India ratifies nuclear liability convention, hopes to win foreign investment

NEW DELHI: India submitted the Instrument of Ratification of the Convention on Supplementary Compensation for Nuclear Damage, 1997 to the International Atomic Energy Agency (IAEA), the depositary of the said Convention, at Vienna on Thursday in what would facilitate its nuclear commerce with international partners.

Indian Ambassador to Austria and Permanent Representative of India to IAEA Rajiva Misra handed over the Instrument of Ratification to Acting Director General of IAEA, Juan Carlos Lentijo.

The Convention will come into force for India 90 days from the date of deposit of the ratification instrument, which is May 4, 2016. "This marks a conclusive step in the addressing of issues related to civil nuclear liability in India, marked earlier by the release of FAQs on Civil Nuclear Liability in February 2015 and the launch of the India Nuclear Insurance Pool (INIP) in June 2015," MEA noted in a statement.

In 2010 India had signed the Convention on Supplementary Compensation (CSC), which sets parameters on a nuclear operator's financial liability, at the IAEA in Vienna.

The international convention provides for compensation in case of trans-national implications of a nuclear accident.

The CSC provides for establishment of an international fund to increase the amount available to compensate victims and allows for compensating civil damage occurring within a State's exclusive economic zone, including loss of tourism or fisheries related income.

It also sets parameters on a nuclear operator's financial liability, time limits governing possible legal action, requires that nuclear operators maintain insurance or other financial security measures and provides for a single competent court to hear claims.

According to IAEA, all states are free to participate in the convention regardless of their involvement in existing nuclear liability conventions or the presence of nuclear installations on their territories.

Adopted on 12 September 1997, the convention was opened for signature at the IAEA's 41st general conference at Vienna that same month and is set to enter into force on the 90th day after date of ratification by at least five States who have a minimum of 400,000 units of installed nuclear capacity.