Showing posts with label Indo US Nuclear Deal. Show all posts
Showing posts with label Indo US Nuclear Deal. Show all posts

Monday, September 8, 2008

Rs 100000cr carrot behind the waiver

R. SURYAMURTHY & JAYANTA ROY CHOWDHURY

New Delhi, Sept. 7: A sum of Rs 100,000 crore that is up for grabs in deals may have helped India bag the Nuclear Suppliers Group waiver.

New Delhi has drawn up plans under which the state-run Nuclear Power Corporation of India Ltd (NPCIL) and National Thermal Power Corporation Ltd (NTPC) are to set up a string of nuclear power plants — 15 by 2020 that will add 20,000MW to the current 3,300MW.

Global nuclear power plant manufacturers and domestic engineering giants are expected to harvest the bounty of the nuclear commerce the Indo-US deal will offer.

Areva SA and Alstom of France, General Electric of the US, Toshiba Corp’s Westinghouse Electric Co (based in the US), and Russia’s atomic energy agency Rosatom are among the global firms likely to get most of the contracts. Diplomats of these nations were in the forefront of lobbying for the deal at the International Atomic Energy Agency (IAEA) and the NSG.

The Centre might make it mandatory for nuclear reactor suppliers to get at least 30 per cent of their equipment from India, analysts said.

“The volume of business to be generated in nuclear power plant construction is huge since the cost of construction per MW of nuclear power is about Rs 7 crore and we are talking of adding 20,000MW by 2020,” said Arvind Mahajan, executive director of KPMG, a financial services firm.

Planning Commission officials said the Atomic Energy Act might be amended to allow Indian private-sector players – such as the Tatas, Anil Ambani’s Reliance Energy, GMR and Essar – to enter the sector and global players to take up small stakes in these plants.

Indian law now allows only the state-run NPCIL to set up and run nuclear power plants. Amendments lying with the cabinet permit any public sector company to enter the sector. At the time these were drafted, the Left was an ally of the government and would not have been keen on private participation. That has changed now, especially with the Samajwadi Party on board.

Still, analysts said, it may not be feasible to open the sector completely to private companies given the stringent international safeguards.

NPCIL plans to set up four power plants and has selected sites in Gujarat, Andhra Pradesh, Orissa and Bengal.

The NTPC, which is into thermal power generation, is also planning to diversify into nuclear energy and plans to add 2,000MW of nuclear energy by 2012.

Other than the NTPC, the state-owned Bharat Heavy Electriclas Ltd (Bhel) and several private players could benefit from the spillover effect of nuclear commerce. Bhel plans to spend Rs 1,500 crore over the next two years building plants to supply components for 1,600MW-capacity reactors, sources said.

Engineering firm Larsen & Toubro, construction houses Gammon and Hindustan Construction Company and power equipment company ABB are expected to benefit.

Kuljit Singh, energy analyst with Ernst and Young, however, said: “There is very little for Indian firms to benefit at this juncture since the sector is not open to private players. Most of the equipment for the power plants would be supplied by global leaders.”

Sunday, September 7, 2008

Nuke Deal : Nothing can stop India from testing again: Kalam

Pallava Bagla
Sunday, September 07, 2008, (New Delhi)

The Missile Man of India, former President Dr APJ Abdul Kalam, who has supported the Indo-US nuclear deal previously also, spoke exclusively to NDTV in his first reaction a day after the NSG waiver to the nuke deal.

Kalam described how the nuclear deal is good for India, what more does he foresee apart from the waiver and the final pact and on any possible Pokharan III. He also spoke about what he told Mulayam Singh and others that saved the present UPA government and about his relationship with the PM.

The former President said that political groups should come forward, leaving behind their political inclination. They must see to it that the Uranium mines of the country are opened so that our scientists use the Uranium materials what is available within the country, he said.

Here are the excerpts of what Dr Kalam's told NDTV's Science Editor Pallava Bagla in an interview:

On politicians

I have not only told them but many other political leaders. They met me and I told them that India-US nuclear pact is very important in national interest. It is going to help the nation and particularly in the power sector and we should do everything as a nation we should go ahead.

Of course, it is of national interest since I am looking like this. So far India was not in the so called nuclear cub, so we became a part of the nuclear house. So, certainly it is an endorsement to that situation.

And second thing is, I look at it in a different way - we have number of nuclear reactors and all of them are Uranium based reactors. So Uranium, of course, we have shortage even though our many states have got a potential. compared to Thorium we have a limited resource.

