Rice defends nuclear deal with India in Senate

Secretary of State Condoleezza Rice urged the US Congress this evening to back a controversial nuclear energy deal with India…

Secretary of State Condoleezza Rice urged the US Congress this evening to back a controversial nuclear energy deal with India, arguing it would reduce New Delhi's dependence on Iranian oil and create thousands of new American jobs.

Ms Rice, in testimony considered crucial to the agreement's future, rejected criticism from experts who say the deal undermines efforts to halt the spread of nuclear weapons, and denied it would spur India to greatly expand its atomic arms arsenal.

The deal, a key part of burgeoning US-India ties, would permit the transfer of foreign nuclear energy reactors, fuel and other technology denied for 30 years because New Delhi developed nuclear weapons and did not sign the nuclear Non-proliferation Treaty.

While the agreement has been controversial, members of the influential Senate Foreign Relations Committee largely voiced support or neutral views and stressed satisfaction that the two countries were getting closer after years of estrangement.

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Ms Rice was to testify later today before the House of Representatives International Relations Committee.

Sen. Joseph Biden of Delaware, the Senate panel's senior Democrat, and Sen. John Kerry of Massachusetts, the 2004 Democratic presidential candidate, both announced support for the deal, which has been strongly endorsed by American business and politically active Indian-Americans.

But Mr Biden said it represented a "jump of faith" that India would follow through on its commitments and Kerry urged India to move quickly to agree on promised international inspection standards for its nuclear facilities.

Responding to US concerns about India's energy ties with Iran, Rice said helping India build its nuclear power industry would "ease its reliance on hydrocarbons and unstable sources like Iran," a country the West has accused of pursuing nuclear weapons.

Iran, which is also branded a state sponsor of terrorism by Washington, says its nuclear program only aims to produce electricity.

Ms Rice said the nuclear deal, which must be approved by the US Congress and the 45-nation Nuclear Suppliers Group, "may add as many as 3,000 to 5,000 new direct jobs in the United States and about 10,000 to 15,000 indirect jobs" as American companies engage in nuclear trade with India.

Despite rapidly improving ties with the United States, India has insisted it will maintain relations with Iran, including a pipeline project, and lawmakers expressed grave concerns about this.

Agencies