Civil nuclear deal was centrepiece of our relationship with Obama,Modi says

Posted on Jan 25 2015 - 6:16pm by IBC News

After a breakthrough was achieved on the India-US civil nuclear deal between Prime Minister Narendra Modi and US President Barack Obama on Sunday, Modi said the deal, signed six years ago in 2008, remains the centrepiece of the transformed relationship between the two countries.

“The civil nuclear deal was the centrepiece of our relationship. We worked with a sense of purpose for four months after I visited the US in September last year to make sure the deal is taken forward,” PM Modi told in a joint address with Obama after the bilateral talks at Hyderabad House in New Delhi.

In a major diplomatic victory, Modi was successful in persuading Obama to withdraw the contentious tracking clause, which the US had earlier wanted to track the material it supplied to India. India had called the demand intrusive, especially in view of the safeguards suggested by the nuclear regulator, the International Atomic Energy Agency.

India and the US had signed a landmark civilian nuclear deal during the Manmohan Singh in 2008. Holding up the trade between the two countries is India’s reluctance to pass laws shielding the nuclear suppliers from liability in the event of a nuclear accident.

The Indian liability law, which holds the suppliers directly liable in case of a nuclear accident, remains another hurdle.

Countries like France and the US have asked India to follow global norms under which the primary liability is with the operator.

Since all nuclear power plants in the country are run by the state-owned Nuclear Power Corporation of India Ltd, following the international norms will mean the government would have to pay the damages in case of an accident.

On Sunday morning, Modi became yet another Indian prime minister to break the protocol when it came to receiving an American Head of State when he went to the Palam airport to personally greet Modi as he and Michelle Obama disembarked from Air Force One. A bear hug between the two leaders served as the perfect photo-op to underline the bonhomie between the two leaders.

“It is a great pleasure and privilege to welcome back Obama and Michelle. I feel honoured that you accepted our invitation to be the chief guest at the Republic Day and I know how busy you are,” Modi said at the joint address. “It is special because on this day we celebrate values shared by the two democracies,” he said