So, we need to power our nuclear power reactors for full capacity we need Uranium, this waiver and the pact that we are going to sign is definitely going to assist us in the electricity generation using nuclear reactors.

Well, you see supreme national interest, ok, every country got supreme national interest, any pact or any treaty when the national interest comes in, becomes the highest priority.

On nuclear fuel

We already have a certain reserve of Uranium and this will be the power our nuclear reactors, all of them and future reactors also. But I am pushing, our nuclear scientists are working very hard on Thorium-based nuclear reactor, even then we need some Uranium.

Even then, even Thorium based nuclear reactors that Uranium that we have will become a reserve till then, we buy.

On energy independence

My only interest is energy independence. This is going to help us. This is going to assist us. This energy waiver and the pact will assist us. My only mission is how do you make nuclear power that is electricity using nuclear reactors by the 2030 say about 50,000 MW of power.

Any political system, any political party, the nation is of prime importance. All parties have to work for the nation that is my message. Does it meets your political requirements

On India's road ahead

We have not yet signed the pact but we got the NSG waiver, that is the first step.

Well I am happy, I am happy about the NSG waiver but I'll be more happier on two events if they take place in my country.

First event will be that all the states, there are a few states in our country that have got Uranium reserve. Irrespective of political inclination, they must see to it that the Uranium mines are opened so that our scientists use the Uranium materials what is available within the country.

Secondly, our nuclear scientists say it will take 10 years to become Thorium-based nuclear reactors, they must do it in 5-7 years in mission mode. They should be a number of fast breed and nuclear fast breed reactors.

That waiver, what I am saying, it will be available for us whom the nuclear reactor gets in. But this should be a reserve for us. But mines should be available. Of course, I always get good sleep, no problem.

On the Prime Minister

Well, we talk number of times, we talk a number of times. We are in touch with each other. I respect him, he talks to me, no problem. Yes he called me (after the waiver). I am happy with him.

On Pokharan II and Pokharan III

Pokharan II is actually our nuclear scientist. They all worked together and you know I believe when you say, when you declare moratorium for nuclear test, what does this mean - you have built certain capability and you can build certain types of nuclear weapons with that confidence you said - I will not conduct any more test.

Temporarily, a moratorium you have put, so I believe that is very important. It is an important message. That means we have certain capability, we can do certain types of system.

Now whether we can do further test - you see there is always supreme national interest. When the supreme national interest is there, no pact no treaty nothing can come in between in a nation that is supreme sovereign interest.

So in that case suppose India decides it has to go for supreme sovereign, that means international situation made the nation to do a test.

It has to do a test then the question comes in - now there is a pact we have, they can see the reason why the international situation they are forcing us to the test. Well then the waiver, the pact may stay or the second thing is they may withdraw. but the national interest is always the highest priority.

India will do the test in the supreme national interest, nobody can stop, nobody can stop, but in that case, your question is - what happens to the pact - two things may happed, the may still stand, they may see why you have done the test. There is a reason why we did the test. Otherwise they'll say goodbye, and we'll say goodbye.

Supreme national interest of the nation is to be protected. I am happy there. I told you when supreme national interest comes in - India has to decide, because nothing can come in between.

Saturday, August 2, 2008

Relations between ISI and CIA souring?

3 Aug 2008, 0804 hrs IST, Chidanand Rajghatta,TNN
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WASHINGTON: In BBC correspondent Mohammed Hanif's partly fictional book, A Case of Exploding Mangoes, set during the Zia era, the then CIA Director Bill Casey and a Saudi prince race to Pakistan in their respective jets because they feel like eating a dish of mutton curry and bitter gourd cooked by Mrs Zia. Casey is received at a Pakistani airbase by his fawning ISI counterpart General Akhtar Abdur Rehman, who addresses him as “Field Marshal” in response to the “Generalissimo” title the American spymaster has given him. On the drive into Islamabad, Rahman produces a bottle of Royal Salute whisky in the car so the CIA chief can tank up before meeting the teetotaller military dictator.

Those chummy days now seem to be over. Last month, when CIA's No.2 official Stephen Kappes flew to Pakistan to confront its leaders with evidence of the ISI’s role in terrorism, including the bombing of the Indian embassy in Kabul, there was no bitter gourd or mutton curry. The meat-and-drink days had been replaced with plain bitterness and recrimination. A few days later, Kappes boss Michael Hayden personally presented Pakistan's visiting PM Gilani with what some reports say was irrefutable evidence of ISI's role in bombing.

