Daily Current Affairs : 7-January-2025

Recently, the United States made a significant move by easing restrictions on several Indian nuclear entities, including the Bhabha Atomic Research Centre (BARC), Indira Gandhi Atomic Research Centre (IGCAR), and Indian Rare Earths Limited (IREL). These entities were previously listed on the US Entity List, which restricts certain foreign organizations from accessing US-origin goods, services, and technology.

Historical Context of the India-US Nuclear Deal

The foundation of this collaboration lies in the ‘Agreement for Co-operation between India & the US concerning Peaceful Uses of Nuclear Energy’, also known as the 123 Agreement. Signed under Section 123 of the US Atomic Energy Act of 1954, this agreement aimed to end India’s nuclear isolation and allowed the country to become a partner in civil nuclear cooperation with the US and the world.

The Indo-US Nuclear Deal (2008)

The Indo-US nuclear deal, signed in 2008, was a pivotal moment. It granted India access to nuclear technology and fuel from global markets, despite India not being a signatory of the Nuclear Non-Proliferation Treaty (NPT). This agreement opened the door for broader cooperation between India and the US in nuclear technology, without requiring India to sign the Comprehensive Nuclear-Test-Ban Treaty (CTBT) or the Fissile Material Cut-off Treaty (FMCT).

Significance of the Indo-US Civil Nuclear Partnership

The partnership between India and the US has far-reaching implications. Key areas of focus include:

  • Critical and Emerging Technology: The Initiative on Critical and Emerging Technology (iCET) aims to enhance innovation and promote joint manufacturing of nuclear components.
  • Nuclear Reactor Deployment: It is expected to facilitate the deployment of American atomic reactors in India.
  • Collaboration on Small Modular Reactors (SMRs) and Light Water Reactors (LWRs).
Implications of Easing Restrictions

The easing of restrictions by the US has significant benefits:

  • Strategic Importance: This step strengthens the nuclear partnership, fostering deeper scientific and technological collaboration between the two nations.
  • Energy Security: India’s growing energy demands make nuclear energy a viable alternative, helping India meet its clean energy goals and reduce greenhouse gas emissions.
  • Technological Advancements: India’s access to US nuclear technology will improve the safety and efficiency of its nuclear plants and encourage innovation.
Key Challenges to Collaboration

Despite the positive steps, challenges remain:

  • Nuclear Liability Laws: India’s stringent nuclear liability laws hold operators liable for accidents, raising concerns for foreign suppliers.
  • Regulatory Barriers: Regulatory hurdles in both countries, including the 10CFR810 authorization, complicate the approval process and slow down progress.
Future Prospects

Looking ahead, the partnership between India and the US has the potential to transform India’s clean energy infrastructure. It also carries significant geopolitical weight, especially in the Indo-Pacific region. By leveraging American nuclear technology, India aims to become a key player in global efforts to combat climate change, making this collaboration an important step forward in their long-term strategic relationship.

Important Points:
  • US Eases Restrictions: The US has removed Indian nuclear entities like BARC, IGCAR, and IREL from its Entity List, allowing access to US-origin goods, services, and technology.
  • Historical Agreement: The 123 Agreement (2008) allowed India to access nuclear technology and fuel, despite not being an NPT signatory, ending its nuclear isolation.
  • Indo-US Nuclear Deal: Signed in 2008, the deal facilitated nuclear cooperation without requiring India to sign the CTBT or FMCT.
  • Key Areas of Collaboration:
    • Critical and Emerging Technologies: Promotes joint manufacturing of nuclear components.
    • Deployment of American Reactors: Facilitates the use of US atomic reactors in India.
    • Small Modular Reactors (SMRs) and Light Water Reactors (LWRs): Areas of future cooperation.
  • Implications of Easing Restrictions:
    • Strategic Importance: Strengthens scientific and technological collaboration.
    • Energy Security: Supports India’s clean energy goals and reduction of greenhouse gases.
    • Technological Advancements: Provides access to advanced nuclear technologies, improving safety and efficiency.
  • Challenges:
    • Nuclear Liability Laws: India’s strict laws hold operators liable for accidents, which creates concerns for foreign suppliers.
    • Regulatory Barriers: Bureaucratic red tape and regulatory complexities slow down progress.
  • Future Prospects: The partnership aims to enhance India’s clean energy infrastructure, contributing to global climate change efforts and boosting the India-US geopolitical relationship.
Why In News

Recently, the United States announced the easing of restrictions on Indian nuclear entities, such as the Bhabha Atomic Research Centre (BARC), Indira Gandhi Atomic Research Centre (IGCAR), and Indian Rare Earths Limited (IREL), removing them from the US Entity List, which will allow greater access to advanced US-origin goods, services, and technology. This move marks a significant step in enhancing the nuclear cooperation between the two countries.

MCQs about US-Eased Restrictions Boost India-US Nuclear Cooperation
  1. What is the primary purpose of the US Entity List?
    A. To promote international trade
    B. To restrict certain foreign entities from accessing US-origin goods, services, and technology
    C. To grant access to US nuclear technology
    D. To monitor foreign countries’ energy security
    Correct Answer: B. To restrict certain foreign entities from accessing US-origin goods, services, and technology
    Explanation: The US Entity List is used to restrict specific foreign entities from accessing goods, services, and technology originating in the US. This is done for national security or foreign policy reasons.
  2. What was the significance of the Indo-US Nuclear Deal signed in 2008?
    A. It required India to sign the Nuclear Non-Proliferation Treaty (NPT)
    B. It granted India access to nuclear technology and fuel, despite not being an NPT signatory
    C. It banned nuclear cooperation between India and the US
    D. It led to the closure of India’s nuclear facilities
    Correct Answer: B. It granted India access to nuclear technology and fuel, despite not being an NPT signatory
    Explanation: The Indo-US Nuclear Deal allowed India to access nuclear technology and fuel from international markets, even though India is not a signatory to the Nuclear Non-Proliferation Treaty (NPT).
  3. Which of the following is a key area of cooperation between India and the US in the nuclear sector?
    A. Development of nuclear weapons
    B. Collaboration on Small Modular Reactors (SMRs) and Light Water Reactors (LWRs)
    C. Banning nuclear energy development in India
    D. Building nuclear weapons systems
    Correct Answer: B. Collaboration on Small Modular Reactors (SMRs) and Light Water Reactors (LWRs)
    Explanation: A significant area of cooperation between India and the US includes the development of Small Modular Reactors (SMRs) and Light Water Reactors (LWRs), which are crucial for India’s nuclear energy goals.
  4. What is one of the main challenges faced by India in advancing nuclear collaboration with the US?
    A. Lack of interest from the US
    B. Nuclear Liability Laws in India
    C. Shortage of nuclear resources
    D. Over-reliance on renewable energy sources
    Correct Answer: B. Nuclear Liability Laws in India
    Explanation: One of the major challenges is India’s strict nuclear liability laws, which hold operators liable for nuclear accidents and raise concerns for foreign nuclear suppliers.

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