclear deal, anti-nuclear campaigners have taken strong exception to what they consider as “shameful capitulation” to US MNCs like Westinghouse and General Electrical (GE), which have lined up to supply key technology to the proposed plants in India at Mithi Vidri in Gujarat and Kovvada, Andhra Pradesh. Senior activist Kumar Sundaram and former power secretary, Government of India, Dr EAS Sarma have accused the Modi government for agreeing to allow taxpayers’ money to be spent as insurance cover in case of a nuclear disaster.
Pointing out that the US pressured India into agreeing to this in order to avoid the “embarrassment” the MNC, Union Carbide, faced following the Bhopal gas tragedy Sundaram in a strongly-worded and informative commentary in http://www.dianuke.org/ said, while the nuclear deal is being “touted as a big breakthrough” by the Government of India, the move is actually “a capitulation”, as even the weak nuclear liability law, providing for poor compensation in case of a disaster, is being diluted.
“The Act provides for a ‘right of recourse’ to the operator, the Nuclear Power Corporation of India Limited (NPCIL), in case of a nuclear accident, for it to recover part of the liability from the foreign and domestic suppliers,” Sundaram, who is with the of the Coalition for Nuclear Disarmament and Peace (CNDP), said, adding, the Obama administration has been the “most vociferous in asking for a dilution of the suppliers’ liability clause, to escape a Bhopal-like situation.”
While former Prime Minister Manmohan Singh, during his last visit to the US, presented his government’s re-interpretation of the law, providing a choice to the operator not to sue the supplier, and promised that India would chose not to use the legal option,” Sundaram said, the Modi government has decided to take step further.
With the US government insisting on a clean exemption, Sundaram said, “The current push for looking for an Indian state-owned insurance cover is an outcome of persistent American pressure. The Indian government started a process of reconsideration by setting up an India-US joint committee to find a way out of the ‘liability impasse’ and the US side suggested an ‘insurance-type’ approach.”
“Ironically,” said the activist, “The insurance route to subvert the liability law is being resorted to by the BJP, which vehemently opposed moves to dilute the liability law while in opposition. The BJP in fact was opposed to the Act itself in 2010 as the suppliers’ liability is already very meagre. The BJP was earlier opposed to both the limiting of the liability as well as channeling it to the Indian taxpayer.”
He recalls, “The BJP then alleged that the bill was being brought under US pressure mainly to keep the two American multinationals – Westinghouse and General Electric – from paying any liability and making the Indian government liable to pay in case of an accident.” Senior BJP leader Yashwant Sinha then had said, “The life of an Indian is only worth a dime compared to the life of an American.”
“However,” pointed out the activist, “Now the government and the nuclear establishment seem worried about the concerns of suppliers and of the Indian law being a departure from the international convention channeling all liability to the operator.”
This happened despite the fact that the law made the supplier culpability “dependent on an explicit mention of the liability provision in the bilateral contract between the supplier and the operator.” In addition, the “Indian government limited the product liability period to just 5 years under the Nuclear Liability Rules of 2011 which were designed to guide the implementation of 2010 Act.”
Asks Sundaram, “If the Modi government has so much faith in the forces of the market, why is a publicly-owned Indian insurance company being made to secure financial protection for foreign as well as domestic nuclear corporations? When private insurance companies have been pushing for reforms, encouragement and greater slice of the market, why don’t they come forward and provide insurance for the big players of the nuclear industry?”
Sundaram’s hard-hitting commentary follows ex-power secretary EAS Sarma’s letter to Union finance minister Arun Jaitley, accused the Government of India of “considering a blend of sovereign guarantee, insurance cover provided by PSU insurance companies and even bonds issued by PSU banks,” thereby “prima facie” violating “the intent of liability law“, and also “the established polluter-should-pay principle stipulated by Hon’ble Supreme Court in several cases.”
According to the ex-bureaucrat, “The hesitation on the part of the US MNCs to take on the liability arising on account of an accident attributable to reactor design deficiencies raises serious doubts over the safety features of the reactors they will supply. We should keep in view that the Fukushima reactors were supplied by US MNCs and India should be circumspect in accepting terms that run counter to its own self interest and well being of its people.”

Comments

TRENDING

Reducing emission? India among top nations whose coal as energy source going up

By NS Venkataraman*  The State of the Global Climate report by the World Meteorological Organization (WMO) confirmed that the year 2023 was the warmest year on record, with the global temperature of 1.4 degree celsius above pre-industrial 1850-1900 base line.

Lockdown 'total failure' of science more than of politics: Open letter on 4th anniversary

Counterview Desk  In an open letter to fellow academicians, scientists and medical practitioners in India, marking the fourth anniversary of India's lockdown (25 March 2024), the Managing Committee* of the Universal Health Organisation (UHO) has insisted on the need to "repair two years of immense damage to science".

