6 R&D cooperation between China and
Euratom on the peaceful uses of nuclear energy
| (26169)
15249/04
COM(04) 755
| Commission Communication on the conclusion of an agreement for R&D cooperation in the peaceful uses of nuclear energy between the European Atomic Energy Community (Euratom) and the government of the People's Republic of China
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| Legal base | Article 101 Euratom Treaty; —; QMV
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| Document originated | 16 November 2004
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| Deposited in Parliament | 30 November 2004
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| Department | Trade and Industry
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| Basis of consideration | EM of 20 December 2004
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| Previous Committee Report | None
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| To be discussed in Council | No date set
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| Committee's assessment | Politically important
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| Committee's decision | Not cleared; further information requested
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Background
6.1 Article 101 of the Treaty establishing the European Atomic
Energy Community (the Euratom Treaty) authorises the Community
to make agreements with third countries. Agreements are negotiated
by the Commission in accordance with directives given by the Council.
They are concluded by the Commission with the approval of the
Council, acting by qualified majority.
6.2 The United Kingdom already has a bilateral agreement
with China on collaboration in nuclear energy.
The document
6.3 In 2003 the Council issued directives to the
Commission for the negotiation of an agreement with China on cooperation
in nuclear energy. At China's insistence, the agreement is confined
exclusively to scientific and technical cooperation (R&D).
The Commission has now negotiated the agreement. It was signed
on 8 December 2004 at the EU-China Summit but will require the
approval of the Council before it can come into effect.
6.4 Article 1 specifies that the main objective of
the agreement is to foster reciprocal cooperation between China
and the Community in R&D related to the peaceful, non-explosive
uses of nuclear energy. Article 4 lists areas for cooperation,
including radiological monitoring, nuclear safety, nuclear metrology,
nuclear medicine, decommissioning of nuclear installations, management
of nuclear waste and controlled nuclear fusion. Articles 5(e)
and 6 to 9 make specific provision about the transfer of nuclear
materials between China and the Community. Article 11 and Annex
A contain requirements about the re-transfer of such material
to a third country. Article 18 provides that the agreement is
without prejudice to bilateral agreements between individual Member
States and China. Article 19 provides that the agreement is to
remain in force for 30 years, renewable for periods of five years.
The Government's view
6.5 The Minister for Energy and E-Commerce at the
Department of Trade and Industry (Mr Mike O'Brien) tells us that
the Government has no reason, in principle, to object to the proposal
for a nuclear R&D cooperation agreement between the Community
and China. But he adds that:
"the Government is concerned about the
adequacy of the proposed controls covering EU-origin nuclear materials
(eg samples for experimentation) that might be re-transferred
by China to any Non-Nuclear Weapon State (NNWS). All [EU] Member
States (and China) have made political commitments to abide by
the Nuclear Suppliers Group guidelines that deal with export controls
on nuclear transfers for peaceful purposes. We believe that it
would be contrary to our political commitments to support conclusion
of a Euratom-China Agreement that allowed re-transfers (to NNWSs)
to take place under the more flexible conditions set out in the
proposed text (para 4 of Annex A, by reference to Article 9).
Indeed, if it could be argued that, notwithstanding the provisions
of Article 18 (bilateral agreements), transfers and re-transfers
of UK-origin [nuclear] materials would have to take place under
the Euratom-China Agreement not our own, our concern on this point
would be all the greater.
"In the light of the above, the Government
will be seeking clarification as to how widely Article 18 is to
be interpreted and has made it clear to the Commission that the
offending provisions of Annex A/Article 9 will need to be re-drafted
before we could endorse the proposal for [the] conclusion of this
proposed Agreement. It is, of course, possible that China will
refuse to accept such a modification and/or that not enough Member
States will join together to force the Commission to press this
on the Chinese. In such an event, a political decision will be
taken whether we should register the extent of our concern on
this key point of principle by abstaining in any Community vote."
Conclusion
6.6 In view of the existing bilateral cooperation
agreement between the United Kingdom and China, we understand
why the Government does not object, in principle, to this proposal
for an agreement between China and the Community on cooperation
in nuclear energy R&D. We share the Government's concern,
however, to ensure that the provisions of the proposed agreement
about the re-transfer of nuclear materials are fully consistent
with the guidelines of the Nuclear Suppliers' Group. We should
be grateful, therefore, if the Minister would tell us the outcome
of the Government's efforts to secure the redrafting of Annex
A and its associated provisions and if he would also tell us the
response to the Government's request for clarification of the
effect of Article 18. Pending his replies on these points, we
shall keep the document under scrutiny.
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