US studying new Indian rules for nuclear liability

Washington/New Delhi: The United States said it was reviewing implementation rules for the civil nuclear liability law notified by India and would withhold comments on the matter for the time being. After notifying the rules Indian authorities said they had tried to address some of the concerns of US companies.

"I think we're still in the process of studying the content. And once we've reviewed them thoroughly, then we'll have comment," State Department spokesman Mark Toner told reporters Thursday when asked if the US viewed the rules as sufficient to allow US nuclear companies to invest in India.

The notified rules relating to Civil Liability for Nuclear Damage Act provide the nuclear plant operator the right to recourse for the period for which the supplier of equipment has taken liability for patent or latent defects or sub-standard services under a contract.

So far, US equipment suppliers have shied away from approaching India for contracts with Washington asking Delhi to harmonise its civil nuclear liability law with international conventions.

Meanwhile in Delhi, the government said Thursday that the new rules notified under Nuclear Liability Act should not deter US suppliers.

The rules, made public on Wednesday, seek to operationalise the Act that was passed August last year.