On Friday, the White House declined to get into the specifics of the exchanges, which some accounts say have become testy, but acknowledged that the “overall issue of counter-terrorism cooperation between our military and our intelligence services was discussed' ' in the meeting between Gilani and Bush. “It would be inappropriate for me to talk about intelligence matters here, so I'd refer you to the intelligence community, if in fact they would like comment on it,” White House spokeswoman Dana Perino said.

The intelligence community has been commenting on the issue aplenty- in private, background conversations as is in the norm. And what they are saying is the ISI, or elements in it, may well be on the way to being named a terrorist organisation.

The overall narrative is complicated. One view is that sections of Pakistan's ISI has turned rogue and is out of control. Telecom intercepts and intelligence obtained separately by US and Indian agencies show the ISI elements aided militants in the bombing of the Indian embassy in Kabul.

“The Indians are absolutely convinced it's true, and they're right,” an unnamed US official told the Wall Street Journal . It’s the first time US has publicly backed an Indian intelligence account, which were previously viewed with scepticism.

While it is not clear if the US and India worked together on this case (New Delhi has long been leery of CIA's close ties with ISI), the big question facing both sides is whether Pakistan's still powerful military establishment is complicity in the attack, which comes at a time when things have also heated up in J&K and on the border, and to what extent. The ISI is headed by General Nadeem Taj, who is related to the eclipsed military ruler Musharraf through marriage, and was handpicked by him, having been at his side during the coup.

Shortly before his Washington visit, Pakistan's new civilian government headed by PM Gilani tried to bring the ISI under its administrative control. The move, however, was rebuffed by the military, reportedly by the orders of Musharraf and his chosen army chief Pervez Ashraf Kiyani, Nadeem Taj's predecessor who closed ranks.

While some analysts say the move by the civilian establishment - Gilani and his party boss Asif Ali Zardari - to reign in ISI was at Washington's instance, others suggest it was more a domestic decision aimed at firewalling ISI from international criticism.
Pakistan's civilian leaders publicly said as much, implicitly conceding that a military-controlled ISI was in effect a terrorist organization and needed to be brought to heel.

In Washington, Pakistan's new civilian government appointed envoy Hussain Haqqani, blamed the previous military government for the “several outstanding problems in the relationship between the US and Pakistan' ' including “issues of trust between our two intelligence services.” The statement was also a poke at Washington's partly-eclipsed and still favoured dictator Musharraf and his ''nephew' ' Nadeem Taj.

But here's the catch: even as the Bush administration is turning the screws on ISI, it is still protecting Musharraf, who in turn still controls the ISI, which in turn runs the country behind the civilian facade.

Friday, August 1, 2008

UN watchdog clears path for Indo-US nuke deal

New Delhi: The governors of the UN nuclear watchdog approved an inspections plan for India on Friday, an important step towards completing a nuclear cooperation deal between New Delhi and the United States.


The India-specific safeguards agreement, approved by consensus by the board of governors of the International Atomic Energy Agency in Vienna, will permit regular IAEA surveillance of India's declared civilian nuclear energy plants—14 of 22 existing or planned reactors.


This clears a hurdle to the Indo-US nuclear deal that would allow sales of atomic materials and technology for civilian use to India. The deal has been criticised because New Delhi has not signed the global Non-Proliferation Treaty (NPT).


Washington will now need the approval of a 45-nation nuclear supply group to grant India an unprecedented waiver allowing trade with a non-NPT state and ratification by the US Congress for the deal to go into force.


The first Nuclear Suppliers Group (NSG) meeting on India is expected to be held on Aug. Twenty-six of the 35 nations on the IAEA governing body are also NSG members.


The approval came after Mohamed ElBaradei, director of the International Atomic Energy Agency (IAEA), said the India-specific safeguards agreement “satisfies India's needs while maintaining all of the agency's legal requirements.''


Tabling the safeguards text at the start of the meeting, ElBaradei said: "These are not comprehensive or full-scope safeguards(unlike with NPT member states)...but it (agreement) satisfies India's needs while maintaining all the agency's legal requirements."


ElBaradei's remarks gave a boost to the prospects for the Indo-US nuclear deal and the 27-member European Union too threw its weight behind the safeguards pact that set the stage for its approval.


US, Manmohan applaud IAEA


The US described the approval of India-specific safeguards agreement as a key step in the implementation of the Indo-US nuclear deal and vowed to "vigorously" obtain an India-specific exception in the NSG and clearance from the US Congress.