Wednesday, March 27, 2024

 INDIA

From Hugs to Rights: Chipko Movement’s Legacy in Forest Conservation


The Leaflet 



On this day more than 50 years ago, the Chipko Movement kindled a new imagination in environmental activism in India. It continues to be as relevant to the cause in the country as it was then.

chipko

Image Credit: The Leaflet

On March 26, 1974, Gaura Devi with 27 other women from Reni village in the Chamoli district of Uttar Pradesh (now Uttarakhand), took a stand that would mark a significant chapter in India’s environmental history.

They began the Chipko Movement by hugging trees to protect them from being cut down. This act of resistance quickly caught the attention of nearby villages, inspiring more people to join the cause. It became a watershed movement in India’s journey towards environmental awareness.

The Chipko— literally meaning ‘to stick to’ or ‘embrace’— Movement is a symbol of non-violent environmental activism that resonates deeply in India’s social and ecological culture.

What started as a grassroots effort to safeguard their own livelihood transformed into a powerful movement advocating for the preservation of forests. Fifty-one years later, its impact is still felt, providing valuable lessons for environmental movements in India and around the world.

Commemorating the Chipko Movement Day, this article reflects on its lasting relevance, especially in the context of forest governance in India. Delving into prevalent issues and challenges, it argues that the Chipko Movement’s spirit is still crucial in addressing today’s environmental struggles in the country.

Reconciling community forest rights

The Chipko Movement laid the groundwork for future environmental campaigns in India and influenced significant policy changes, including the 1980 Forest (Conservation) Act, which aimed to limit deforestation and conserve biodiversity.

However, while the Chipko Movement might seem like a conservation effort, a closer examination reveals its underlying aim, i.e., advocacy for community-based management.

The movement underscored the importance of local knowledge and community management in environmental conservation, principles that continue to resonate in contemporary environmentalism.

As Ramachandra Guha has pointed out, the Chipko movement was “first and foremost, a peasant movement in defence of community rights”. Chandi Prasad Bhatt— who was one of the pioneers of the movement, has shared in his memoir that the struggle was about self-reliance and self-respect of forest communities.

Therefore, beyond conservation, the movement symbolised a broader struggle against dispossession and dislocation, encapsulating the pursuit of self-determination for tribal and forest communities.

Despite legislative changes following the movement, forest dwellers continue to struggle with the deprivation of property rights and bear the inevitable cost of ‘development’.

Even with legal reforms post-movement, challenges continue to persist. Forest dwellers frequently lose their property rights to facilitate development projects, revealing a sluggish recognition of their rights under the historic Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006 (Forest Rights Act).

The due process in recognising and assigning rights to such communities is often overlooked. Tribal communities and forest dwellers have had to endure recurrent ordeals to assert their rights.

This is evident in the 2019 Supreme Court Order that directed the eviction of almost two million forest dwellers across 17 states from reserved forests. This Order was later stayed by the court. However, the Supreme Court’s intervention, prompted by widespread rejection of applications, underscores systemic disregard for legal mandates.

This ongoing struggle highlights the enduring relevance of the Chipko Movement, emphasising the imperative to protect and uphold forest dwellers’ rights amidst contemporary socio-political challenges.

Inclusive forest governance

The Chipko Movement, marked by significant female participation and leadership, highlighted the crucial role of women in grassroots environmentalism. Today, its impact still resonates, promoting the question of whether approaches to environmental activism that are informed by gender are more prevalent than 50 years ago.

While women continue to play a crucial role in environmental activism, their inclusion goes beyond mere token representation; it involves navigating complex social norms. Progress depends on sustained efforts to educate, recognise rights and promote women’s autonomy in conservation dialogues.

The movement shed light on how capitalism and forest exploitation disproportionately affect women, a reality exacerbated by the sluggish implementation of the Forest Rights Act.

Without these rights, women face not only economic losses but also diminished well-being. If case studies of women’s participation in forest governance are indicative, upholding women’s rights is essential not only for equity but also for effective environmental stewardship.

Furthermore, the Chipko Movement epitomised the importance of decentralised decision-making through community-based frameworks. A notable example is the Joint Forestry Management Programme.

Initiated in the late 1980s, this policy aimed to establish a collaborative partnership between the government or forest department and local communities for mutually beneficial forest management practices.

