India 'Roadmap' includes four more Russian reactors at Kudankulam . . . but ruling coalition withdraws bill to cap liability for U.S. firms after protests from left-wing parties
15 March (NucNet): India has agreed a ‘roadmap’ for the construction of further nuclear power plants in the country in cooperation with Russia.
Indian prime minister Manmohan Singh said on March 12 that the roadmap for additional nuclear plants was agreed during a visit to the country last week by Russian prime minister Vladimir Putin.
India’s Department of Atomic Energy (DAE) said the roadmap outlines timelines for steps to be taken for the construction of units 3 and 4 at the Kudankulam nuclear power plant in the state of Tamil Nadu in the south of India.
The roadmap also provides for the construction units 5 and 6 at Kudankulam and two reactors at Haripur in West Bengal in eastern India.
Two Russian VVER-1,000 reactor units are already under construction at Kudankulam. According to the Nuclear Power Corporation of India (NPCIL), those units are scheduled to begin commercial operation in September 2010 and March 2011.
The roadmap includes plans for a progressive shift to Indian-based for reactors to be constructed in collaboration with Russia beyond the level already being planned for Kudankulam-3 and 4.
In December 2009, both countries signed an agreement to increase civilian nuclear energy cooperation that is likely to see Russia building four nuclear reactor units at Kudankulam in the southern state of Tamil Nadu.
Indian Congress deals setback to U.S. firms
The Los Angeles Times reports that the Indian government’s effort to place a $385 million cap on liability for construction and operation of new nuclear plants was frozen by the government’s decision to withdraw the bill rather than face a showdown with left-wing parties. The action is a setback for U.S. firms seeking to enter the Indian nuclear market, especially G.E. Hitachi, which has plans to open a nuclear reactor components manufacturing center there for domestic projects and exports.
Opposition to the bill, which would have set a limit on liability in the event of a nuclear accident, came from members of the lower house in Parliament. They accused the government of “safeguarding the interests of the U.S. at the expense and safety of the Indian people.”
Bloomberg reported that if the legislation is not passed, it will lock U.S. firms out of the Indian nuclear market which expects to build 20 GWe of electrical generation capacity by 2030.
According to wire service reports, Indian Science & Technology Minister Prithviraj Chavan said he needed to reevaluate support for the measure. "There is no urgency to introduce the bill."
The intensity of the debate is driven by memories of the 1984 Bhopal Gas accident at a Union Carbide plant in which over 8,000 people died and 10,000 were injured. In December 2009, 25 years after the event, Indian Prime Minister Manmohan Singh told the BBC, "The enormity of that tragedy of neglect still gnaws at our collective conscience."
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Dan Yurman said:
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Tue, 2010-03-16 09:54 — Dan YurmanMargaretHarding said:
Actually, the lack of liability limitation will not prevent US firms from doing business. With the exception of the small reactor companies like NuScale and Hyperion, the big vendors all have significant relationships with foreign companies. Hitachi and GE, Toshiba and Westinghouse are both poised to benefit from the closer relationship Japanese firms enjoy with their government.
There's an additional option, one that may be a subtext of the Indian parliament's decision. There's always a potential play with setting up a local business entity that is provided the technology and contains the risk. This would bring the technology, more of the taxable revenue, and more employment back to India.
Regards,
Margaret
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Tue, 2010-03-16 09:40 — MargaretHardingPost new comment