Six years after negotiations began India and Japan finally signed a landmark nuclear agreement, opening new doors for India to commission nuclear reactors by global entities. The deal is significant in more ways than one; keeping in mind the reservations of Japan – the only country to have sustained nuclear attacks, and India’s efforts to diversify the sources of equipment and technology it will need to boost nuclear power generation.
Following the signing of the agreement, Prime Minister Narendra Modi, who was on a three-day trip to the Asian country, called the agreement for cooperation a “historic step” in India’s engagement to build a clean energy partnership.
Foreign Ministry spokesperson Vikas Swarup tweeted, “A landmark deal for a cleaner, greener world. PM Narendra Modi and PM Shinzo Abe witness exchange of the landmark nuclear agreement.”
Japanese Prime Minister Abe noted, “This agreement is a legal framework that India will act responsibly in peaceful uses of nuclear energy and also in non-proliferation regime even though India is not a participant or signatory of NPT.” He added that it “is in line with Japan’s ambition to create a world without nuclear weapons”.
Briefing the press, foreign secretary S Jaishankar said the Japan nuclear deal had a number of similarities with the US deal. While the US deal was covered in four different stages, the Japan deal pushed all four stages into one – a 123 agreement, reprocessing, administrative arrangements and NSG. The host country has built in a clause that it would cease cooperation if India conducted nuclear tests.
While Abe referred to both NPT and CTBT, Jaishankar reaffirmed India’s position saying it abided by both the agreements even though it was not a signatory. Despite India’s pact with the United States, this agreement remains significant. India commissioned six EPR reactors from Areva and another four from Toshiba-Westinghouse. Both companies use Japanese components which would not be forthcoming in the absence of a nuclear deal with Japan.
During his trip to Tokyo, Modi spoke at the CII-KEIDANREN business luncheon where he stated that his personal engagements with leadership, government, industry, and people of Japan are now almost a decade old.
“The growing convergence of views between Japan and India under our Special Strategic and Global Partnership has the capacity to drive the regional economy and development, and stimulate the global growth. Strong India-Japan ties will enrich our two nations. It will also be a stabilising factor in Asia and the world,” Modi said.
He said that even against a weak international economic scenario, the news from India is of strong growth and abundant opportunities. “In 2015, the Indian economy grew faster than other major economies. World Bank and IMF assess this trend to continue. Lower labour costs, large domestic market and macro-economic stability combine to make India a very attractive investment destination.”
He also praised and thanked Japan, pitching in his ‘Make in India’ scheme, promising that people of Japan who are looking to explore their options in India that his government remains committed to further refine the policies and procedures to boost business.
“I have long maintained that India needs scale, speed, and skill. Japan has a very important role to play in all three. Its involvement in our mega projects like Dedicated Freight Corridors, Delhi Mumbai Industrial Corridor, Metro Rail, and High Speed Rail signifies scale and speed,” Modi said.
Addressing the Indian diaspora in Japan, Modi assured them of his decision to demonetise Rs 500 and 1,000 notes. He said that he was aware of the hardship people were facing in India but emphasised it was necessary in the larger interests of the nation.
“I know it is difficult. People are made to speak against Modi but I salute the people... some stood in the queues for five hours, six hours but endured the hardship. The same way as people in Japan endured in 2011,” he said in reference to the earthquake-triggered tsuname that hit the nation.
Highlights of Modi’s visit to Japan
· Both sides have signed five pacts covering defence exchanges, cooperation in clean energy, roads and highways, healthcare and women while vowing to take their relationship from strategic partnership to a special strategic partnership.
· Japan has lifted the ban on six Indian entities, including Hindustan Aeronautics Limited (HAL) which was imposed in the aftermath of 1998 nuclear tests.
· Tokyo will help India in providing financial, technical and operational support to introduce Bullet trains, a project that Modi has been actively pursuing.
· Both sides have signed an MoU for cooperation in heritage conservation, city modernisation and cooperation in the fields of art, culture and academics.
· Japan has promised to give $35 billion to India through public and private funding over the next 5 years for developmental projects, including building of smart cities and clean-up of river Ganges.
