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Debate: Selling Australian uranium to India

Uranium U-turn welcome, overdue

by Rory Medcalf - 15 November 2011 2:34PM

What a week in Australian foreign policy.

Two days before President Obama's visit, which will likely mark a pivot to a truly Indo-Pacific strategic vision by Washington and Canberra, Australian Prime Minister Julia Gillard has publicly declared her support for safeguarded uranium exports to India.

These two things are connected – not as some conspiracy (though some on the left will see the timing as suspicious), but rather because it is about time we sent a signal that we recognise an emerging India as a vital and trusted part of a stable Indo-Pacific regional order. To be sure, the eve-of-Obama timing was at least a bit clumsy. It would have been better if the Prime Minister's statement had come earlier. Australia is embracing India strictly for its own reasons, not Washington's.

But in any case, Gillard's move is welcome and overdue. It is high time the Australian Labor Party developed a contemporary policy allowing uranium exports to help India produce much-needed electricity.

I have seen both sides of this issue, first as an arms control diplomat and then as a diplomat on posting in India. In 1998 I was a junior official writing talking points condemning India for its nuclear tests. From 2000-2003 I worked in New Delhi, watching India's foreign and security policy evolution first-hand and trying to improve Australia-India relations after the damage from our failed, moralistic 1998 stance. From 2004 to February 2007 I monitored the changing Asian strategic order from inside Australia's peak intelligence agency.

Since my first opinion piece calling for a change of Labor policy on uranium in April 2007 I have been an open supporter of improved relations with India. And now I try to balance realistic assessments of the Asian nuclear and strategic order with my advocacy of a true strategic partnership with India as part of Australia's wider approach to an era of Chinese, Indian and sustained American power and influence. Part of this work involves close consultations with prominent Indians from across politics, media, diplomacy, business and journalism.

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Reader ripostes: Uranium and the alliance

by Reader riposte - 16 November 2011 3:02PM

Below, Richard Broinowski on selling uranium to India, but first Cam Hawker on the US-Australia relationship:

A quick response to Andrew's piece on the decision to host US Marines in Darwin. Andrew questions if this represents 'the moment where Australia fundamentally cast its lot in with the US'. I would suggest that this moment occurred long ago. Not, as Andrew suggests, with the signing of the ANZUS Treaty in 1951, but with the decision to host the Joint Facilities such as Pine Gap, and the now defunct establishment at Nurrungar. I am referring particularly to those assets that monitor the early detection of ICBM launches and nuclear detonations.

These tracking stations form an integral part of America's war-fighting capability, without them Washington would be flying blind, vulnerable to nuclear attack. They are online now. In the advent of a war between the US and China, or any other nuclear power for that matter, Australia would automatically find itself a belligerent. I suspect there would be little opportunity to either consult with Washington on how those facilities were used, or with Beijing on how our actions should be interpreted.

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Uranium sales help us to lift standards

by Andrew Carr - 17 November 2011 1:27PM

One of the oddest criticism of Gillard's move to sell uranium to India is that she is breaking with the non-proliferation approach of the Hawke and Keating governments, when actually it's the exact same strategy: trading uranium in return for influence in setting safety standards.

This (lucrative) approach, of selling uranium while insisting on world-class safety standards, is the reason Australia became 'a global champion of non-proliferation'. Without it, Australia's many other achievements — extending the Non-Proliferation Treaty, passing the Comprehensive Test Ban Treaty, undertaking the intellectual leg-work for global disarmament via the Canberra Commission and the International Commission on Nuclear Non-proliferation and Disarmament — would not have been possible.

While Australia has around 30-40% of the world's uranium supply, there are too many other suppliers for a ban by Australia to have a significant effect. India is a case in point. Should Australia ban uranium sales outright, as some critics want, our likely influence would be akin to New Zealand's. Our southern neighbour took a more principled stand in the 1980s on nuclear power, but has, undeniably, had significantly less effect on global proliferation norms and conditions than Australia.

That's not a function of size, but strategy. While the Prime Minister has argued the economic benefits, and Rory noted the security benefits, it is through deals like this that Australia, a remote middle power, can best influence non-proliferation standards worldwide.

Photo by the Uranium Energy Corp.

India uranium: We're selling out our principles

by Ron Walker - 18 November 2011 9:09AM

Ron Walker is a former Chairman of the Board of Governors of the IAEA and author of the Lowy institute  Policy Brief 'Uranium for India'

Some oppose selling uranium to India because they are against uranium mining.

