In an effort to strengthen a historic nuclear agreement that has been in place for 20 years and to establish closer energy relations with New Delhi, National Security Advisor Jake Sullivan announced on Monday that the U.S. government is in the process of lifting restrictions on Indian nuclear firms.
Since the middle of the 2000s, Washington and New Delhi have been negotiating the sale of American nuclear reactors to India, which is in dire need of electricity. In 2007, then-President George W. Bush signed an agreement that permitted the United States to export civilian nuclear technology to India.
However, a long-standing barrier has been the requirement to align Indian liability laws with international standards, which mandate that the operator of a nuclear power station bear the expenses of any accidents rather than the manufacturer.
At an event in New Delhi on the second day of a two-day visit, Sullivan stated, “The United States is now finalizing the necessary steps to remove long-standing regulations that have prevented civil nuclear cooperation between India’s leading nuclear entities and U.S. companies.”
U.S. and Indian authorities did not provide any additional information, and it was not immediately apparent what modifications would be made to the regulation.
“The formal paperwork will be done soon, but this will be an opportunity to turn the page on some of the frictions of the past and create opportunities for entities that have been on restricted lists in the United States to come off those lists,” he stated.
After India tested nuclear weapons in 1998, the United States imposed restrictions on more than 200 Indian organizations. However, as bilateral ties developed over time, many of these entities were removed from the list, according to an Indian official who asked to remain anonymous.
At least four organizations from India’s Department of Atomic Energy, as well as a few nuclear reactors and nuclear power facilities, are currently on the U.S. Department of Commerce’s list.
India has postponed its goal of adding 20,000 MW of nuclear power from 2020 to 2030 because of its strict nuclear compensation legislation, which have previously harmed agreements with foreign power project builders.
The United States and India reached an agreement in 2019 to construct six American nuclear power reactors in India.
