Tuesday 12 July 2011

Sample Content: "Gist of Yojana"

The Indo-us Nuclear Deal : Basic Facts

India and the United States signed a landmark deal in October 2008,

which allows India access to US civil nuclear fuel and technology.

What is it that makes this deal so significant? How does India stand

to gain from it? Here are some answers to these questions:

What is the Indo-U.S. Civilian Nuclear Deal?



This is a deal between India and the United States for civil nuclear

cooperation. Under this agreement, the United States can sell civilian

nuclear fuel and technology to India. India in turn, has to separate

its civil and military nuclear facilities and place all its civil

nuclear facilities under International Atomic Energy Association

(IAEA) inspection. The accord took three years to be finalized, during

which it went through a series of complex stages that included

amendment of U.S. domestic law, formulation of a civil-military

nuclear separation plan in India, an India-IAEA safeguards

(inspections) agreement and the grant of an exemption for India by the

Nuclear Suppliers’ Group (NSG).

What are the Hyde Act and the 123 Agreement?



Under Section 123 of its Atomic Energy Act, the United States can

enter into civilian nuclear trade only with those countries that have

signed the NPT and CTBT. India has signed neither treaty. Further,

after its first nuclear test in 1974, the United States had placed a

ban on the supply of nuclear fuel and technology to India. In order to

sign the present deal, the section 123 of the Atomic Energy Act needed

to be amended. The Hyde Act 2006, a domestic Act of the United States,

was accordingly brought in to amend this Section and provide a legal

framework for a 123 Agreement with India. With this agreement India

becomes the only non-NPT/CTBT signatory to have signed the 123

Agreement with the United States.

Who are the Nuclear Suppliers Group?



Nuclear Suppliers Group (NSG) is a 45 nation body concerned with

reducing nuclear proliferation by controlling trade in nuclear fuel

and technology. Their policies had so far kept India out of bounds of

international nuclear trade as it has not signed the NPT and CTBT.

Some countries in the NSG had misgivings about giving India the

unprecedented waiver of carrying on international civil nuclear trade

even without signing the NPT, but the approval finally came through

keeping in view India’s strong non-proliferation records, and its

voluntary declaration of “no first use” of nuclear weapons.

What does India get from the Agreement?



Indo-US Civil nuclear deal has paved the way for the growth of the

nuclear power sector in India, which has so far been plagued by

shortages of nuclear fuel. India has limited reserves of Uranium,

which is the crucial fuel needed at the present stage of our nuclear

power program.

India’s nuclear power generation is only about 1800 Mw against an

installed capacity of 4120 Mw. With the present agreement, which is

valid for 40 years and extend able by another 10 years, India hopes to

address this fuel shortage. Under this agreement the US is committed

to ensure uninterrupted fuel supply to safeguard Indian reactors and

create strategic fuel reserves for them, and also work with other NSG

countries to ensure supply of nuclear fuel to India. The ambit of the

deal includes research, development, design, construction, operation,

maintenance and use of nuclear reactors, reactor experiments and

decommissioning. To ensure smoothness, the agreement provides for

elaborate consultations between the two parties in the event of either

side wanting to terminate the deal before its normal time

Further, the agreement also lays down the clause of “non-interference”

in India’s strategic program. Thus, the Indian nuclear power program

stands to get a much needed push without any threat to its strategic

program.

And what does India give?

As part of the bargain India has agreed for separation of its nuclear

facilities, placing the civilian facilities under IAEA safeguards in

perpetuity. The safeguard is aimed at ensuring that the nuclear

material or technology brought in for civilian purposes is not

diverted for military use. Out of its 22 operating/under construction

nuclear facilities, India will place 14 under IAEA safeguard.

Reducing GHG Emissions: The Kyoto Mechanisms

The Kyoto Protocol has put in place three flexibility mechanisms to

reduce emission of Green House Gases. Although the Protocol places

maximum responsibility of reducing emissions on the developed

countries by committing them to specific emission targets, the three

mechanisms are based on the premise that reduction of emissions in any

part of the globe will have the same desired effect on the atmosphere,

and also that some developed countries might find it easier and more

cost effective to support emissions reductions in other developed or

developing countries rather than at home. These mechanisms thus

provide flexibility to the Annexure I countries, helping them to meet

their emission reduction obligations. Let us take a look at what these

mechanisms are.

What are the three flexibility mechanisms put in place of the Kyoto

Protocol for reducing GHG emission?



The three mechanisms are joint implementation. Emissions Trading and

Clean Development

What is Joint Implementation?



Through the Joint Implementation, any Annex I country can invest in

emission reduction projects (referred to as joint Implementation

Project) in any other Annex I country as an alternative to reducing

emissions domestically.

Two early examples are change from a wet to a dry process at a Ukraine

cement works, reducing energy consumption by 53 percent by 2008-2012;

and rehabilitation of a Bulgarian hydropower project, with a 267,000

ton reduction of C02 equivalent during 2008-2012.

What is Clean Development Mechanism?



The Clean Development Mechanism (CDM) allows-’ developed country with

an emission reduction or emission-limitation commitment under the

Kyoto Protocol to implement an emission reduction project in

developing countries as an alternative to more expensive emission

reductions in their own countries. In exchange for the amount of

reduction In emission thus achieved, the investing gets carbon credits

which it can offset against its Kyoto targets. The developing country

gains a Step towards sustainable development.

To get a CDM project registered and implemented, the investing

country’ has to first take approval from the designated national

authority in the host country, establish “Additionally”, define

baselines and get the project validated by a third party agency,

called a Designated Operational Entity (DOE). The Executive Body of

CDM registers the project and issues credits, called Certified

Emission Reductions (CERs), or carbon credits, where each unit is

equivalent to the reduction of one metric tonne of C02 or its

equivalent. There are more than 4200 CDM projects in the pipeline as

on 14.3.2010. The expected CERs till the end of2012 is 2,900,000,000

What is “Additionality” in a CDM project ?



The feature of “additionality” is a crucial element of a CDM project

it means that the industrialized country that is seeking to establish

the CDM project in the developing country and earns carbon credits

from it has to establish that the planned carbon reductions would not

have occurred on its own, in the absence of the CDM project. They have

to establish a baseline of the project. Which is the emission level

that would have been there in the absence of the project. The

difference between this baseline level and the (lower) emission level

achieved as a result of the project is the carbon credit due to the

investing country

What are some of the concerns regarding CDM?



The risk of “false Credits” is a cause for concern with regard to CDM

projects. If a project does not actually offer an additionally and the

reduction in emission would have happened anyway Even without the

project.

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