With reference to the Civil Liability for Nuclear Damage Act (CLNDA) in India and its implications for international collaboration, consider the following statements:
1. The CLNDA, enacted in 2010, exclusively channels all liability for nuclear damage to the operator, aligning perfectly with the international Convention on Supplementary Compensation for Nuclear Damage (CSC).
2. Despite the establishment of the Indian Nuclear Insurance Pool (INIP) with a corpus of ₹1,500 crore, concerns regarding supplier liability persist among foreign nuclear power firms, hindering substantial investments.
Which of the statements given above is/are correct?
Explanation:
Statement 1 is incorrect: The CLNDA does not exclusively channel all liability to the operator. It includes provisions for supplier liability, which is a significant deviation from the CSC and a point of contention with foreign firms.
Statement 2 is correct: The INIP, though created to alleviate concerns, has not fully addressed the anxieties of foreign suppliers regarding liability, leading to hesitation in investment.
Explanation: Statement 1 is incorrect: The CLNDA does not exclusively channel all liability to the operator. It includes provisions for supplier liability, which is a significant deviation from the CSC and a point of contention with foreign firms.
Statement 2 is correct: The INIP, though created to alleviate concerns, has not fully addressed the anxieties of foreign suppliers regarding liability, leading to hesitation in investment.