However, despite its widespread recognition and potential advantages, the Joint Forestry Management Programme in India faces numerous challenges, including governance and policy hurdles, as well as socio-economic issues within local communities.

Additionally, the representation of tribal groups and forest communities is being diluted through legislative amendments. Participatory rights guaranteed under the Forest Conservation Act are being overpowered by other parallel legislations.

For example, the Amended Forest (Conservation) Rules of 2022 have omitted a clause from the erstwhile 2014 and 2017 Rules that explicitly required any proposal to mandatorily have the consent of local tribespeople and other traditional forest dweller of the area before proceeding with Stage 1 clearance of forests.

Re-envisioning development

The Chipko Movement also called for a reassessment of the notion of ‘development’ beyond mere economic gains, emphasising its ecological implications.

Primarily focused on forest conservation, the movement symbolised how forests cannot be governed through a narrow economic approach. This idea continues to resonate even today.

For example, the current widespread encouragement of monocultures contradicts its principles. However, contemporary compensatory afforestation initiatives and the recently introduced Green Credit Rules challenge its ideals.

Compensatory afforestation, intended to mitigate deforestation’s impact, has shown questionable efficacy. This raises concerns about whether current laws misinterpret the value of the forests, viewing them solely as a means to economic progress.

It prompts reflection on whether modern approaches truly uphold their environmental ethos or perpetuate a false narrative of development.

The Chipko Movement’s legacy continues to inspire and guide environmental movements globally. Its focus on community-based management, gender inclusivity and redefined notions of development remain as pertinent today as they were during its inception.

As we navigate complex socio-ecological challenges, the principles and lessons of the Chipko Movement serve as a guiding light, reminding us of the enduring importance of grassroots activism and the imperative of placing people and the planet at the forefront of environmental governance.

(Written by Nishant Sirohi and Lianne D’Souza)

Nishant Sirohi is a researcher specialising in the intersection of human rights and development, with a focus on health, climate change, and the right to development. Currently, he holds positions as a Law & Society Fellow at Transitions Research, Goa and a Health & Human Rights Fellow at Geneva Health Files.

Lianne D’Souza is an environmental lawyer and researcher specialising in climate change law, energy transition, and international trade law. Currently, she is a Research Assistant with the Low Carbon Society Programme at Transitions Research Goa.

 INDIA

Bihar: Ruling BJP Candidate List Shows Party Continues to Rely on Upper Castes


Mohd. Imran Khan 


In the party's list of 17 candidates for Lok Sabha 10 belong to upper castes, which is nearly 60% of its total candidates.

BJP

File Photo: PTI

Patna: For Bihar's ruling Bharatiya Janata party (BJP), the upper castes matter more than others. This is clear as the saffron party has played a calculated caste card in selecting candidates for the 2024 Lok Sabha polls.

In the party's official list of 17 candidates, 10 belong to the upper castes, which is nearly 60% of its total candidates.

BJP has been contesting 17 of 40 Lok Sabha seats in the state and its allies, Chief Minister Nitish Kumar's Janata Dal-United is contesting 16 seats, Chirag Paswan-led Lok Janshakti Party (Ram Vilas) five seats and one seat each by HAM of former Chief Minister Jitan Ram Manjhi and RLM of former Union Minister Upendra Kushwaha.

While BJP might be displaying its love for OBCs (other backward classes) and projecting Prime Minister Narendra Modi as an OBC leader, the fact is that the party leadership is still banking on the upper caste arithmetic in the state.

A senior BJP leader, belonging to the Bhumihar community, powerful landed upper castes, told NewsClick on the condition of anonymity that this reflects the party's confidence in supporting its traditional base of upper castes, which remains intact in Bihar.

"The party has given more importance to upper castes in its list of candidates. Our party understands that it enjoy overwhelming support of upper castes. The party is dominated by upper caste leaders, whose faces played major role in winning polls", he added.

The BJP leader further claimed that his party had successfully sent a political message by giving majority tickets to upper caste candidates. "BJP has made it loud and clear that it has more faith in upper castes than others", he said.

According to BJP's list of candidates, five  belong to the Rajput caste, followed by two for the Bhumihar caste, wo Brahmins and one candidate from the Kayastha community.

The party has renominated most of its upper caste MPs except Ashwani Kumar Choubey, who is a Union Minister. Choubey is an incumbent MP from Buxar Lok Sabha seat and has been replaced by Mithilesh Tiwari, a young party MLA.

