Indian news media reported that India and the U.S. were "on the verge of a breakthrough" that could pave the way for U.S. companies to build nuclear power plants in India, helping to reduce India's heavy reliance on fossil fuels for energy.
A nuclear deal was seen as one of the major goals of Obama's second visit to India as president, with administration officials expressing hope that it could jump-start talks between the two nations on other contentious issues such as combating climate change.
The United States and India signed a landmark civil-nuclear cooperation pact in 2005, but implementation has stalled since India's parliament passed a 2010 law that would hold nuclear suppliers liable in case of a nuclear accident. The law grew out of the memory of the deadly 1984 explosion at a gas plant in the Indian city of Bhopal, as well as New Delhi's resistance to having terms dicated to it by Western countries. In an effort to break the impasse without changing the law, Indian officials have reportedly offered to create an insurance pool to shelter nuclear suppliers from liability in case of an accident.
U.S. officials were also considering whether to ease some requirements on tracking nuclear material produced in U.S.-supplied reactors. India has been unwillling to set up a mechanism to account for the nuclear supplies, saying it is too costly and was not part of the 2005 deal.
Upon landing in New Delhi, Obama and Prime Minister Narendra Modi shared a warm hug. The two men met in Washington last September, and a second meeting just four months later - sooner than many U.S. and Indian officials had expected - has raised hopes of warming the often frosty relations between the two countries. "It is a great honour, and we are so grateful for the extraordinary hospitality," Obama said following a ceremony at India's presidential residence, before leaving to pay a visit to to Raj Ghat, a memorial to Mahatma Gandhi.
Obama and Modi were due to hold bilateral talks and address a press conference later Sunday. On Monday, Obama was to attend India's annual Republic Day celebration as chief guest, becoming the first American president to serve in that role.
- LOS ANGELES TIMES