Govt finalises rules of nuclear liability law

New Delhi, Jul 7 (PTI) Indian government has finalised
the much-awaited rules of implementation of the nuclear
liability law, a move that could pave way for expansion of the
atomic power sector by procuring equipment from foreign
suppliers.
"A PMO committee has approved the rules of implementation
of the civil nuclear liability law. We will notify the rules
within month," V Narayanasamy, Minister of State in the PMO
told reporters here.
The Civil Liability for Nuclear Damage law, passed by
Parliament last year, allows the operator of a nuclear plant
to seek damages from the supplier in case the nuclear incident
occurs due to supply of equipment with latent and patent
defects or sub-standard services.
The suppliers' liability aspect is built into the Indian
law through the operator's 'right of recourse' incorporated in
Article 17 (a, b and c), which has not been favourably
accepted by a section of equipment suppliers and analysts.
"Sooner the better," said Arthur de Montalembert,
Chairman and Managing Director of Areva India in reply to a
question about when he expected the notification of the rules.
Areva, together with Nuclear Power Corporation of India
Limited (NPCIL), is building two 1650 MW nuclear power
reactors at Jaitapur in Maharashtra.
Areva had signed the early works contract with NPCIL last
year for the Jaitapur project and was awaiting the
notification of rules of implementation of the liability law.
Once the rules are notified, foreign suppliers like Areva
can go ahead and sign the commercial contract with NPCIL for
the Jaitapur project.