What has surprised poll-watchers is that BJP has not changed its old faces, contrary to reports that new faces will replace them. The party has renominated Union ministers R K Singh from Ara, Griraj Singh from Begusarai and former Union ministers Rajeev Pratap Rudy from Saran, Ravi Shankar Prasad from Patna Sahib and Radha Mohan Singh from East Champaran.

In the caste-ridden politics of the state, since the early 1990s, the BJP has been substantially relying on the upper caste vote bank and has emerged as a significant party in Bihar that claims to safeguard their interests.

Political watchers say it is well-established that upper castes have been overwhelmingly backing BJP in post-Mandal politics in the state.

Ironically, the population of upper castes has come down in the state after the 2011 census. As per last year Bihar Caste survey report, the population of upper castes, locally known as savarnas, has come down 15.52%, including 2.86% Bhumihar, 3.66% Brahmin,3.45% Rajput and 0.60% Kayasth. The remaining 4.8% are upper castes among Muslims, including Syed, Sheikh, Pathan.

According to the Bihar caste survey, there are 215 castes in Bihar and total population of Bihar is 13.7 crore, that includes 36% Extreme Backward Classes (EBCs,) 27% Other Backward Classes (OBCs),( OBCs and EBCs together account for 63%), 19% SCs (Dalits) and 1.68% STs (Adivasis).

BJP has given ticket to four OBCs, including three belonging to the Yadav caste and one from the Vaishyas. Besides tickets have also been given to two members of the EBCs and only one seat to a Dalit.

Expectedly, the party has not given any ticket to Muslims that has disappointed Syed Shahnawaz Hussain, former Union Minister, and well known Muslim face of BJP.

As per the report,s Chief Minister Kumar’s caste, Kurmi’s, population is 2.87% and his main ally RJD chief Lalu ’s caste, Yadav, is 14.26%, one of the highest among all the castes.

BJP state president Samrat Kushwaha’s caste Koeri or Kushwaha (OBC) population is 4.21%.

The caste survey report revealed that the total Hindu population is 81.9%, followed by 17.7% Muslims, 0.05% Christians,0.01% Sikh,0.08% Buddhists,0.0096% Jains and the remaining from other religions.

"This is nothing new. The BJP has been trying to make a dent in the social support base of the ruling Mahagathbandhan led by Lalu Prasad, Congress, and Left parties. This was made in public when a BJP leader pointed out that the party was worried about consolidating backward castes given an aggressive Lalu Prasad.The BJP had failed in its attempt to make a dent in Lalu's caste votes despite trying time and again. The saffron party promoted Nityanand Rai, who belongs to the Yadav caste, to state-level politics, projected him as a CM candidate and appointed him as Union minister, but that hardly made any difference", said a political watcher.

Lalu Prasad is still considered an undisputed Yadav leader, who has got overwhelming support from the community in consecutive elections.

BJP's major ally, JD-U, has given three of 16 tickets to upper caste candidates. It has mainly given tickets to OBCs and EBCs.

BJP's other ally LJP (Ram Vilas) is likely to give one of its five tickets to an upper caste candidate. The party is yet to officially announce its candidate list.

Tyre Cartel-BJP ‘Collusion’ Ruining Rubber Farmers, Plantation Workers, MSMEs, Alleges AIKS


Sabrang India 

The CPI-M affiliated All India Kisan Sabha (AIKS) has urged Prime Minister Modi to stop shedding crocodile tears for rubber farmers when his party has received money from leading tyre monopolies to buy government silence on “illegal caretelisation”
The CPI-M affiliated All India Kisan Sabha (AIKS) has urged Prime Minister Modi to stop shedding crocodile tears for rubber farmers when his party has received money from leading tyre monopolies to buy government silence on “illegal caretelisation”

The electoral bond scam has re-emphasised the deep rooted and unholy nexus between crony capitalists and ruling class parties, alleges the AIKS. Since the revelation of the payments made into the coffers of the Bharatiya Janata Party (BJP), several dimensions of the pay-offs and quid pro quos have emerged.

One such is a revelation laid out in the press statement issued by the AIKS. It has also come to light that the leading tyre monopolies have directly paid the ruling Bharatiya Janata Party (BJP), amounts of Rs 6 crores and 15 lakhs in what appears to be to obtain government silence on “illegal cartelisation.

