Australia sells more uranium to China
Australia is set to ramp up its uranium sales to China which is embarking on a dramatic program of building nuclear power stations. Australia's first shipment of uranium to the Middle Kingdom occurred last November and it is determined that it won't be the last.
MICHAEL CAVANAGH: With Australia's economy like many other countries either in recession or teetering on the edge, the potential to help meet China's seemingly insatiable demand for energy is attractive as it would provide much-needed income.
MARTIN FERGUSON: It is there for Australia to seize because our major competitors are countries such as Canada and Kazakhstan. They're not going to stand still and nor should we, especially in a tough global economic situation. Every job counts.
MICHAEL CAVANAGH: Australia's Resources and Energy Minister, Martin Ferguson, pointing out that if Australia waits, other countries will be there to sell uranium to China, which plans another 5 nuclear power plants added to the 24 presently under construction. His justification comes as Australia's uranium industry agitates for a change to the present policy which restricts the number of mines allowed. Another aspect of Australia's policy which annoys some in the industry is that no uranium is to be sold to countries which have not signed the Nuclear Non-Proliferation Treaty. This hurdle recently stopped India being allowed a share of Australia's uranium exports despite intense efforts by that country's government to have this changed. Those in Australia against increased uranium exports argue that by selling uranium to countries such as China it frees up its own uranium reserves for weapons. Mr Ferguson says this will not occur as there are safeguards in the present deal with Beijing.
MARTIN FERGUSON: There are very clear demands from the Australian Government as to enter into... bilateral which guarantees the safe use of Australian uranium into the countries which can purchase Australian uranium are restricted in number but I'm pleased to say in this instance we're capable of growing our exports of uranium to China.
MICHAEL CAVANAGH: While there may be safeguards in the deal, Dr Stephan Fruhling from the Australian National University's Strategic and Defence Studies Centre says while there is transparency when it comes to China's nuclear power industry, it's more difficult to get a clear picture when it comes to military applications, although he says improved weapons technology has lessened China's need to use uranium from elsewhere for its nuclear arms.
DR STEPHAN FRUHLING: As far as we know they don't have a need for additional material so the risk of diversion of any material or the risk that China might be able to free up its own limited uranium reserves for the military program is more theoretical than practical at this stage.
MICHAEL CAVANAGH: Another major concern over China's increased use of nuclear power centres on environmental damage. David Noonan from the Australian Conservation Foundation says how China disposes of its nuclear waste has wide ramifications.
DAVID NOONAN: It will move that high-level nuclear waste into the area that is historically known as Tibet and Australia will then become complicit in China taking nuclear risks in Tibet and in the ongoing widespread human-rights abuses and the ongoing cultural genocide that China is perpetrating against the Tibetan people.