My objection is quite different, as I support the policy introduced by Malcolm Fraser and upheld by all subsequent Australian governments until late Howard and now Gillard: that uranium mining in Australia is only defensible if it strengthens the non-proliferation regime.

Thanks to our control of over a quarter of the world's known uranium reserves we are in a position to impose tougher elements to that regime. We have used that leverage to set non-proliferation standards that have been applied world-wide. Now the prime minister proposes to exempt India from our rules.

I am horrified that the media have not explained the enormity of this proposal. Perhaps even the public service has been so degraded, marginalised and cowed that the prime minister has not been told of the far-reaching consequences.

The reason I know something of it is that I worked for decades on these issues in the Department of Foreign Affairs and Trade, serving inter alia as head of the Nuclear Division (now renamed 'International Security Division') and as Chairman of the Board of Governors of the International Atomic Energy Agency.

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Reader riposte: Uranium and the India relationship

by Reader riposte - 18 November 2011 11:23AM

David Brewster responds to Richard Broinowski:

I'm not sure that Rory Medcalf suggested that the sale of Australian uranium to India is a panacea to the bilateral relationship — clearly it is not. However, the policy is a symbolic roadblock to improvements in the relationship, and its removal will hopefully provide some space for the relationship to grow.

There is little doubt that Kevin Rudd's reversal of John Howard's announced decision in 2007 to export uranium to India has come to be seen by some in New Delhi as representing all that is wrong with Australian policy: hypocritical, inconsistent and failing to pay regard to India as a friend or as a partner. 

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Selling uranium to India, responsibly

by Martine Letts - 24 November 2011 2:50PM

Prime Minister Gillard's announcement that she will seek a change in Labor's platform to permit uranium exports to India is problematic for Australia's non-proliferation policy and reputation. I share the concern about the apparent failure to extract anything from India in return for a major policy shift, and the implication that uranium exports to India will soon become the law as soon as ALP policy has been changed, without the due process usually reserved for changes of policy of this magnitude.

But let's not throw our hands up in the air just yet. A change in ALP policy is the backing a Gillard Government will need before any negotiations can commence with India, negotiations which might yield net benefits to Australia's non-proliferation agenda.

First, the proposal to change decades of Australian policy on which countries we sell uranium to is not entirely capricious. There are some sound policy reasons for exporting uranium to India, primarily strategic and environmental: India is a rising power with which we should establish a strategic relationship. As thoroughly irksome as this is, India has made it clear that the price of a closer relationship is access to Australian uranium.

India's energy needs are voracious and nuclear energy will help limit the damage to the global environment from its growing energy use. The world also needs India to be an active participant in the fight against proliferation and in managing emerging nuclear tensions in its region. As it is not and never will be a member of the NPT, other mechanisms for including India in these efforts are needed.

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Selling uranium to India, responsibly II

by Martine Letts - 25 November 2011 12:52PM

In my previous post I suggested that Australian uranium sales to India might strengthen the non-proliferation regime. We are not only known as a reliable supplier of uranium, but a strict one, and this need not change with India.

Australia has agreements to supply uranium to non-nuclear weapons states and to peaceful facilities in nuclear weapon states. Both types of agreements ensure that Australia's nuclear exports remain in exclusively peaceful use, and may only be re-transferred to a party with a bilateral safeguards agreement with Australia.

All Australian safeguards agreements have provision for the full accounting of all Australian Obligated Nuclear Material (AONM). The importing party needs Australia's prior written consent to transfer the material to any third party. AONM is not to be enriched beyond 20% U-235. No reprocessing of AONM is allowed without Australian consent. Why is this important? Because high levels of enrichment or reprocessing technology are needed for nuclear weapons.

For historical reasons India fails to qualify as an officially recognised nuclear weapon state under the NPT, though it is obviously a nuclear weapon state in practical terms. Any agreement with India will therefore be modelled on the types we have with China and Russia. Any Australian government should ensure that an Australian safeguards agreement with India incorporates, as a minimum, a renewed commitment from India to adhere to the international non-proliferation and arms control conditions it made to the US and to the NSG in 2008 which exempted India from NSG controls.

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India, uranium, and the Rarotonga objection

by John Carlson - 30 November 2011 4:06PM

John Carlson is a Visiting Fellow at the Lowy Institute and the former Director-General of the Australian Safeguards and Non-proliferation Office.

The Treaty of Rarotonga (South Pacific Nuclear Free Zone Treaty) is being held out as an obstacle to Australia supplying uranium to India. The Howard Government had legal advice this was not the case. Sharing its legal advice is for the present government to decide, but if the legal position is as clearly against supply to India as is claimed, neither the Howard Government nor the Gillard Government would be considering supply to India. 