According to the data released by the Election Commission, BJP, the ruling party has received 6 crore rupees from CEAT and 15 lakh rupees from MRF, both monopoly manufactures. According to the AIKS, these three tyre monopolies—which were fined by Competition Commission of India (CCI) for cartelisation— have made these donations during 2019 Lok Sabha elections. The AIKS alleges that this is a quid-pro-quo arrangement to facilitate profiteering by the tyre cartel at the expense of millions of rubber farmers. “The BJP Government led by the Prime Minister Narendra Modi is culpable of being a wilful colluder to policies at their behest and detrimental to farmers”, states the press release. President of AIKS, Ashok Dhawale and Secretary, Vijoo Krishnan are signatories to the press release.

The other two major players of the tyre cartel—JK Tyre and Birla Tyre—are conspicuously absent in the list. However, sister concerns of JK and Birla Conglomerate have donated handsome amounts to both BJP and Congress. Notably, the amount donated by the MRF, the mainstay of the tyre cartel, is comparatively smaller when compared to CEAT and Apollo. An in-depth scrutiny of the data is needed to ascertain whether MRF deployed the “Reliance method” of using shell companies and trusted individuals for transactions.

Besides, says the AIKS, it is clear that monopolies leading the notorious tyre cartel made these donations to the ruling party to “gag them from acting against the cartel” which is devastating the livelihood of millions of rubber farmers, plantation workers, small and medium traders, and MSMEs. The CCI judgment had disturbing insights to the market manipulation practiced by the tyre cartel. Parties that represent dominant economic and power interests have been strong votaries of the India ASEAN Free Trade Agreement which is ruining rubber farmers. Unfair trade policies are leading to import of rubber from highly subsidised ASEAN countries resulting in price crash and acute distress for rubber farmers. Cryptically states the press note, “The Prime Minister Narendra Modi who sheds crocodile tears on the plight of rubber farmers and the BJP Government actively supported the manipulations by the tyre cartel. The complicity of BJP in the whole affair needs to be exposed and their accountability has to be ensured.”

Kerala Karshaka Sangham, affiliated to the AIKS in Kerala had recently organised a siege of MRF and Apollo factories against the tyre cartel. The Kerala Karshaka Sangham-led Samyukta Karshaka Samithi, a joint forum of 11 farmers’ organisations is leading the anti-cartel struggle. One of the major demands of the struggle is to ensure that the Rs. 1788 crores fine imposed by CCI on the five tyre monopolies should be used to benefit the rubber farmers. AIKS warns the tyre cartel and the subservient ruling class parties that a powerful movement of the farmers will expose the corporate-communal nexus in the rubber sector. AIKS also salutes the LDF government in Kerala for constituting an Expert Committee to inquire about cartelisation and price formation. AIKS will exhaust all options to expose the tyre cartel and their unholy nexus.

Courtesy: sabrang India



 NUCLEAR POWER 

Chamber calls for Western Australia to overturn uranium ban

26 March 2024


Restarting uranium mining in Western Australia could create up to 9000 jobs and produce uranium worth more than AUD1 billion a year, a 12-month inquiry by the state's Chamber of Commerce and Industry has found. It recommends that the state overturn its ban on uranium mining to unlock significant economic benefits.

Yeelirrie: one of four uranium projects excluded from the ban (Image: Cameco Australia)

Western Australia is home to a "considerable share" of Australia's uranium but cannot capitalise on this, due to the state government's 2017 ban on uranium mining, the Chamber of Commerce and Industry of Western Australia (CCIWA) notes in its report. The ban conditionally excludes four uranium projects that had already received ministerial approval from the previous government: Wiluna, Kintyre, Mulga Rock and Yeelirrie.

South Australia and the Northern Territory currently allow uranium to be mined and exported, proving the industry is safe and sustainable, the CCIWA said. Last year South Australia produced around 5,469 tU: Western Australia has capacity to produce an estimated 8,000 tonnes per year, it added.

Other Australian states have been able to capitalise on increasing uranium demand and prices that have "skyrocketed" over the past year or so because of a global shift towards nuclear power in countries like China, France, India, Japan, South Korea, the United States and the UK, CCIWA Chief Economist Aaron Morey said. "WA has the technical skills and know-how to reignite the uranium mining industry as well as the export infrastructure to get it to market," he added.

