Govt sets up Rs 1500 crore insurance pool to boost nuclear industry
The government has launched an insurance pool to the tune of Rs 1,500 crore which is mandatory under the Civil Liability for Nuclear Damage Act (CLND) in a bid to offset the financial burden of foreign nuclear suppliers.Updated: Jun 14, 2015 01:12 IST
In an effort to mitigate suppliers’ concerns about liability from nuclear risks, the government on Saturday launched a Rs 1,500 crore India Nuclear Insurance Pool.
The Civil Liability for Nuclear Damage Act, 2010 (CLND), had suggested that the nuclear insurance pool be made operational with funds of Rs 1,500 crore. The idea of forming a pool was mooted in 2013 but had been caught in a logjam because of differences among stakeholders and various clauses.
Minister of state in the department of atomic energy, Jitendra Singh, said projects like the Gorakhpur Haryana Anu Vidyut Pariyojna (GHAVP) which could not move forward as the tenders were not getting mature in the absence of a pool could finally move ahead.
“The GHAVP project will finally bring the participation of the northern states into the atomic energy mission of this country and will also help us achieve the target set by Prime Minister Narendra Modi of increasing our nuclear energy capability three-fold in the next five years,” he said.
Singh also said that in the diamond jubilee year of the Bhabha Atomic Research Centre (BARC), a ‘hall of nuclear power’ would be set up in Delhi with an aim to remove misconceptions related to atomic energy and to attract young scientists.
Official sources said the pool was an important component of a nuclear liability regime, encompassing a market based and risk informed insurance scheme based on the best of international practices.
First Published: Jun 13, 2015 20:05 IST