RESOURCE PAPER - 11

Indo-Japan
Civil Nuclear Cooperation

byL.V. Krishnan

RESOURCE PAPER - 11

Indo-Japan
Civil Nuclear Cooperation

byL.V. Krishnan
Former Director,Safety Research & Health Physics Group,
IGCAR, Kalpakkam.

Nuclear power is the fourth largest source of electricity in India after thermal, hydroelectric and renewable sources of energy.
As of 2016, India has 21 nuclear reactors in operation in 7 nuclear
power plants and 6 more reactors are under construction which
are expected to generate an additional 4,300 MW.
The Resource Paper on Indo-Japan Civil Nuclear Cooperation isan effort by the Indo-Japan Chamber of Commerce and Industry(IJCCI) to enlighten the discerning readers about thedevelopments made by India-Japan recently.
Mr. L.V. Krishnan, the author, carries with him four decades ofrich experience in the Atomic Energy programme of India andwas associated with the safety evaluation of nuclear facilities andthe field of radiation protection, also known as Health Physics. He
was the Director of Safety Research and Health Physics
Programmes in the Indira Gandhi Centre for Atomic Research,
Kalpakkam, which focuses on development of fast reactors.
Mr. Krishnan continues his professional interests as part of theCentre for Study of Science, Technology and Policy (CSTEP) andthe National Institute of Advanced Studies, both in Bengaluru.
We hope this Resource Paper will create more interest among
readers to know about civil nuclear energy and the cooperation
between India-Japan in this field.

5th March 2017

Suguna Ramamoorthy
Secretary-GeneralIndo-Japan Civil Nuclear Cooperation

The International Atomic Energy Agency, IAEA, recognises bothIndia and Japan as advanced nations in nuclear technology. Soon
after the demonstration of nuclear energy as a source of electricity
sixty years ago, the two initiated a programme to develop
indigenous capability. But there is a difference in how they
achieved results and in the present state of the technology in thetwo countries. That provides a context for the civil nuclear
cooperation agreement they recently signed.
Japan's all-round progress was far quicker because its politicalalignment provided easy access to nuclear technology and relatedmaterials. Rapid economic growth provided the necessary funds.
The government's policy of allowing Electricity Utilities to buildand operate nuclear reactors was a facilitating factor. Japan built

fifty-four operating reactors that run on enriched uranium fueland use water as coolant. These are known as Light Water
Reactors (LWRs). They are large in size, each generating about1000 MW of electricity. They produced about a third of thecountry's electricity needs. Japan was ranked third among
countries producing nuclear electricity in the world, behind theUS and France.
The Great East Japan Earthquake of March 2011 and the tsunamithat followed, changed all that. Four reactors in Fukushima wereirreparably damaged. Negligence in safety matters was said to bethe cause. But ten others on the same East coast of Japan shut
down safely. As a result of the environmental radioactive releasefrom the damaged reactors, several thousand citizens had to moveout of their homes in the vicinity of those reactors. Many havebeen unable to return. Effectiveness of safety regulations for all
reactors came under question. The Government instituted a new
Nuclear Regulatory Authority (NRA) for more rigorous
enforcement of safety. This, and public fear of possible
recurrence of a similar accident in a reactor led to total shutdownof all nuclear power plants.
Meanwhile, Japan has had to import natural gas to produce
electricity to make up for the lost supplies from nuclear powerstations. While Japan could manage to do so quickly enough, thecost has been dear. Its trade surplus took a big hit, diving from theearlier surplus of $38 billion to a deep deficit of $115 billion. The
people and the government have acted admirably in accepting thesituation and taking countermeasures. Electricity has become
expensive, but people have put up with it. Measures to increaseenergy efficiency and reduce consumption have also helped. But,
the nuclear industry including Utilities running reactors have lost
sources of revenue. Utilities are awaiting the newly formed
Nuclear Regulatory Authority to clear restart of reactors after
safety checks. The government is considering a downward
revision of the earlier plans for nuclear power. Firms
manufacturing components for nuclear plants will therefore, haveto look for opportunities outside the country. On its part, theGovernment appears to have recognised the need. Since theaccident in the Fukushima reactors in 2011, Japan has concluded
Nuclear Cooperation Agreements ( NCA) with several countries
including South Korea, Vietnam, Jordan and Turkey. The latter
three have expressed plans for nuclear power stations withoutside help. The nuclear industry expects new contracts.
For India, the programme began with assistance from the US andCanada in building four reactors. But shortly after, the door
closed on access to technology and materials, due to India'sdecision not to sign the Nuclear Non-Proliferation Treaty(NNPT) and to test a nuclear device. Since then, on its own India
has developed the capability to design, build, operate andmaintain nuclear reactors described as Pressurised Heavy Water
Reactors (PHWRs) that are based on natural uranium as fuel andheavy water as coolant. Sixteen of these reactors are now running,but they are of a modest 220 MWe capacity and contribute about
3% of electricity generated in the country. Four larger ones areunder construction and several more are planned.
Japan is able to import uranium from several countries. India's
uranium resources are presently not sufficient even to meet theneeds of the reactors operating now. With plans to build more ofthem, it had to look for outside sources of supply and received
help from the US in this context. India offered reactors forinspection by IAEA, in what is known as an India-specificSafeguards Agreement. The Nuclear Suppliers Group (NSG)
then exempted India from restrictions on civil nuclear trade
imposed on non-NPT countries and the US signed a Nuclear
Cooperation Agreement (NCA) with India. Following this, India
signed NCA with other countries including Australia and Canada,
which are uranium producers.
These developments were instrumental in the culmination of an
NCA between India and Japan signed in November 2016 after
many years of negotiations. It will take effect after it is voted onby the Diet in Japan. This Agreement is noteworthy in somerespects. India is the third non-signatory State of NNPT withwhich Japan has signed the NCA, the others being France andChina. But these two signed the NNPT long after the agreement.
The Indo-Japan NCA justifies the description as a full agreement,
as it covers the complete spectrum of non-weapons applications
and includes exchange of experiences in nuclear security mattersof mutual interest.
India is allowed by the Agreement to reprocess within its territory,
any by-product of material supplied by Japan under IAEA
safeguards. It means that India can reprocess spent fuel fromplants with Japanese inputs and recover residual uranium andplutonium as long as it is done within India. India's NCA withother countries has similar provision. Besides, the NCA withJapan allows India to enrich uranium transferred under thisagreement and specifies an upper limit of 20%. At the same time,
the two Governments have been having consultations on Nuclear
Non-proliferation and Disarmament. The fifth one was held in
August 2016.
Article 9 specifically asks for implementation of the Agreement
in a manner to facilitate nuclear trade between the two, withneither attempting to secure commercial advantage or to interfere
in the commercial relations of the other party. This recognises that
there are offers to India from different quarters to set up nuclear
plants and also that India may be a potential exporter of nuclear
reactors.
In 2000, Japanese Prime Minister Mr. Yoshiro Mori on a visit toIndia signed a 'Global Partnership' with India. Since then, therelations between the two countries have got closer leading to thesigning of a 'Global and Strategic Partnership', when Prime
Minister Manmohan Singh visited Tokyo in 2006. More recently
in 2014, Prime Minister Mr. Narendra Modi signed a 'Special
Strategic and Global Partnership' in Tokyo. It is no surprise
therefore, that the Agreement in the Preamble expresses the desire
to strengthen the Special Strategic and Global Partnership
between the two countries.
In what may be seen as an exception, the Agreement has been
given a forty-year life if all goes well, with automatic renewal fora ten-year period at a time. Clearly, both countries expect therelationship between them to be an enduring one. OtherAgreements recently signed by Japan specify a life of
10-25 years.