He also said attitudes were changing thanks to advances in technology and an understanding of the role nuclear energy could play in reducing global emissions. "The ban on new uranium mines in WA was driven by environmental, health and safety concerns, but these concerns are not significantly different to those faced by any mining operation. WA is a mining state with a reputation for safety and world's best practice. We have a strong regulatory framework, existing infrastructure and all the skills needed to safely mine and export uranium," he added, noting that uranium exports are also bound by Australian legislation to ensure they are only used for energy production and not in the development of nuclear weapons. "If South Australia and the Northern Territory can do it, there's no reason why WA can't."

Citing last year's COP28 Summit, where 22 countries signed a ministerial declaration recognising the need to triple global nuclear energy by 2050, Morey said uranium demand will continue to be high, while "supply constraints look set to worsen". Allowing uranium mining in Western Australia would harness an opportunity to supply to countries already using nuclear power, he said, adding "If they don't buy uranium from WA, they'll simply buy it elsewhere".

Work to expand Dutch enrichment plant begins

26 March 2024


Uranium enrichment services provider Urenco has broken ground on an expansion of its plant in Almelo in the Netherlands. The move came as the company signed a new long-term supply contract with Korea Hydro & Nuclear Power.

The ceremony to launch the expansion work at Almelo (Image: Urenco)

Urenco announced plans in December last year to increase capacity at its Almelo plant by 15% in response to new commitments from customers. The project will see multiple new centrifuge cascades added to an existing plant at the site, adding about 750 tonnes of SWU per year. The first new cascades are scheduled to come online around 2027.

A ceremony was held on 25 March to mark the start of work on the capacity expansion at Almelo.

This is the third major investment to be approved under Urenco's capacity programme to strengthen the nuclear fuel supply chain worldwide. Earlier in 2023, Urenco approved its first expansion project at its plant in Eunice, New Mexico - the only operating commercial uranium enrichment facility in North America - providing an additional capacity of 700 tonnes of SWU per year. The first new cascades are due online in 2025. The plant currently has a production capacity of 4600 tSWU per year.

At its site in Gronau, Germany, the company is re-fitting an existing space with more modern centrifuge technology which will enhance the capacity of the plant.

"Urenco takes the needs of the market incredibly seriously," said Urenco Almelo Managing Director Ad Louter. "This project will help deliver 1.6 million SWU in total alongside other projects happening at our sites in Germany and the USA. Energy security and decarbonisation have never been so important as they are today, and we are in a time of great change for nuclear without which it will be impossible to meet ambitious climate targets."

Urenco said its capacity programme "is a mid to long-term plan to refurbish and extend" enrichment capacity at all four of its sites. "It comes as more countries and utility companies turn to nuclear for the first time, or seek to extend and/or diversify fuel supplies for existing nuclear operations," it added.

Korean contract


Urenco announced it has signed a new contract for the long-term supply of enrichment services with Korea Hydro & Nuclear Power (KHNP), operator of South Korea's nuclear power plants, which generate more than 34% of the country's total electricity.


The signing of the contract (Image: Urenco)

A contract signing ceremony took place in Brussels on 22 March, with KHNP's President and CEO Jooho Whang and Urenco's Chief Commercial Officer Laurent Odeh.

Urenco has been supplying enriched uranium to KHNP since 1993. It said the new contract "will further improve long-term fuel supply stability".

"KHNP aims to build a number of new nuclear power plants at home and abroad, and cooperation with reliable partners such as Urenco will be very important as demand for nuclear power increases internationally," Whang said.

"We are delighted to reaffirm our strong working relationship with KHNP and look forward to playing our part in helping to achieve its energy vision for Korea - as well as contributing to its climate change goals," Laurent said. "Urenco is committed to meeting increased demand for enrichment services with flexible, resilient and sustainable operations."

Serbian president's appeal as country targets four SMRs

26 March 2024


Serbia is seeking support from other countries on nuclear know-how and financing towards its goal of getting 1200 MW of capacity from small modular reactors, President Aleksandar Vučić told the Nuclear Energy Summit.

President Vučić, speaking at the event in Brussels (Image: Screengrab from IAEA live feed)

Vučić noted that since the break up of the former Yugoslavia, Serbia has not had any experience of nuclear energy, and he welcomed the summit as a chance "to discuss big plans, big things for the future but we don't know how to implement it".

