US hopeful of resolving nuclear liability issue with India

US hopeful of resolving nuclear liability issue with IndiaWASHINGTON: The US is hopeful of resolving the contentious nuclear liability issue with India so that the process of implementation of the Indo-US civilian nuclear deal can be accelerated, Richard Verma, the nominee for US Ambassador to India, has told Senators.

“I’m hopeful that we can resolve the liability issue in a way that will live up to the promise of the accord that was reached many years ago here in this body,” Verma told members of the Senate Foreign Relations Committee, during his confirmation hearing.

Verma, as the then staffer of the top Democratic Senator Harry Reid, had played a key role in passage of the India US civilian nuclear bill also called the Hyde Act.

“I was also involved with the passage of the Hyde Act. I worked the amendments on the floor. And it was a great moment for both countries. We came together closely like never before,” he said in response to a question on the historic bill.

At the same time, he acknowledged the disappointment over its non-implementation.

“I also know that there’s been great disappointment in the full implementation of the agreement mainly because of the liability issues, although there are another couple of issues that need to be resolved as well,” he said.

The Civil Liability for Nuclear Damage Act, which enables operator of nuclear power plants in India to seek partial compensation from suppliers in case of accidents, is hampering projects in the country.

Suppliers of nuclear equipment from the US, Canada and other countries see the Nuclear Damage Act as a hurdle in selling nuclear reactors to India. Idaho Senator Jim Risch said Verma comes with excellent qualifications when it comes to nuclear matters.

“And know that one of the priorities of the Modi government is to do better as far as providing energy to its people, and that’s particularly true with electrical generation,” he said.

Idaho National Laboratory, he said, is the lead agency when it comes to dealing with India on the nuclear cooperation agreement.

“We still in the United States are troubled by the fact that our people who provide nuclear parts, nuclear equipment, nuclear know-how to India are hamstrung because of the laws in India that have stymied really the development of nuclear power,” he said.

Senator Risch said he is encouraged by the fact that US President Barack Obama and Prime Minister Narendra Modi came together and discussed this issue in great detail in September.

“I have no doubt it will come up again, but one of the important developments that came up out of their meetings was the establishment of a contact group to try to press this issue forward and get to a solution. It has to come to a resolution,” he said.

“The Prime Minister himself said he wants to triple the amount of nuclear energy used in India. It isn’t just an American company concern. It’s a concern of European companies and others, including Indian companies,” he said.–PTI