Ken Wyatt (Hasluck, Liberal Party, Assistant Minister for Health And Aged Care) Share this | Hansard source

The Civil Nuclear Transfers to India Bill 2016 clarifies that decisions approving civil nuclear transfers to India are taken to be consistent with Australia's obligations relating to nuclear safeguards if particular conditions are met. Those conditions include the application of nuclear safeguards under India's agreement with the International Atomic Energy Agency as well as the Australia-India agreement on civil nuclear cooperation. This legislation is the final step in allowing Australian exporters to supply Australian uranium for use in India's civil nuclear facilities. This process began with the former government's decision in 2011 to commence negotiations on a civil nuclear cooperation agreement with India. That agreement was concluded by the current government in 2014 and reviewed by the Joint Standing Committee on Treaties in 2015. Together with the nuclear cooperation agreement and associated administrative arrangements, the Civil Nuclear Transfers to India Bill completes the package of measures enabling the supply by Australia of uranium to India.

The decisions that consecutive Australian governments have made to clear the way for nuclear cooperation with India have taken account of the fact that India is not a party to the Treaty on the Non-Proliferation of Nuclear Weapons. These decisions are built on a framework agreed by the Nuclear Suppliers Group in 2008 that recognised India's commitment to support international nonproliferation efforts. India's commitments included continuing its moratorium on nuclear testing and separating its civil and military nuclear activities. They also include acceptance of International Atomic Energy Agency safeguards on civil nuclear activities. In the years since 2008 India has continued to meet these commitments.

The Civil Nuclear Transfers to India Bill reflects Australia's decision to supply uranium to India on the basis of the Nuclear Suppliers Group decision and the safeguards that India and the International Atomic Energy Agency have put in place. It also reflects the conditions in the Australia-India agreement on civil nuclear cooperation. The bill will give Australian exporters confidence that they can fulfil new uranium supply arrangements to India with long-term legal certainty. The bill does not give blanket protection against legal action that might affect supply of uranium to India. Its purpose is to clarify one specific technical point: how Australia's commitment under the nonproliferation treaty and the South Pacific Nuclear Free Zone Treaty should be interpreted when decision makers are considering permits for the export of uranium to India.

The International Atomic Energy agency applies robust safeguards to the civil part of India's fuel cycle, which is where Australia's uranium and any nuclear material derived from it will exclusively remain. The bilateral agreement between Australia and India contains assurances that the Australian uranium will not be diverted from peaceful purposes. These assurances are underpinned by strict inspection and accounting regimes.

Nuclear power is an important part of India's energy mix. Timely engagement in the Indian market will maximise opportunities for Australian companies. India has plans for nuclear energy to meet 25 per cent of its power needs by 2050. Nuclear energy will also help to power economic growth and poverty reduction in the world's fastest-growing major economy. India's plans to expand nuclear generation are likely to make a valuable contribution to its pledged reduction in carbon emissions intensity. Uranium mining companies in Australia are already negotiating the first contracts for what promises to be a significant trade.

As an emerging strategic power in the Indo-Pacific region, India is a natural partner for Australia. We share a robust democratic tradition. Our countries see eye to eye on the importance of the rule of law, free speech and free enterprise. Rooted in these shared values, Australia's growing collaboration with India on energy security and trade is an investment in the future for both countries. The process of developing bilateral nuclear cooperation with India began under Labor and has been carried forward by the coalition. I am pleased to observe that the Civil Nuclear Transfers to India Bill 2016 enjoys the same bipartisan support. The government will continue to work with the opposition to ensure that this important policy is implemented for the benefit of all Australians. I commend the bill to the House.

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