As it prepares to move the nuclear liability bill in Parliament Wednesday, government sought to rope in Left parties a day before amidst indications that it could consider dropping a contentious proposal regarding the suppliers’ liability.
Indications emerged that the government may not be averse to dropping the provision regarding “intent” on the part of the suppliers or their employees in case of a nuclear accident for an operator to claim damages; a formulation hotly opposed by BJP and Left parties.
Amid the deadlock between the government and opposition parties, industry bodies petitioned Prime Minister Manmohan Singh arguing that any stringent provision for supplier liability would be counter-productive to efforts to expand the civil nuclear sector.
The Civil Liability for Nuclear Damage Bill, 2010, is listed for consideration and passing in the Lok Sabha Wednesday in the backdrop of 18 amendments approved by the Union Cabinet on the basis of recommendations of a Parliamentary Standing Committee.
Minister of State in PMO Prithviraj Chavan, who met BJP leaders Tuesday, continued his efforts to persuade the opposition parties as he held discussions with CPI(M) Politburo member Sitaram Yechury Tuesday.
He promised to consider the views of Left parties but the latter remained non-committal till they read the fine print.
“The Minister appeared willing to consider our points of view, especially those relating to the suppliers’ liability. But we have to see the fine print of the proposed legislation,” Yechury told after the meeting.
He quoted Chavan as saying that the government would consider relevant amendments moved by Left parties in the course of discussion on the bill to be tabled in Parliament Wednesday.
BJP also chose to wait and watch the government’s moves in Parliament on the issue and then take a call.
“We (BJP) have suggested the formulation on civil nuclear bill in the meeting between Leader of the Opposition in Rajya Sabha Arun Jaitley and Chavan. We will wait for a formulation from the government, see what they have to say and await the outcome in Parliament,” BJP spokesman Rajiv Pratap Rudy said.
UPA constituent NCP said the bill should be passed by taking the opposition parties into confidence.
After state-run NPCIL raised concerns over amendments to the nuclear liability bill, industry bodies said the enactment of the law in its present form would lead to exit of private players from atomic power sector.
They demanded deletion of the Clause 17 (b) from the bill.
In a letter to Prime Minister Manmohan Singh, FICCI President Rajan Bharti Mittal said the controversial Clause 17 of the Civil Liability for Nuclear Damage Bill 2010 was “neither implementable nor justified”.
“FICCI unequivocally supports the intent of the Bill to provide timely and adequate compensation to all victims in case of a nuclear accident and the absolute responsibility of an operator that will ensure that the compensation is paid irrespective of establishing the fault responsibility,” he said.
“However, we thought it is important to bring to your attention a provision in the bill, which we feel will hamper this nuclear renaissance and completely undo the governments efforts to accelerate nuclear power generation in our country,” Mittal said.
He said FICCI strongly opines that Clause 17 (b), in its present formulation, is not desirable and hence should be deleted altogether for continued participation of nuclear suppliers, particularly domestic and foreign, in the Indian nuclear programme.
CII Director General Chandrajit Banerjee said the clause 17(b) for civil nuclear liability claim on suppliers and service providers beyond their terms of supply, for 60 years plant life + 20 years of claim liability period, is perceived as a major deterrent by the industry.
In a letter to Minister of State in the PMO Prithviraj Chavan, he said if there is multiple recourse, suppliers will be required to take insurance cover for 60 + 20 years, which is not available.
“Foreign suppliers will also not be able to participate because of lack of insurance coverage. However, in the event that they do, they will pass on the liability to Indian suppliers. This will stall the growth of the nuclear manufacturing industry in India and will be a setback for the government’s plan to indigenise maximum supplies for the foreign technology plants,” Banerjee said.