Article 4 of Rarotonga says that parties are not to provide nuclear material or items to any non-nuclear-weapon state unless subject to the safeguards required by Article III(1) of the Nuclear Non-Proliferation Treaty (NPT). The latter article requires each non-nuclear-weapon state party to the NPT to conclude a safeguards agreement with the IAEA applying to all its nuclear material (ie. 'full-scope safeguards').

India, of course, is not a party to the NPT, and has not concluded such an agreement with the IAEA. Thus, the Treaty of Rarotonga is being interpreted as an impediment to Australian uranium trade with India.

But what is a 'non-nuclear weapon state'? A literal reading of the NPT suggests that, other than the five nuclear-weapon states identified by the Treaty (US, Russia, UK, France and China), all states (even non-members of the NPT such as India) are classified as 'non-nuclear-weapon states'.

Yet as Don Rothwell says, this is a legal fiction — it is a fact that India is nuclear-armed. As a practical matter, therefore, India's circumstances are not specifically covered by the NPT. India is sui generis, a unique case, as the 46-member Nuclear Suppliers Group decided when agreeing the 'India exception' to the NSG nuclear supply guidelines.

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Uranium export arguments glib, contradictory

by MV Ramana - 1 December 2011 5:38PM

MV Ramana is with the Nuclear Futures Laboratory and the Program on Science and Global Security, Woodrow Wilson School of Public and International Affairs, Princeton University.

There is a clear internal contradiction in the statements by many who support Australia lifting the ban on selling uranium to India.

On the one hand, the claim is that, because several other suppliers are out there to supply uranium, Australia not selling uranium to India makes no significant difference to India's uranium supplies. But then, on the other hand, the claim is that, through selling uranium, Australia can insist on 'world-class safety standards' and in general obtain much influence in setting Indian policies in exchange for the uranium.

This glib transition from a position of near-helplessness to a position of power will not stand up to logic. If Australian uranium can be substituted with uranium from other suppliers, then why should India, especially now that it has been dubbed an emerging power, bother to change any of its policies?

Worse, it exhibits a complete ignorance of the history of negotiations over the US-India nuclear deal, where despite strenuous efforts by US diplomats, Indian negotiators conceded precisely nothing except for offering a partial set of reactors for international safeguards.

In large part, this was because it was absolutely clear to the Indian side, well before the negotiations, that President Bush and his Administration wanted the deal. Once that was clear, it was, as George Perkovich of the Carnegie Endowment for International Peace put it to the New York Times put it, 'Santa Claus negotiating. The goal seems to have been to give away as much as possible.' Likewise, now that Prime Minister Gillard has made her position clear, the idea that Australia might have any influence of any sort over Indian nuclear policies can be deemed illusory.

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India: Let's not just give the nod

by Graeme Dobell - 2 December 2011 12:18PM

One of Australia's finest cricket writers observes that the combined talents of Bradman, Bismarck and Warren Buffett could hardly solve the governance headaches created by India's domination of world cricket administration. Gideon Haigh writes that India's cricketing power exemplifies the golden rule of realpolitik: 'whoever has the gold makes the rules.'

India showed its dominance last year with a swift veto of the bid to make Australia's former Prime Minister, John Howard, the head of the International Cricket Council. Disillusioned by that failure to get the job for Howard, Haigh writes, Australian cricket has since 'shoulder shrugged' on most of the big issues going to the ICC. India rules.

The shoulder shrug image is useful as the Australian Labor Party convenes to do something similar by reversing its ban on selling uranium to India. Maybe it is more than a shrug. At the least, this is a nod of the head to India's growing significance, perhaps even a bow.

Just as India will determine much that happens in running and financing cricket in the 21st century, it will reach for a similar stature in Asia's governance. Julia Gillard is acknowledging that truth, whether you see the change of Labor policy as little more than a shrug or closer to obeisance.

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A strong case to drop India uranium ban

by Dhruva Jaishankar - 2 December 2011 2:00PM

Dhruva Jaishankar is Program Officer for Asia at the German Marshall Fund, a Fellow at the Takshashila Institution and an occasional columnist for The Indian Express.

It should be no surprise that New Delhi would welcome an Australian decision to export uranium to India. Isolating India on nuclear matters proved a major — and some might say unnecessary — hurdle for US-India relations. Indo-Australian strategic relations too have been held hostage to the uranium ban; in fact, India specifically advocated that Australia be excluded from multilateral security dialogues, the uranium ban being one significant factor influencing New Delhi's position.