Considering the keenness of both parties in making the NCA areality, we may expect its entry into force to be smooth. There arebenefits for both. India has been planning to build a series of large
LWRs. India, like Japan, faces difficulties in finding public
support for suitable sites. It is therefore an advantage to generate
more power at a given site with LWRs of 1000 MWe as against thecurrent PHWR design of 700 MWe. While India is currently
developing an indigenous LWR design of 900 MWe, there areoffers from other countries to build them here. Barring the many
Russian LWRs being built in India, the others that are proposed
depend considerably on supply of major components fromJapanese manufacturers. The NCA with Japan removes any
possible hurdles for such supplies.
Japan has accumulated a large stock of plutonium, about 40 tons,
recovered from used nuclear fuel. With no domestic uranium
resource, Japan has plans for plutonium fuelled fast reactors in thelonger term. A test reactor was built and operated for over twodecades. A Prototype reactor for power generation was also
commissioned, but experienced two accidents. They involved norelease of radioactive materials, yet led to public concerns. Indeference, the reactor was scrapped without raising power,
though the local Government was not for it. Work continues ondevelopment of an advanced design that is compact and can burnplutonium. The Strategic Energy Plan published in 2014 includes
R&D on fast reactors in association with France and the US,
which are likewise engaged.
From the very beginning, India's plan was for fast reactors in thesecond and third stages following the PHWRs. India has madesignificant advances working all by itself. After trouble-free
operations of the Fast Breeder Test Reactor, a Prototype Fast
Breeder Reactor of 500 MWe is to be commissioned this year atKalpakkam. Two more have been sanctioned. India's plutonium
stock is very small in comparison, and production is quickly
converted as fuel for reactor.
Both India and Japan consider fast reactors to be important. They
are good for energy security and for eliminating long-lived
radioactive species in spent fuel. Japan's plutonium is not ofweapon grade, nevertheless storing it is a security burden. Japanplans to use it up as fuel in fast reactors. India, sees plutonium
fuelled fast reactors as a path to thorium utilisation.
For some years in the near future, India and Russia will remain the
only operators of power generating fast reactors that could also beused for testing new fuel and equipment. China is seeking the helpof Russia to draw even. There is great potential for India andJapan to cooperate in establishing a safe and reliable fast reactor
programme in addition to the building of Light Water Reactors.
India also needs to watch and learn from the efforts of Japan in
winning public acceptance for restart of the shutdown reactors.
Nuclear reactors are a source of uninterrupted supply ofelectricity over most of the year, with low fuel cost. A single
nuclear reactor of 1,000 MW capacity can generate in a year 3.5
times as much electricity as a solar park of the same capacity.
Nuclear reactors have a much longer life than solar plants andoffer a sound return on capital invested, after an initial waiting
period. Eternal vigilance is the price for their safe operation.

Large scale dependence on solar plants warrants a detailed studyof the environmental impact of the chemicals used in panel
production and storage batteries.
Neither India nor Japan can afford to disregard any practicalsource of energy including oil, gas and coal. They wisely pursue
active programmes to increase the share of renewable sources ofenergy. They have had eight Ministerial Dialogues so far on coaland renewable sources of energy. Nuclear power too is inevitablefrom considerations of energy self-sufficiency and carbon
emission reduction. The NCA is a great step forward in thiscontext.