Arriving for the summit he said: "Today it is important that we understand how far behind we are and how we made wrong decisions in the previous 35 and 40 years. The importance attached to this summit indicates to us how much electricity we will lack in the future. To simplify it - without nuclear energy we we will not be able to survive the arrival of artificial intelligence or electric cars."

And addressing fellow leaders and government representatives, he said: "We have three problems. Number one, is that we don't have know-how about the use of nuclear energy and we don't know exactly where to get it. Number two is how are we going to finance all these projects. And I can tell you in advance, that we are very much interested in getting at least four SMRs (small modular reactors) that can replace 1200 megawatts.

"We don't know how to do it, how to finance it, because it costs about EUR7.5 billion up to EUR 8 billion (USD8.7 billion). Anyway, we are ready to participate significantly but we need to have some sort of support from leading countries of the European Union.

"Number three, it means that we also need to get a change of mindset for our people, which is not easy, but we are ready to do it, which means we'll not only adjust, but will have to change, the overall legislative framework, and we'll do it."

The reference to the need for law changes being required is because the construction of nuclear power plants, nuclear fuel production plants and plants for used nuclear fuel processing for nuclear power plants has been forbidden since 1989, predating the breakup of the former Yugoslavia.

He added that he would "like to get a lot of help, particularly know-how for my country" and invited the summit co-host, International Atomic Energy Agency Director General Rafael Mariano Grossi, to visit Belgrade "as soon as possible".

Nuclear medicine


The Nuclear Energy Summit, held in Belgium on 21 March, has been followed this week by the Atomexpo event in Sochi, Russia, with Rosatom Health Technologies and Serbia's health ministry concluding a memorandum of understanding on cooperation in the field of nuclear medicine.


Agreements with Burkina Faso, Nicaragua and Kazakhstan at Atomexpo

26 March 2024


Russia's Rosatom has signed agreements relating to developing nuclear medicine centres in Nicaragua and Kazakhstan, and also a memorandum of understanding with Burkina Faso which includes potential nuclear energy projects.

Atomexpo was first held in 2009 (Image: Rosatom)

The agreements were signed at the Atomexpo 2024 international forum, which is currently taking place in Sochi.

Rosatom Director General Alexei Likhachev and Burkina Faso's Energy Minister Yacouba Zabre Guba signed a roadmap which "outlines concrete steps for both sides to build the West African country's peaceful nuclear workforce, develop nuclear infrastructure and create a positive public opinion regarding nuclear energy in Burkina Faso. Based on the results of the formation of an international legal framework for cooperation, the parties intend to work on the issue of implementing nuclear generation projects and non-energy applications of radiation technologies in agriculture and medicine in Burkina Faso".

The roadmap signed by Rosatom Health Technologies Director General Igor Obrubov and Nicaragua's Health Minister Oscar Vazquez, covered a joint project to build a nuclear medicine centre, specialising in the diagnosis and treatment of patients, in particular those with cancer, and also covers cooperation in health worker training.

Vazquez said: "Rosatom’s competence in creating specialised medical infrastructure facilities gives every reason to be confident in the effective implementation of our joint project ... (and) will allow us to reach a qualitatively new level in the diagnosis and treatment of socially significant diseases and expand access to modern nuclear medicine technologies for doctors and patients in Nicaragua."

Obrubov said Rosatom's activities "include the production of isotopes and the production of radiopharmaceuticals, the development and production of high-tech medical equipment, and the construction of medical infrastructure facilities. We are pleased to assist citizens of the Republic of Nicaragua".

Obrubov also signed a memorandum of understanding alongside Zhanar Ospanova, Health Minister of the Zhambyl region of Kazakhstan to implement joint projects relating to the development of nuclear medicine.

Ospanova said: "Given that Rosatom has significant experience and competencies in implementing projects in the field of nuclear medicine, I am confident that our joint work will make significant progress in the diagnosis and treatment of socially significant diseases, in particular oncology. This interaction has the most important goal - to expand access for doctors and patients to the most modern technologies to preserve and improve health."

This year's Atomexpo is the 13th staging of the business and exhibition event, which is supported by Russia's state nuclear corporation Rosatom.

