Minister for Energy (): My noble Friend , Minister for Science,
Innovation, Research and Nuclear, has today made the following
Statement:
I have laid before Parliament a Departmental Minute describing
the contingent liability that allowed the Nuclear Decommissioning
Authority and Nuclear Transport Solutions to carry out a project
to remove and transport a quantity of legacy civil nuclear
material to the US from Venezuela.
It is normal practice, when a government department proposes to
undertake a contingent liability in excess of £300,000 for which
there is no specific statutory authority, for the Minister
concerned to present a departmental Minute to Parliament giving
particulars of the liability created and explaining the
circumstances.
Given the sensitivities associated with the project, the
Department of Energy Security and Net Zero informed the chairs of
the Public Accounts Committee and the Energy Security and Net
Zero Committee in confidence of the Department's intention to
take on an indemnity to allow the Nuclear Decommissioning
Authority and Nuclear Transport Solutions to deliver the project.
The indemnity was required to cover any residual risk that was
left between commercial insurance and the United States of
America's Price-Anderson Act. The maximum potential liability was
capped at £10 billion. The risk of this indemnity being relied
upon was deemed to be very low. NTS operate a unique maritime
transport capability and have done for half a century. They have
had no significant safety incidents over that time.
The UK had received requests for assistance from both the United
States and the International Atomic Energy Agency which had in
turn received a request for assistance from the de facto
authorities in Venezuela. The UK's main contribution was the
provision of a purpose-built vessel from Nuclear Transport
Solutions to transport the material by sea. The arrival of the
material in the US represents the conclusion of the UK assistance
to this project.
The Treasury approved this proposal for the contingent liability
in principle.
