Deal to allow U.S. sales to Indian nuclear plants

NEW DELHI — President Barack Obama and Indian Prime Minister Narendra Modi announced a deal Sunday to clear the way for American companies to help build India’s energy sector, potentially bringing tens of billions of dollars and thousands of jobs to the United States.

A nuclear deal in 2008 was hailed as the highpoint of the relationship between the two countries that have sometimes been at odds. But they had been at an impasse since India passed the laws in 2010 that left suppliers, not operators, accountable for damages resulting from accidents at nuclear facilities.

“We are committed to moving towards full implementation and this is an important step that shows how we can work together to elevate our relationship,” Obama said.

Obama and his wife, Michelle, arrived in New Delhi Sunday morning for a quick, three-day trip, designed to signal improving relations both with policies such as the nuclear deal and with the images of two leaders who appear to genuinely like each other.

“Barack and I have formed a bond, a friendship,” Modi said. “We can laugh and joke and talk easily on the phone. The chemistry that has brought Barack and me closer has also brought Washington and Delhi closer.”

In a private meeting, Obama and Modi solidified a new 10-year defense agreement, made strides on clean energy and agreed on a way to coordinate fighting against terrorist groups and keep nearby Afghanistan stable.

But the most significant agreement was the nuclear deal.

The compromise does not require any legislation.

But it will be up to the companies to decide whether to do business in India. Companies that could benefit are General Electric, Westinghouse and Bechtel.

“This is an important breakthrough, and has the potential to move this initiative forward to provide clean power to the Indian people while providing U.S. companies the liability protection they require,” said Sen. Mark Warner, D-Va., co-chairman of the Senate India caucus who accompanied Obama on the trip.

In 2008, the two countries agreed to permit civilian nuclear trade for the first time in three decades. It called for U.S. companies to sell nuclear fuel, technology and reactors to India for energy use while India opened 14 civilian nuclear facilities to international inspection.

The United States-India Business Council, which had promoted the original 2008 deal, estimated at the time that India could spend as much as $175 billion over 25 years.

But then India passed the liability laws in 2010 that left suppliers accountable for damages resulting from accidents at nuclear facilities. U.S. companies lost interest in investing in India.

U.S. Ambassador Richard Verma said the deal will bring India in line with international norms. The compromise resolves differences over the liability of suppliers to India if there is a nuclear accident and U.S. demands on tracking the location of materials supplied to the country. He released few details.

“Ultimately it’s up to the companies to go forward, but the two governments came to an understanding,” he said.

Obama was honored at a State Dinner at the presidential palace Sunday night.

And he will be the official guest Monday at Republic Day, a national holiday marking the adoption of the constitution in 1950 that is celebrated with a parade through the streets of New Delhi. The prime minister gave the president a copy of a 1950 telegram from the United States congratulating India on the adoption of its constitution.

“This new partnership will not happen overnight,” Obama said. “It’s going to take time to build and some patience. But it’s clear from this visit that we have a new and perhaps unprecedented opportunity.”

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Local News

A firefighter stands in silence before a panel bearing the names of L. John Regelbrugge and Kris Regelbrugge during the ten-year remembrance of the Oso landslide on Friday, March 22, 2024, at the Oso Landslide Memorial in Oso, Washington. (Ryan Berry / The Herald)
‘Flood of emotions’ as Oso Landslide Memorial opens on 10th anniversary

Friends, family and first responders held a moment of silence at 10:37 a.m. at the new 2-acre memorial off Highway 530.

Julie Petersen poses for a photo with images of her sister Christina Jefferds and Jefferds’ grand daughter Sanoah Violet Huestis next to a memorial for Sanoah at her home on March 20, 2024 in Arlington, Washington. Peterson wears her sister’s favorite color and one of her bangles. (Annie Barker / The Herald)
‘It just all came down’: An oral history of the Oso mudslide

Ten years later, The Daily Herald spoke with dozens of people — first responders, family, survivors — touched by the deadliest slide in U.S. history.

Victims of the Oso mudslide on March 22, 2014. (Courtesy photos)
Remembering the 43 lives lost in the Oso mudslide

The slide wiped out a neighborhood along Highway 530 in 2014. “Even though you feel like you’re alone in your grief, you’re really not.”

Director Lucia Schmit, right, and Deputy Director Dara Salmon inside the Snohomish County Department of Emergency Management on Friday, March 8, 2024, in Everett, Washington. (Ryan Berry / The Herald)
How Oso slide changed local emergency response ‘on virtually every level’

“In a decade, we have just really, really advanced,” through hard-earned lessons applied to the pandemic, floods and opioids.

Ron and Gail Thompson at their home on Monday, March 4, 2024 in Oso, Washington. (Olivia Vanni / The Herald)
In shadow of scarred Oso hillside, mudslide’s wounds still feel fresh

Locals reflected on living with grief and finding meaning in the wake of a catastrophe “nothing like you can ever imagine” in 2014.

Everett mall renderings from Brixton Capital. (Photo provided by the City of Everett)
Topgolf at the Everett Mall? Mayor’s hint still unconfirmed

After Cassie Franklin’s annual address, rumors circled about what “top” entertainment tenant could be landing at Everett Mall.

Everett
Everett man sentenced to 3 years of probation for mutilating animals

In 2022, neighbors reported Blayne Perez, 35, was shooting and torturing wildlife in north Everett.

Dorothy Crossman rides up on her bike to turn in her ballot  on Tuesday, Aug. 1, 2023 in Everett, Washington. (Olivia Vanni / The Herald)
Everett leaders plan to ask voters for property tax increase

City officials will spend weeks hammering out details of a ballot measure, as Everett faces a $12.6 million deficit.

Starbucks employee Zach Gabelein outside of the Mill Creek location where he works on Friday, Feb. 23, 2024 in Mill Creek, Washington. (Olivia Vanni / The Herald)
Mill Creek Starbucks votes 21-1 to form union

“We obviously are kind of on the high of that win,” store bargaining delegate Zach Gabelein said.

Lynnwood police respond to a collision on highway 99 at 176 street SW. (Photo provided by Lynnwood Police)
Police: Teen in stolen car flees cops, causes crash in Lynnwood

The crash blocked traffic for over an hour at 176th Street SW. The boy, 16, was arrested on felony warrants.

The view of Mountain Loop Mine out the window of a second floor classroom at Fairmount Elementary on Wednesday, Jan. 10, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
County: Everett mining yard violated order to halt work next to school

At least 10 reports accused OMA Construction of violating a stop-work order next to Fairmount Elementary. A judge will hear the case.

Imagine Children's Museum's incoming CEO, Elizabeth "Elee" Wood. (Photo provided by Imagine Children's Museum)
Imagine Children’s Museum in Everett to welcome new CEO

Nancy Johnson, who has led Imagine Children’s Museum in Everett for 25 years, will retire in June.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.