GS Mains Model Question & Answer: Discuss the features of Atomic Energy (Amendment) Bill 2015

Q. Discuss the features of Atomic Energy (Amendment) Bill 2015. (12.5 Marks)

(General Studies Mains Paper III –Science and Technology : indigenization of technology and developing new technology)

Model Answer :

The Atomic Energy Amendment Bill 2015, seeks to amend the 1962 Atomic Energy Act to change the definition of "government company" in the Act with a view to expand its scope by including such joint venture companies as may be formed between NPCIL and other PSUs, according to the statement of object and reasons.

The Bill will enable Nuclear Power Corporation of India (NPCIL) to enter into joint ventures with other public sector undertakings to fast track nuclear power projects in the country.The amendment was introduced to streamline the expansion of nuclear power, utility and establishment for peaceful purpose.

The move will help generate funds for major projects amid frequent concerns over lack of financial resources being raised by the DAE. The amendment will enable NPCIL, which is one of the PSUs of DAE, to enter into joint ventures with other government undertakings.

The Atomic Energy (Amendment) Bill, 2015, as the government wanted to expedite nuclear reactor projects in order to meet the requirements of electricity and energy in India. The reports also said that the restrictions were being faced in terms of financial implications.

According to the object and reasons of the bill, it seeks to amend to change the definition of "government company" in the 1962 Atomic Energy Act to expand its scope by including such joint venture companies as may be formed between NPCIL and other public sector undertakings.

The features of Atomic Energy (Amendment) Bill 2015 :

The Bill proposes to amend the Atomic Energy Act, 1962. The Act empowers the central government to produce, develop, control and use atomic energy.
Under the Act, a government company is one in which at least 51% of the paid-up share capital is held by the central government. Paid-up share capital is the capital received by a company from the issue of shares.
The Bill expands this definition to include companies where the whole of the paid up share capital is held by one or more government company and whose articles of association empower the central government to constitute its Board of Directors. This provision will allow for the formation of joint ventures between Nuclear Power Corporation of India Limited and other government companies.
Under the Act, a license is required for acquisition, production, use, export and import of any plant designed for the production and development of atomic energy or research.
The Bill makes consequential amendments to state that such license will only be granted to entities such as a government company or a department of central government.
The Bill states that any license granted for matters such as: (i) producing atomic energy, and (ii) acquiring and using substances or minerals from which atomic energy can be obtained, will be cancelled if a licensee ceases to be a government company.