Facing flak from Opposition for attempting to dilute the provisos under the Nuclear Liability Bill, the central government toned it up with some amendments, after which the cabinet cleared it. Today, the bill will be tabled in Parliament for its approval .

The Cabinet committee meeting chaired by Prime Minister Manmohan Singh approved all the recommendations of the Parliamentary Standing committee that studied the Bill, except for one point to add the word ‘and’ between Clause 17(A) and 17(B). These clauses relate to right to recourse for compensation of the power plant operator from equipment supplier in case of a mishap.

Clause 17 reads as ‘The operator of a nuclear installation shall have the right of recourse where (A) such right is expressly provided for in a contract in writing (B) the nuclear incident has resulted as a consequence of latent or patent defect, supply of sub-standard material, defective equipment or services or from the gross negligence on the part of the supplier of the material, equipment or services.

The standing committee had recommended that the word ‘and’ be inserted between the clauses. However, the Opposition parties had objected to this saying that this would dilute the operator’s demand for compensation from the supplier. The government ended the stalemate by preceding the clause with a sentence saying that the operator could pursue the right to recourse against the supplier, after compensating the victims.

The Bill with a few minor modifications may pass muster in the Parliament with the main Opposition party, Bhartiya Janata Party agreeing to support the bill. There are still objections regarding the cap of Rs 1,500 crore for compensation. Meanwhile, the nuclear industry wants both the clauses deleted, as supplier liability beyond the internationally accepted 12-24 months is unviable.

The Bill is vital for processing civil nuclear agreements for India with various nations, most importantly the US. These countries are waiting eagerly for the passage of the Bill in the Parliament.

The United States administration is attempting devious tactics to convince India that its demand for Rs 1,500 crore compensation for the 1984 Bhopal gas tragedy victims from Dow Chemicals will stand in the way of US-India trade and investment relationship. This gains importance as US President Obama is due to visit India in November.

Times Now, in an exclusive on Wednesday has reported that US Deputy NSA Michael Froman wrote to Deputy Chairman of Planning Commission Montek Singh Ahluwalia in an email that the ‘noise’ created by India’s compensation demand could have a ‘chilling effect’ on bilateral relationship. This email reply was in response to Mr. Ahluwalia’s request for US help in garnering more World Bank loans. India is fast approaching the single borrower limit, beyond which it is difficult to land funds.

Mr. Froman’s email reply dated July 30 reads as follows: “We are aware of this issue and we will look into it. While I’ve got you, we are hearing a lot of noise about the Dow Chemicals issue. I trust that you are monitoring it carefully. I am not familiar with all the details, but I think we want to avoid developments which put a chilling effect on our investment relationship.”

The Group of Ministers on Bhopal tragedy is also insisting that Dow Chemicals must be made to pay for cleaning up the site of Union Carbide gas plant in Bhopal.

Dow Chemicals, which took over Union Carbide Corporation (UCC) in 2001, is claiming that it has no liability in the issue, as the tragedy took place prior to its acquisition. The company also asserts that the Indian arm of UCC was already disposed off, when they took over the US-based parent company.

In reply to the Opposition’s allegation that Indian government is allowing the US to arm-twist it, government sources said that the exchange of emails is proof that the US is trying pressure tactics, while the government has not yielded to it.

An investigative study on the use of asbestos and related ailments by the International Consortium of Investigative Journalists and the BBC has revealed that despite bans and restrictions for the mineral in 52 world countries, it is promoted actively in developing countries. Out of the two million metric tonnes of asbestos mined worldwide in 2009, Russia and Canada are the main producers, whereas, China, India and Mexico are the main consumers.

In India and other developing countries, the demand for asbestos is aided by its role in the production of cheap building materials. Here, asbestos is mostly mixed with cement in the manufacture of corrugated roofing, water pipes and building construction. As the alternatives for asbestos products are expensive, asbestos import and sales continue to thrive despite health hazard warnings.

According to WHO statistics, 125 million people still encounter asbestos in the workplace and the UN agency ILO estimates that 100,000 workers die annually from asbestos-related diseases. These figures do not include the thousands who die outside their workplaces.

Asbestos is a fibrous mineral of the amphibole group used for making fireproof articles and building materials. However, various studies over years have proved beyond doubt that inhaling fibers can cause asbestosis, lung cancer and carcinoma of the mesothelium lining lungs, abdomen or heart called mesothelioma. This led to the outright ban of asbestos in European Union and controlled and limited use in countries like the US.

Canada, who heads the pro-asbestos lobby, is using the mineral very little locally, while exporting the bulk of its production to developing countries; more than half of Canada’s asbestos export is to India. Canadian officials defend this trend saying that controlled use of asbestos is safe. Even if this is true, ensuring controlled use is practically impossible in developing nations, as the workplace safety and environmental laws are far from stringent.

In addition to all this is the health hazard posed by the ship breaking industry in and around the ports of Gujarat, particularly Alang. Almost 55,000 ship breakers work in Alang shipyard, the latest hotspot for mesothelioma in India. As ship breaking is a lucrative business, authorities too turn blind eye to the risk posed by the deadly fiber.

Are we waiting for another Bhopal to wake up from our mercenary-induced slumber?

The 12-hour Bharat Bandh called by opposition parties on Monday was near-total in all states except a few. The estimated loss to economy is upwards of Rs 10,000 crore. This includes loss in production, industrial output and business. In addition to this, damage to public property as seen in some parts of the country like Mumbai has to be added to arrive at the final figure.

Scores of long-distance trains and flights were cancelled across Indian cities causing huge monetary loss and great inconvenience to hapless passengers. The Bandh effect was evident in the low volumes of trading seen in the country’s stock exchanges. While trading volume came down by 52% in BSE, NSE clocked 35% less trading.

The Industry bigwigs lamented the state of affairs.  Rahul Bajaj, industrialist and former parliamentarian acknowledged the bandh call as legitimate, even while condemning the effect it has on common man and economy. He said, “It is completely legal for the Opposition to voice its protest against price rise. But, there is more than one way to protest. Any protest which inconveniences the common man should not be resorted to.” The view finds support with Adi Godrej, Chairman, Godrej group. He said, “Political parties interfering and disturbing day-to-day work is not at all appropriate. The protest is quite odd and absurd.”

While government accepts that the recent deregulation of fuel prices resulting in marginal rise of their prices would worsen the inflation situation in the country, it is termed as an inevitable step in doing away with subsidies. Finance Minister Pranab Mukherjee points out that this will benefit the economy in the long run by helping in scaling down fiscal deficit.

Despite all the assurances, politics took precedence resulting in colossal damage to the economy.