Laser enrichment company declines HALEU opportunity, moves forward with testing

26 March 2024


Global Laser Enrichment has decided not to submit a proposal in response to a US Department of Energy request for the acquisition of high-assay low-enriched uranium enrichment, its 51%-owner Silex Systems has announced. The company has also received regulatory approval to load uranium hexafluoride for the start of testing to demonstrate the technology it plans to use in its enrichment facility at Paducah in Kentucky.

The Paducah site when it was the home of a gaseous diffusion enrichment plant (Image: US DOE)

In January, the Department of Energy (DOE) issued a Request for Proposals (RFP) for uranium enrichment services to help establish a reliable domestic supply of fuels using high-assay low-enriched uranium, or HALEU. Enriched to between 5% and 20% U-235, HALEU fuel is used by many of the advanced reactor designs that are currently under development, but is not currently commercially available from US-based suppliers.

Global Laser Enrichment LLC (GLE) is the exclusive global licensee of the SILEX laser-based uranium enrichment technology which was originally developed by Australian company Silex. It is 49%-owned by Canadian company Cameco, which is the commercial lead for the GLE project and holds an option to attain a majority interest of 75%.

GLE is working towards demonstration of the SILEX technology at its Test Loop pilot facility in Wilmington, North Carolina. It is also progressing activities to commercial-scale deployment at the Paducah Laser Enrichment Facility (PLEF), which is underpinned by a 2016 agreement for the sale to GLE of some 200,000 tonnes of depleted uranium hexafluoride from the DOE to provide feedstock for the production of natural UF6.

In addition to the production of natural grade UF6 (containing 0.7% uranium-235) from the processing of depleted uranium, the multipurpose plant has two further commercialisation options: the production of enriched uranium from natural UF6 to supply enriched uranium fuel for existing reactors; and the production of HALEU.

According to Silex, GLE's evaluation has determined that the RFP "does not warrant GLE changing from its first commercial priority" of producing natural UF6. This would seem to be in line with Cameco's latest Management’s discussion and analysis (MD&A) document, published in February, in which the company said "our view is that re-enriching US government inventories of depleted uranium tails into a commercial source of uranium and conversion is GLE's lowest-risk path to the market", adding that the agreement with the DOE to upgrade depleted uranium tails left over from historic enrichment operations "may help address the growing supply gap for Western nuclear fuel supplies and services" - PLEF's planned annual output of up to 5 million pounds of U3O8 (1923 tU) would place it in the top ten global uranium mines in terms of production volumes.

GLE is "currently awaiting details" on a potential USD100 million funding opportunity from DOE to support novel enrichment technology, which is expected to be published this year, Silex said. It also noted that the US Consolidated Appropriations Act 2024, which has now been signed into law, includes USD2.7 billion of funding - contingent on a US government ban on imports of nuclear fuel from Russia - which is expected to provide support for production of both low-enriched uranium and HALEU.

"We continue to encourage the DOE to move expeditiously to publish all available funding opportunities to create a competitive, diverse US fuel supply chain and to enable the cessation of reliance on Russian-sourced nuclear fuel," Silex said.

Technology readiness testing go-ahead


Separately, Silex has announced that the US Nuclear Regulatory Commission (NRC) has completed an inspection of GLE's Test Loop pilot demonstration facility and operational safety programmes in Wilmington, North Carolina, providing the approval for GLE to load UF6 feed material in preparation for the start of TRL-6 enrichment testing.

TRL-6 is the sixth of nine internationally recognised technology readiness levels used to assess the maturity of a technology. TRL-6 confirms large-scale system performance under relevant conditions (pilot-scale demonstration).

The NRC review and approval of the Test Loop facility and operations clears the way for the final preparations for TRL-6 enrichment testing, which is expected to begin in the second quarter of this year, Silex said. GLE anticipates completing the technology demonstration project this year. "Subject to the successful completion of the TRL-6 pilot demonstration project, industry and government support, a feasibility assessment for the Paducah Laser Enrichment Facility, suitable market conditions, and other factors, this preserves the option to commence commercial operations at the planned PLEF in Kentucky as early as 2028," the company added.

Researched and written by World Nuclear News

Canada government spending growing twice the pace of revenue

GOOD REASON FOR A WEALTH TAX

Canadian government spending is growing faster than revenue while interest payments are continuing to climb, as Finance Minister Chrystia Freeland prepares to deliver her budget next month.