While cogent cases have already been made for reversing Australia's stance on diplomatic and security grounds, MV Ramana's criticism, citing non-proliferation concerns, is intriguing.

In the strictest sense, he is right: Australia on its own can't guarantee that India will adhere to world-class safety standards or non-proliferation norms. But he's incorrect in assuming that Australia won't make a difference. In fact, there's already been a shift in India's behaviour following the Nuclear Suppliers Group's decision to exempt it in 2008. India's approach to the non-proliferation regime at the Conference on Disarmament at Geneva on such matters as a fissile material cut-off is but one notable example.

India's shift in position has also helped convince a previously sceptical Obama Administration of the merits of the controversial deal brokered under George W Bush. Moreover, the US-India nuclear deal has not resulted in the dire predictions made by many non-proliferation specialists (including those cited by Ramana) about India rushing to build nuclear weapons once unencumbered by the global nuclear export regime. In fact, India's decision not to upgrade or even replace its primary sources of weapons-grade plutonium suggests a continuing commitment to its existing deterrent.

The decision is ultimately Australia's to make, but, combined, the diplomatic, security, and non-proliferation dividends make for a compelling case in India's favour. As the world reaches out to India, Australia can't afford to be left behind.

Photo by Flickr user US Embassy New Delhi.

Uranium to India: Decision time

by Rory Medcalf - 2 December 2011 5:15PM

On Sunday, the Australian Labor Party's national conference will take an important decision: whether to end its blanket prohibition on uranium exports to India's nuclear energy program.

Wherever you stand, a robust debate on the issue can only improve the chances of a sensible policy outcome. That's why I am pleased The Interpreter has hosted its own debate (click on this link to see every post in the debate thread) involving a powerful range of arguments on this issue.

I am a self-declared advocate of the Prime Minister's proposal to change Labor's policy at the party's national conference this weekend. As I noted in opening our blog debate, the longstanding arms control arguments for sticking with Labor's export ban need to be taken seriously. But as I argued in today's Melbourne Age, the three main non-proliferation criticisms are exaggerated and based on shaky logic. And if safeguarded Australian exports to India are proliferation neutral, then the case for a policy change to advance bilateral relations becomes more important.

Our debate has ranged from the views of some former diplomats who strongly oppose a policy change, to the assessments of others, also with significant arms control experience, who are persuaded that there are ways to export to India responsibly. It has been argued that Australia should have tried to extract greater concessions from India. Indian voices, too, have joined the discussion.

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India doesn't need Australian uranium for weapons

by John Carlson - 13 December 2011 8:35AM

John Carlson is a Visiting Fellow at the Lowy Institute and the former Director-General of the Australian Safeguards and Non-proliferation Office.

One of the objections to supplying uranium to India is that it will free up India's own uranium for its nuclear weapons program. This argument is nonsense: it could just as easily be argued that supplying India with any energy resource — coal, or natural gas, or wind turbines — could free up uranium for military use.

Countries that have determined they need nuclear weapons will ensure they have the necessary uranium regardless of cost. Uranium is a widespread mineral, and all countries have some uranium resources if cost is no object — it can even be recovered from seawater. In a competition between nuclear weapons and nuclear power, priority will be given to nuclear weapons, as there are many other options available for generating electricity. For example, some 50% of India's electricity is now generated with coal.

India has decided on nuclear energy for the various advantages it offers — clean air, reliability, huge reduction in transport and storage requirements compared with coal, and so on. For these reasons, and also increasing concern about the impact of fossil fuels on climate change, India has an ambitious program for expanding the use of nuclear energy. India needs to import uranium to fuel this expansion.

To give some practical context to the claim: to operate a 1000 megawatt power reactor requires around 200 tonnes of uranium a year — 20 such reactors require 4000 tonnes of uranium every year. To produce one nuclear weapon requires as little as 5 tonnes of uranium, a quantity easily met from India's domestic uranium production. The needs of a military program are insignificant compared with those of a power program.

Of course we hope India will come to understand the folly of producing more nuclear weapons, and will join the efforts of other countries towards reducing and eliminating these weapons. For Australia to deny India uranium, however, would have absolutely no influence on India's actions.

Photo by Flickr user Gregory Tonon.

Reader riposte: Lowy's nuclear debate

by Reader riposte - 15 December 2011 11:33AM

Richard Broinowski writes:

I was incredulous to read Sam Roggeveen's assertion that Lowy is committed to open and unemotional debate on nuclear issues, and also that it is a non-partisan think tank rather than a lobby group. In a number of important respects it is neither open nor impartial, but I shall confine myself to comment on your 2011 record, namely, the so-called 'nuclear debates' you have hosted this year.

