The bill does not envisage the negotiations on the 123 Agreement and those on safeguards agreement with IAEA to move in tandem. This runs contrary to the PM’s assurance that India will accept safeguards in a phased manner, only when all restrictions are lifted.

The legislation requires that “all legal steps” be completed on the IAEA safeguards agreement. The bill also requires that the NSG should have relaxed its guidelines before the 123 Agreement is implemented. Clearly, India placing reactors under safeguards is the last step in the sequence. There were doubts on this score, but the legislation has cleared them. Obviously, Indian reactors will be placed under safeguards in a phased manner as spelled out in the March 2 Separation plan.

The bill leaves space for alternate arrangements for ensuring safeguards in case IAEA fails to carry out inspections. Also, fears have been raised on the US end use programme that can be intrusive in nature. Specific concerns have been raised on US scrutiny through the requirement of cooperation in research with the National Nuclear Safety Administration

Three specific provisions in Section 107 of the Senate version of the bill on review of equipment design, access to places where US material is used and maintenance and disclosure of records were deleted. This removes the scope of intrusive scrutiny. Besides, India is clear that it will not accept anything beyond IAEA safeguards. India has been importing dual use items since 1985, which have been subject to end use verification, including in the nuclear sector.

... contd.