Agreement between RSA & European Atomic Energy Community for Co-operation in the Peaceful Uses of Nuclear Energy

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Mineral Resources and Energy

10 June 2020
Chairperson: Mr S Luzipo (ANC)
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Meeting Summary

The Department of Mineral Resources and Energy gave a presentation to the committee on the Agreement between the Republic of South Africa and the European Atomic Energy Community for Co-operation in the Peaceful Uses of Nuclear Energy.

The Department explained that the purpose of the Agreement was to facilitate co-operation between South Africa and Euratom on the peaceful uses of nuclear energy. It had been signed in 2013 and approved for tabling in Parliament in 2018. It was intended to deepen economic, scientific and technical co-operation in nuclear matters. For example, South Africa would benefit from the expertise of France and Belgium in creating a fund to deal with radioactive waste. South Africa was currently developing legislation for the creation of a Fund Bill. South Africa would also benefit from the experience of Finland in the construction of a disposal site for high-level radioactive waste. DMRE had consulted with a wide range of government entities. DMRE would be assisted by the Department of International Relations and Co-operation (DIRCO) to ratify the agreement, and Euratom was ready to begin negotiations on the administrative arrangements. DMRE recommended that Parliament approve the Euratom Agreement.

While the Department was requesting the Committee to approve the Agreement, there were still a few matters that it needed to consider, based on recent developments in the space. The Department asked the Committee to give it some time to look into these matters.

The Committee discussed the next steps to be taken, the consultation process, the need to ensure that agreements benefited South Africa, and progress on the Radioactive Waste Management Fund Bill. The Committee agreed to give the Department time to look into new developments and called on the Department to make the relevance of these developments clear. The Committee would take the opportunity to consult with legal advisors on the Agreement, and it would report to the Speaker on the progress made so far.

Meeting report

The Chairperson offered condolences to ANC MP Dorah Dlamini who had passed away overnight.

He accepted apologies from the Minister of Mineral Resources and Energy, who was attending a Cabinet meeting, and committee member Ms N Hlonyana (EFF).

He explained that the work before the committee was outstanding from the Fifth Parliament on the Agreement between the Republic of South Africa and the European Atomic Energy Community Co-operation (Euratom) in the Peaceful Uses of Nuclear Energy (the Euratom Agreement). Today’s presentation by the Department was an update on a presentation that had been given in February 2020.

Briefing by Department of Mineral Resources and Energy (DMRE)
Mr Thabo Mokoena, Director-General, DMRE, said that the presentation contained a few late changes to remove material not relevant to the Euratom Agreement. He explained that while the Department was requesting the Committee to approve the Agreement, there were still a few matters that it needed to consider based on recent developments in the space. He asked if the Committee would therefore give the Department the opportunity to re-look at some of these matters.

Mr Zizamele Mbambo, Deputy Director-General: Nuclear Energy, DMRE, said that the purpose of the Agreement was to facilitate co-operation between South Africa and Euratom on the peaceful uses of nuclear energy. It had been signed in 2013 and approved for tabling in Parliament in 2018. It was intended to deepen economic, scientific and technical co-operation in nuclear matters. For example, South Africa would benefit from the expertise of France and Belgium in creating a fund to deal with radioactive waste. South Africa was currently developing legislation for the creation of a Fund Bill. South Africa would also benefit from the experience of Finland in the construction of a disposal site for high-level radioactive waste. DMRE had consulted with a wide range of government entities. DMRE would be assisted by the Department of International Relations and Co-operation (DIRCO) to ratify the agreement, and Euratom was ready to begin negotiations on the administrative arrangements. DMRE recommended that Parliament approve the Euratom Agreement.

Mr Mokoena confirmed that the presentation was intended to inform the Committee of the work done to date, and bring the final document to the Committee.

(See presentation)

Discussion
The Chairperson reiterated that the approval of the Euratom Agreement was work left over from the Fifth Parliament, where it would have been considered by the Portfolio Committee on Energy. He noted that the Agreement had been approved by Cabinet and then forwarded to the Committee by the Speaker.

Mr M Mahlaule (ANC) was happy for the DMRE to take the time to look at whether any circumstances had changed in the time since the agreement had been approved by Cabinet. He suggested that the Committee should take the time to scrutinise the Agreement from a legal point of view. The Agreement would define how South Africa operated in the nuclear space and bilateral agreements were complex, so one should not rush it.

The Chairperson noted that even if the Department had already received legal advice on the Agreement, the Committee was not precluded from seeking its own legal advice. However, it might be better to wait until the Department had ironed out any issues.

Mr K Mileham (DA) appreciated the inclusion of the annexures. He asked why the Department had not included the International Atomic Energy Association (IAEA) Circular 254, which was an integral part of the Agreement, in the annexures provided to the Committee. He asked why there had been no consultations with civil society or non-governmental organisations, given that there was a question of whether such an agreement was actually desirable. He asked for clarity on what the Committee’s next step was: would the Agreement be tabled in the House?

Mr Mbambo explained that as a member of IAEA, South Africa did subscribe to and was bound by Circular 254, but not all references could be included in the annexures. It could be attached to the Agreement if the Committee wished. On the question of civil society consultations, he said that the desirability of nuclear power in South Africa had already been established. It was part of the 2008 Nuclear Energy Policy as well as the 2019 IRP. Moreover, bilateral agreements such as this one were not required by legislation to be subjected to the scrutiny of civil society. The next step was for the two houses of Parliament to approve the Agreement. It would then be ratified and become binding.