Insider plot to kill Deendayal Upadhyay? What RSS pracharak Balraj Madhok said

By Shamsul Islam*  Balraj Madhok's died on May 2, 2016 ending an era of old guards of Hindutva politics. A senior RSS pracharak till his death was paid handsome tributes by the RSS leaders including PM Modi, himself a senior pracharak, for being a "stalwart leader of Jan Sangh. Balraj Madhok ji's ideological commitment was strong and clarity of thought immense. He was selflessly devoted to the nation and society. I had the good fortune of interacting with Balraj Madhok ji on many occasions". The RSS also issued a formal condolence message signed by the Supremo Mohan Bhagwat on behalf of all swayamsevaks, referring to his contribution of commitment to nation and society. He was a leading RSS pracharak on whom his organization relied for initiating prominent Hindutva projects. But today nobody in the RSS-BJP top hierarchy remembers/talks about Madhok as he was an insider chronicler of the immense degeneration which was spreading as an epidemic in the high echelons of th

Magnetic, stunning, Protima Bedi 'exposed' malice of sexual repression in society

By Harsh Thakor*  Protima Bedi was born to a baniya businessman and a Bengali mother as Protima Gupta in Delhi in 1949. Her father was a small-time trader, who was thrown out of his family for marrying a dark Bengali women. The theme of her early life was to rebel against traditional bondage. It was extraordinary how Protima underwent a metamorphosis from a conventional convent-educated girl into a freak. On October 12th was her 75th birthday; earlier this year, on August 18th it was her 25th death anniversary.

Savarkar 'criminally betrayed' Netaji and his INA by siding with the British rulers

By Shamsul Islam* RSS-BJP rulers of India have been trying to show off as great fans of Netaji. But Indians must know what role ideological parents of today's RSS/BJP played against Netaji and Indian National Army (INA). The Hindu Mahasabha and RSS which always had prominent lawyers on their rolls made no attempt to defend the INA accused at Red Fort trials.

'Wrong direction': Paris NGO regrets MNC ArcelorMittal still using coal-based steel

By Rajiv Shah  A new report by Paris-based non-governmental research and campaigning organization, Reclaim Finance, has blamed the MNC ArcelorMittal – formed in 2006 following the takeover and merger of the western European steel maker Arcelor (Spain, France, and Luxembourg) by Indian-owned Mittal Steel – for using use “climate destructive” metallurgical coal for its projects in India.

'Flawed' argument: Gandhi had minimal role, naval mutinies alone led to Independence

Counterview Desk Reacting to a Counterview  story , "Rewiring history? Bose, not Gandhi, was real Father of Nation: British PM Attlee 'cited'" (January 26, 2016), an avid reader has forwarded  reaction  in the form of a  link , which carries the article "Did Atlee say Gandhi had minimal role in Independence? #FactCheck", published in the site satyagrahis.in. The satyagraha.in article seeks to debunk the view, reported in the Counterview story, taken by retired army officer GD Bakshi in his book, “Bose: An Indian Samurai”, which claims that Gandhiji had a minimal role to play in India's freedom struggle, and that it was Netaji who played the crucial role. We reproduce the satyagraha.in article here. Text: Nowadays it is said by many MK Gandhi critics that Clement Atlee made a statement in which he said Gandhi has ‘minimal’ role in India's independence and gave credit to naval mutinies and with this statement, they concluded the whole freedom struggle.

A Hindu alternative to Valentine's Day? 'Shiv-Parvati was first love marriage in Universe'

By Rajiv Shah*   The other day, I was searching on Google a quote on Maha Shivratri which I wanted to send to someone, a confirmed Shiv Bhakt, quite close to me -- with an underlying message to act positively instead of being negative. On top of the search, I chanced upon an article in, imagine!, a Nashik Corporation site which offered me something very unusual. 

Attack on foreign students: Gujarat varsity's reputation, ranking at stake, say academics

Counterview Desk  Expressing anguish over the attack on international students in Gujarat University hostels, a letter claimed to have been signed by 122 current and former academics has asked the Gujarat Vice Chancellor, Dr Neerja Gupta, to provide emotional support to the attacked students and to ensure their physical safety.  

As double engine takes backseat in Odisha, BJP is pitted against 'firmly rooted' BJD

By Sudhansu R Das  BJP has got 25 years to build its party base in Odisha. After 25 years, it felt helpless and insecure to fight elections on its own strength. The party was almost crazy to have an alliance with the ruling BJD in Odisha.  Looking for alliance at the time of election shows that the party has not groomed its grassroots level workers into potential leaders.  The state BJP leaders woke up and convinced the Central leaders that they are capable of going solo; the alliance was stillborn. The question is can BJP defeat BJD which is firmly rooted in Odisha after launching piles of populist programs in the state.