BackIndia-Australia pact on nuclear fuel supply to be finalized soon
The two countries will hold another round of talks next week on problems concerning uranium imported from Australia
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New Delhi: India and Australia will likely finalize an agreement by the end of this year that will enable supply of nuclear fuel to the South Asian nation, Australian foreign minister Julie Bishop said on Monday.
Bishop, who arrived in New Delhi on Sunday on a four-day visit, is also hoping to push through a comprehensive economic partnership agreement that will boost bilateral trade and investment.
Officials from the two countries would hold another round of talks next week on problems concerning the processes governing the sale, transfer, transportation and use of uranium imported from Australia, Bishop said in a media briefing.
The agreement on administrative arrangements will also include an understanding on tracking uranium bought from Australia. According to India, all nuclear fuel would be tracked and inventoried by the International Atomic Energy Agency, which works under the aegis of the UN. However, some countries such as the US had recently insisted that nuclear fuel bought from them should be tracked by the originating countries. That issue was resolved in January during the visit of US President Barack Obama.
“On the administrative agreement, I am pretty confident that given that the US and Canada have come to an accommodation with India, Australia will be able to come to an accommodation," Bishop said.
India and Australia signed a preliminary pact last year on the peaceful uses of nuclear energy during Australian Prime Minister Tony Abbott’s visit to New Delhi in September. The pact was the culmination of talks underway since Australia, which has about 40% of the world’s known uranium reserves but no nuclear power plants, lifted a ban on selling it to India in 2012.
Energy-starved India is looking to generate power from various sources to fuel its economic growth. Nuclear power has become a viable option with India concluding a landmark deal with the US in 2008 to overturn a three-decade-old ban on India sourcing nuclear fuel and technology from the international markets.
The pact on administrative arrangements would need to be passed by Australia and Bishop sounded confident of the deal getting parliamentary approval. “Our responsibility is to put the framework in place... the framework should be in place this year," she said.
Putting the nuclear deal on track was part of Australia’s efforts to become a reliable energy partner of India, Bishop said. “Australia is very keen to become a partner, if not the partner of choice, for energy security with India and that is comprising coal, LNG (liquified natural gas) and, of course, uranium. We are particularly keen to support India’s energy ambitions given that India’s economy is continuing to grow. India will be a significant emitter...nuclear is a zero emissions technology," she said.
Bishop’s visit follows Prime Minister Narendra Modi’s visit to Australia in November. One of Bishop’s key engagements on Monday was a meeting with finance minister Arun Jaitley.
Jaitley briefed Bishop about steps India had taken to liberalize its economy, make it more stable and open market for investors by cutting red tape.
“India has global advantage vis-a vis-other countries in terms of faster growth and high investment opportunities," Jaitley said. India is the 10th largest trading partner of Australia with a two-way trade of $15 billion, according to official data.
On Tuesday, Bishop will hold talks with her Indian counterpart Sushma Swaraj and defence minister Manohar Parikkar.
PTI contributed to this story.
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