On 20 April, barely a month after Fukushima, you had your own intern, the former notably pro-nuclear advocate, John Carlson, joined by John Borshok (CEO of Paladin), Selena Ng from Areva, and Michael Angwin, CEO of the Australian Uranium Association, at a lunch-time 'debate'. All argued, some of them aggressively, that the nuclear industry was safe and that Fukushima was an aberration. No dissenting voice was heard from the podium. On 9 June you invited Andy Lloyd of Rio Tinto Mining and Warren Mundine to a 'debate', arguing in a similar fashion that nuclear power was the wave of the future.

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More on our uranium debate

by Sam Roggeveen - 15 December 2011 4:13PM

Regarding Richard Broinowski's reader riposte:

  • I never claimed we ran an 'unemotional' debate on uranium sales to India. That word never appears in my post.
  • I made no claims of impartiality, in fact I said explicitly that our scholars argue energetically for their own points of view.
  • John Carlson is a Visiting Fellow at the Lowy Institute, not an intern.
  • The CEO of Paladin Energy is John Borshoff, not Borshok.
  • Rory Medcalf did not 'assert that Stephen Conroy's performance at the ALP national conference would have been a rich source for a Bollywood blockbuster.' As you can see at 38 minutes in the video, he says that 'all the drama' of the Labor conference debate would make for a great Bollywood movie. There were 17 speeches in that debate; Medcalf made no reference to Conroy.
  • Medcalf made his joke at the 9 December Barry O'Farrell event, not the 1 December Scott Sagan event, as Broinowski implies.

Reader ripostes: Uranium expertise and emotion

by Reader riposte - 16 December 2011 11:11AM

Three reader ripostes on our uranium debate. Below, Jasmin Craufurd-Hill and Michael Angwin. But first, Peter Burnett:

Lowy Institute staff seem to get very defensive when people criticise their role, as in the recent policy debate over nuclear issues (a similar trait was evident with the debate over the Fiji poll). Sam Roggeveen is right when he says that The Interpreter has published a range of views on the debate over the sale of uranium to India. But by their very nature, blog postings are ephemeral and don't carry the weight of a policy position issued under the Lowy Institute's logo. Beyond the blog, you don’t see the same diversity of views in the Institute's publications, which have never given space to a serious critic of nuclear power. 

It's hardly surprising that many people regard the Institute as gung ho on one side of the uranium and nuclear power debate, when you look at the publications and Op Eds authored by Rory Medcalf, Marine Letts and other senior Lowy staff members. No one objects to the Institute having a policy position, but don't kid yourselves that the spectrum of approved opinion is very wide. In line with Richard Broinowski, methinks you protest too much.

Jasmin Craufurd-Hill, a Women-in-Nuclear Global board member, writes: 

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Still more on the uranium debate

by Martine Letts - 20 December 2011 11:21AM

I have a couple of additional comments with respect to Richard Broinowski's reader riposte.

According to the Nossal Institute for Global Health Website, where Tilman Ruff is an Associate Professor, he is an infectious diseases and public health physician with particular interests in vaccines and immunisation. Ruff's bio makes no reference to any expertise as a 'radiation physician'.

The panel which I chaired at the offices of The Age in Melbourne on 9 June was on the topic of 'How Australians feel about nuclear power'. Richard refers to Andy Lloyd of Rio Tinto Mining and Warren Mundine, but fails to mention the third panelist at that session, Professor Daniela Stehlik, author of the National Academies Forum 2009 report on nuclear attitudes in Australia, whose participation was obviously critical to the theme of the debate. All of these panels can be downloaded from our website.

Reader riposte: Big and little truths on uranium

by Guest Blogger - 22 December 2011 11:38AM

Richard Broinowski writes:

My apologies for getting some details wrong in my broadside about pro-nuclear bias at Lowy, and to those I might have offended. But none of the corrections weaken my general observation, which Peter Burnett strengthens: blog postings are ephemeral, whereas the pronouncements of speakers introduced with due gravitas at weekly luncheons carry more identification with Lowy opinion. And with perhaps one or two exceptions, the bias has been palpable.

As for Jasmin Craufurd-Hill's observations, of course nuclear applications and expertise have a broad canvas, but my remarks quite obviously relate to nuclear power, not radio pharmaceuticals, medicines, materials analyses or space research. Nor does Martine Letts' pedantry about Tilman Ruff's credentials alter the fact that he has devoted much of his professional life as a public health specialist to the damaging stochastic effects of ionising radiation, and knows more about the subject than most physicians.

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