MOSCOW/NEW DELHI, January 9: A team from the Atomic Energy Commission has reached Moscow to finalise the terms of the Indo-Russian "supplement" to the 1988 agreement for building two civilian nuclear power plants in India, which is expected to "electrify" the relationship between the two countries.Despite the cancellation of Russian President Boris Yeltsin's trip to India, originally slated for January 19-20, both sides are extremely keen that the project, which has significant political overtones, not be interminably delayed.Atomic energy officials from both countries are, therefore, expected to initial the project "very soon", the terms of which were decided during the mid-December visit of Russian Deputy Prime Minister Anatoly Chubais to New Delhi.Highly placed sources in the Government here confirmed that not only did Finance Minister P Chidambaram oversee the finalisation of this "gentleman's agreement", but also that the terms were "extremely favourable" to India.The fact that both countriesare keen to push through this project, to be built at Kudamkulam in Tamil Nadu, is an indication of the strength of the current relationship. In fact, the Rs 60-crore detailed project report is already supposed to be underway.Observers recall the alacrity with which Russia had in mid-1993 cancelled a contract with Indian Space Research Organisation, under US pressure. Even this project came under a great deal of fire from Washington, which over the last year has more than once accused Moscow of violating the Nuclear Suppliers Group protocol by supplying "sensitive" high-technology to India, which has not signed the NPT.It is believed that the cost of the approximately $2.5 billion project (about Rs 9,000 crores) will be paid in full in hard currency by India, thereby fulfilling a major demand of cash-strapped Russia.In turn, the Russians have agreed to give a soft loan of credit spread over a number of years, sources said. Atomic energy officials are now expected to put this agreement into shape in Moscow."The terms of the agreement are very good, better than what we have ever had even in the Soviet period," sources here said. They added that even though New Delhi was at one point extremely keen to repay at least part of the cost in goods and services, Chidambaram also agreed that the final terms the Russians were offering "could not be matched elsewhere in the world."It is believed that the finance minister played a key role in overruling the apprehensions of some bureaucrats in the Government who wanted the "goods and services" formula to be adopted in this case also.Yeltsin's inability to make the trip to India, reportedly due to bad health, will inevitably delay the signing of the deal, sources conceded. But both sides are also trying to find other solutions to this impasse, leading to speculation that senior officials from both countries might possibly do the job instead.