Program expenses excluding actuarial losses from April 2023 to January were 6.7 per cent higher than the same period during the previous year, “reflecting increases across all major categories of spending,” according to data released Friday by the Department of Finance.

Interest payments have totaled $39.2 billion (US$28.8 billion) over that period, up 36 per cent compared to the previous year, while revenues were up 3 per cent. The deficit for the 2023-2024 fiscal year is $25.7 billion so far.

Total tax revenues are up 1.1 per cent fiscal year-to-date, driven by personal income tax and other excise taxes. Corporate tax revenues are down 14.7 per cent, reflecting a slowing in economic growth.


Expenditures were driven by rising elderly benefits, as well as a 9.3 per cent increase to the Canada Health Transfer — the government announced in February last year it would increase the money it would send to provinces. The government’s operating expenses are also up 3.6 per cent.

In Canada, the government’s fiscal year begins on April 1, so Friday’s numbers represent 10 months of results. In recent years, Canada’s government expenditures have tended to jump in March, adding uncertainty to where the fiscal shortfall will ultimately end up.

It’s the last glimpse of the fiscal position before Freeland delivers her budget on April 16. Freeland has pledged fiscal restraint, saying she plans to keep deficits contained to around $40 billion from the current fiscal year until 2026.

It will take some “creative accounting” to keep the deficit within that range this fiscal year, Randall Bartlett, senior director of Canadian economics at Desjardins Securities, said in an interview. 

“Today’s numbers don’t give any indication of how they’re going to manage to do that. It’s still an open question how the finance minister is going to get there,” he said. 

The government may encourage departments to lapse spending, or forgo expenditures at the end of the year and push them off to upcoming fiscal years, Bartlett said.

“They might get lucky and pull a little bit of sleight of hand this year to meet their fiscal anchor, but it’s just going to be more challenging to do the same in future fiscal years.”



 

Bombardier borrows US$750M in boosted junk-bond offering

(Bloomberg) -- Canadian private-jet maker Bombardier Inc. sold a $750 million junk bond Friday to help refinance debt due in 2026, raising the size of the offering and getting slightly better terms than it initially expected.

The seven-year bond deal comes with a 7.287% coupon, according to a person familiar with the matter. The Montreal-based firm had originally sought to borrow $500 million, for which a coupon of as much as 7.5% had been discussed, the person said, asking not to be identified discussing a private matter.

Bombardier’s debt sale coincided with high-yield spreads — the extra yield investors demand over Treasuries — hovering around their lowest in about two years. The company last issued debt in November, raising $750 million at the time by selling seven-year bonds with a call option after three years at yield of 8.75%.

A representative for Bombardier declined to comment.

Bombardier also announced on Friday that it is redeeming about $200 million of its $1.7 billion of notes due 2027.

Read More: Junk Issuers Rush to Refinance With Spreads Lowest Since 2022

Friday’s transaction “priced well inside of the single B average level, and just shy of B+ levels, thus offering some tightening potential should Bombardier achieve high B ratings as we expect they will this year,” Matt Woodruff, an analyst at CreditSights Inc., wrote in a March 25 note.

Improving credit quality and growing liability management capacity increases chances that the firm could score an upgrade, especially as it chips away at a $2.8 billion maturity wall coming due in 2026-2027, Bloomberg Intelligence credit analyst Matthew Geudtner wrote in a note.

©2024 Bloomberg L.P.

 

Former Toronto mayor John Tory to rejoin Rogers Communications board of directors

Former Toronto mayor John Tory is set to rejoin the board of directors at Rogers Communications Inc.

Tory is listed among the 14 proposed management nominees in the company's information circular ahead of Rogers' annual meeting set for April 24.

He previously served as a Rogers director from 2010 to 2014 and chief executive of Rogers Cable Inc. from 1999 to 2003 and Rogers Media Inc. from 1995 to 1999.  

Tory's return to the Rogers board comes after sisters Melinda Rogers-Hixon and Martha Rogers settled their differences with their brother Edward Rogers and announced their retirement from the company's board earlier this year.

Tory is a member of the advisory committee of the Rogers Control Trust, which holds voting control of the company.

He resigned as mayor of Toronto in 2023 after admitting to an inappropriate relationship with a staffer. 

This report by The Canadian Press was first published March 25, 2024.