Thursday, June 14, 2012

U.S. - India Nuclear thaw: Westinghouse to build nuclear power plant in Gujarat


New York: When the US and India signed the nuclear deal in 2008, it was heralded as a new era in post-Cold war ties and US companies hoped to reap a bonanza in reactor sales. They have been snagged by Manmohan Singh‘s government but US Secretary of State Hillary Clinton confirmed on Wednesday that Westinghouse Electric Co. has signed a memorandum of understanding with the Nuclear Power Corporation of India (NPCIL) that would pave the way for construction of nuclear power plants in Gujarat.
Westinghouse has decided to go ahead with plans for building an AP-1000 nuclear power plant in Gujarat. As the strategic dialogue opened Clinton said that the American company and the Indian state run firm signed a pact on Tuesday to work towards preliminary licensing and site development in Gujarat for construction of new reactors.

US frustration with India’s domestic nuclear liability laws is well known. America has been long-faced about India’s legislation, which it contends is tough on suppliers of reactors. American nuclear power firms have been unwilling to shoulder the kind of liabilities that India was insisting on under its domestic legislation, the US government — including President Barack Obama — had taken up their problems at the highest level in New Delhi. Diplomats from Washington have been in talks with their counterparts in New Delhi over how liability is determined in an accident.

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