'The Agreement And Its Implications'

Senate Committee on Foreign Relations:  Opening Statement for Hearing onU.S.-India Civilian Nuclear AgreementApril 5, 2006 byChairman Richard G. Lugar 

The Foreign Relations Committee meets today to examine the U.S.-IndiaCivilian Nuclear Agreement.The India nuclear deal is one of the most ambitious foreign policyinitiatives to come before Congress in manyyears. In view of the importance of the Committee’s work on this agreement,we are especially pleased towelcome Secretary of State Condoleezza Rice. We look forward to this publicopportunity to explore in depththe agreement and its implications.

Last Wednesday, the Committee met in closed session with Under Secretary NickBurns and Under Secretary Bob Joseph to hear the Bush Administration’s views with regard tothe India nuclear deal. Thebriefing was well attended, and members listened carefully to thepresentation. The briefing encompassed abroad range of topics, but I believe that we have only scratched the surfaceof this intricate agreement and thenational security questions it has raised.

Indeed, some months ago, I submitted to the State Department 82 questionsrelated to the agreement as an initial step toward establishing a dialogue that would help Congress makean informed decision. The StateDepartment has provided answers to those 82 questions. A copy of this lengthyexchange has been provided toall members of the Committee, and it can be accessed on my office website.I expect, however, that this hearing will generate many additional questionsfrom members. Given thecomplexity and importance of the issue, the Administration must continue tobe responsive to this Committeeand to the entire Congress.

The Committee is cognizant of how valuable a closer relationship with Indiacould be for the United States. I believe that we will find little argument in Congress with thegeneral premise that the national securityand economic future of the United States would be enhanced by a strong andenduring partnership with India.Our nations share common democratic values and the potential of our economicengagement is limitless. Theprogress made by India in the last decade is one of the world’s majorsuccess stories. With a well-educatedmiddle class that is larger than the entire U.S. population, India can be ananchor of stability in Asia and anengine of global economic growth.Despite this success, the Indian government recognizes that much of itsgrowing population still lives inpoverty. To overcome these conditions, it will need more trade, morescientific and technical cooperation, andmost of all, more energy.

India’s energy needs are expected to double by 2025. The United States has aninterest in expanding energy cooperation with India to develop new technologies, cushion supplydisruptions, cut green house gasemissions, and prepare for declining global fossil fuel reserves. The UnitedStates’ own energy problems willbe exacerbated if we do not forge energy partnerships with India, China, andother nations experiencing rapideconomic growth. That is why I have introduced S. 2435, the Energy Diplomacyand Security Act, whichwould encourage international energy dialogues and advance a broad range ofenergy diplomacy goals.But in pursuing a nuclear relationship with India, we must deal with somefundamental facts. Indiahas not signed the Nuclear Non-proliferation Treaty; it has built and testednuclear weapons; and it has declaredits intention to continue its nuclear weapons programs and the production offissile material. Although the U.S.-India Civilian Nuclear Agreement would move India into a closer relationshipwith the International AtomicEnergy Agency and would put more Indian reactors under safeguards, it wouldnot prevent India fromexpanding its nuclear arsenal. If Congress approves this agreement, we willbe establishing a new course afterdecades of declining any cooperation with India’s nuclear program.

It was apparent from our earlier briefing that the Bush Administrationconsidered the implications of this agreement on our international non-proliferation posture. After weighing manyfactors, the President and histeam came down on the side of concluding this agreement with the Indiangovernment. They judged that thedeal could be implemented without undercutting our non-proliferation advocacyand that its benefits includedstronger Indian cooperation with international non-proliferation efforts.Now Congress must undertake its own exhaustive deliberations on this matter,and we must reach ourown conclusions. No one should suggest that the answers to our questions areeither easy or obvious. What isrequired is a thorough, bipartisan review of this agreement in the context ofnon-proliferation goals, globalenergy requirements, environmental concerns, and our geo-strategicrelationship with India.We thank Secretary Rice for joining us today and for the opportunity toengage her on this importantagreement.