Mr S Kula (ANC) foresaw no issues with going forward and tabling the agreement. He observed that the Department’s consultations had been extensive. The 2019 Integrated Resource Plan (IRP) included 2500MW of nuclear power, so the issue of the desirability of nuclear energy could not be raised. It had already been agreed that nuclear power would be part of the country’s energy mix in the future.

Mr Mbambo confirmed that the Agreement was consistent with the 2019 IRP. It would give South Africa a competitive advantage in achieving the objectives of the IRP. It would provide an opportunity to open up markets in the EU, to the advantage of South African companies.

Mr D Mthenjane (EFF) agreed that the DMRE should be given more time to look at the Agreement. The Department should be advised to be careful when signing agreements with former colonial powers such as France, and be wary of enabling modern forms of colonisation. The Agreement should be for the benefit of all South Africans.

Mr Mbambo agreed that care needed to be taken to ensure that South Africa was not oppressed through the Agreement. Nuclear agreements were particularly sensitive, and the Department was applying its mind to ensure that the Agreement derived the maximum benefit for South Africa. South Africa was aiming to become self-sufficient at all stages of the nuclear fuel cycle, and this aim was kept in mind during all negotiations. The benefits must accrue to the people of South Africa and must not compromise the country’s nuclear policies.

Ms V Malinga (ANC) agreed that the DMRE should be given more time to look at the Agreement and tie up loose ends. She hoped that the Department would be able to report on when the Radioactive Waste Management Fund Bill would be processed. How would the Agreement assist in securing South Africa’s energy security?

Mr Mbambo replied that the Radioactive Waste Management Fund Bill was being processed, and anticipated that towards the end of the year, once all the necessary approvals were obtained, it would be tabled for approval by Cabinet and then the public consultation process could begin.

Ms Lerato Makgae, Chief Director of Nuclear Policy, DMRE, added that the Department of Planning, Monitoring and Evaluation had signed off on the Bill and the Department had consulted with the State Law Advisor.

Mr M Nxumalo (ANC) welcomed the presentation and commended the DMRE for the inclusion of the addenda. The Department had done what the committee had asked at the previous meeting. He hoped that the Agreement would benefit the whole country.

Ms C Phillips (DA) asked if submissions to the Committee could be received earlier rather than later and without last-minute changes if possible.

Mr M Wolmarans (ANC) appreciated the detail on the Agreement provided by the annexures and he saw many positives emanating from it, such as the exchange of information and research. There were some concerns regarding the regulation of the movement of materials in the European Union (EU): these should not overrule the existing regulations in Africa. The document and the annexures were a progressive document but should be taken as a work in progress.

Mr Mbambo said that the Agreement presented broad opportunities in the EU for South African companies such as NTP Radioisotopes and Pelchem. He added that the Department was proud of Pelchem for having produced sanitisers in response to COVID-19. There was an opportunity for South Africa to become self-sufficient in sanitiser production. The Agreement also provided opportunities for research collaboration. He observed that 100% of Koeberg’s nuclear fuel as well as a range of other services, came from Europe, which made the Agreement particularly important. The National Nuclear Regulator as well as the National Radioactive Waste Disposal Institute (NRWDI) would also benefit significantly from collaboration that the Agreement would facilitate.

The Chairperson thanked Mr Mbambo for the detailed information in his responses but warned that there was a risk that this information could generate more discussions. He said that the Committee could either recommend the Agreement to be approved or disapproved, and it would then table this recommendation to Parliament. In this case, the most serious question was how urgent it was. If the Department was given time to go back and refine its work, the Committee should not compile its report before this work was completed. At this stage, the Committee should write to the Speaker to indicate that the Department had been given time. He clarified that the Agreement, once ratified by Parliament, became binding on the nation. He granted the Department time to re-look at matters but it would need to come back. The Agreement did not have to be changed but the Department should make a strong case for the necessity of the Agreement, taking into account that members of the committee were not nuclear specialists. Some of the examples discussed by the Department, such as Pelchem and NRWDI did not make it clear how the Agreement was going to assist and why it was necessary. He asked the committee to confirm its agreement with the way forward.

Several members expressed their agreement.

Mr Mthenjane also agreed but voiced his concern about the fact that the Minister did not attend committee meetings as often as other Ministers.

Mr Kula didn’t think the issue of the Minister’s attendance was relevant to the current issue. It was an issue for another time.

The Chairperson said that the time for Mr Mthenjane to raise the issue of the Minister’s attendance would have been when his apology was heard. He noted that Wednesday was not the normal day for committee meetings and it was also the day for Cabinet meetings.

Mr Mileham asked the Chairperson to clarify exactly what the Committee was agreeing to.

The Chairperson explained that the Committee was agreeing to allow the Department to refine its work on the Agreement and clarify the relevance of new developments to the Agreement, to seek its own legal opinion on the Agreement, and to report to the Speaker, not to Parliament on progress made by the Committee.

Mr Mokwena thanked the Committee for allowing the Department to refine its work and assured the committee that it would come back within the appropriate time frame.

Consideration and adoption of minutes of 2 June 2020
The committee made minor adjustments and grammatical corrections to the minutes of the meeting on 2 June 2020. The minutes were adopted.

The meeting was adjourned.


 

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