Most Indians had hailed the nuclear deal with US as one of India’s greatest achievements. Instead, it is increasingly looking like one of its costliest mistakes
The US-India civilian nuclear deal which is more popularly known as the 123 Agreement has been the most deceiving deal India has ever signed in recent history. Admittedly, we say this with the benefit of 20:20 hindsight, but then, this realisation is not yet visible in the government. The inconclusiveness and shifting priority of the deal has only strengthened the fast emerging sentiment that US is not genuinely interested in India’s needs and prosperity; it just values rational and logical interference on matters that would restrain India’s global diplomatic leadership – and India’s energy security is unquestionably one of them.
Not that we’re quite in awe of nuclear energy (read B&E’s cover issue dated June 23, 2011), but the 123 agreement at least was supposed to give us flexibility to use the nuclear route when in need. After considerable negotiations, India finally signed the 123 US-India nuclear deal in October 2008 (United States-India Nuclear Cooperation Approval and Non-proliferation Enhancement Act), which promised India access to stocks of enriched uranium and foreign investments in the country as well. The government went overboard and India bought 40 foreign nuclear reactors, which were estimated to have production capacities of 40,000 MW of electricity by 2050 – and in return, India was to be treated as a ‘nuclear weapons state.’
But then, there has always been more to this deal than meets the eye. Recently, during the debate on the Civilian Nuclear Liability Act, the Parliament found out that many technologies (including the reactors) provided by foreign firms were faulty and outdated. In simple words, in the veil of a nuclear deal, what foreign (read: Western) companies did was that they sold outdated and obsolete nuclear technologies to nuclear-hungry India. This deal also pushed back our plans of thorium-based reactors, which could have solved the energy problems to a large extent. Given the fact that we have a large indigenous supply of thorium and raw thorium is available in plenty on Kerala’s shores, the cost of running & operating a thorium based reactor would have been significantly reduced.
Not that we’re quite in awe of nuclear energy (read B&E’s cover issue dated June 23, 2011), but the 123 agreement at least was supposed to give us flexibility to use the nuclear route when in need. After considerable negotiations, India finally signed the 123 US-India nuclear deal in October 2008 (United States-India Nuclear Cooperation Approval and Non-proliferation Enhancement Act), which promised India access to stocks of enriched uranium and foreign investments in the country as well. The government went overboard and India bought 40 foreign nuclear reactors, which were estimated to have production capacities of 40,000 MW of electricity by 2050 – and in return, India was to be treated as a ‘nuclear weapons state.’
But then, there has always been more to this deal than meets the eye. Recently, during the debate on the Civilian Nuclear Liability Act, the Parliament found out that many technologies (including the reactors) provided by foreign firms were faulty and outdated. In simple words, in the veil of a nuclear deal, what foreign (read: Western) companies did was that they sold outdated and obsolete nuclear technologies to nuclear-hungry India. This deal also pushed back our plans of thorium-based reactors, which could have solved the energy problems to a large extent. Given the fact that we have a large indigenous supply of thorium and raw thorium is available in plenty on Kerala’s shores, the cost of running & operating a thorium based reactor would have been significantly reduced.
Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
IIPM Best B School India
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM's Management Consulting Arm-Planman Consulting
IIPM Prof. Arindam Chaudhuri on Internet Hooliganism
Arindam Chaudhuri: We need Hazare's leadership
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
IIPM Best B School India
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM's Management Consulting Arm-Planman Consulting
IIPM Prof. Arindam Chaudhuri on Internet Hooliganism
Arindam Chaudhuri: We need Hazare's leadership
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
