My Lords, Amendment 3 would amend Clause 1 by adding the requirement that the UK’s nuclear safeguards regime must continue to the standards set by Euratom. Your Lordships’ House heard throughout Second Reading that the inspections undertaken by Euratom were to a higher standard than those set by the IAEA, and it was the Government’s intention that the ONR would be facilitated to continue the UK’s safeguarding and monitoring at this level. The Minister stated that the UK’s nuclear safeguards regime is currently provided primarily by Euratom and that there has been good progress in discussions with the EU about Euratom. Negotiations with the IAEA have similarly been constructive, and progress made with key partners such as the United States, Canada, Australia and Japan. The Minister stated that the UK needs continuity and must work to avoid any break in our civil nuclear safeguards regime to support the nuclear industry. This regime and the safeguards and agreements with the IAEA are critical for the continued operation of our civil nuclear industry. The UK’s new domestic regime must be as robust as that currently provided by Euratom, and the Minister contended that it would exceed the standards that the international community expected of the IAEA.
The Government’s intentions need to be fulfilled. Guarantees need to be kept and ambitions needs to be achieved. The amendment would strengthen the Bill to ensure that the only standard under which the UK regime will operate will be consistent with the Minister’s statements—that is, Euratom. The trouble is that we heard from the other place during its examination of the Bill that there is considerable risk that the UK’s regime will not be able to operate at this standard from day one, from the date of March 2019, when the UK will leave the EU. The Minister contended that those standards were needed to ensure that the UK could have the essential nuclear co-operation agreements with key international partners already mentioned, to ensure uninterrupted co-operation in trade and the civil nuclear sector. The UK standards must be as comprehensive as the current Euratom regime to enable public confidence in continuing high standards.
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To answer the concerns widely expressed in Second Reading, the Minister has written this week to noble Lords. I am very grateful that the noble Lord has followed up on this commitment to provide further assurances; his letters have been very helpful. Yet in
his letter, the Minister agrees that the ONR does not have the required number of staff at present to operate at Euratom levels and that the ONR assesses that it will take a good 12 to 18 months to upskill new recruits once they have been found. When pressed, the Minister has admitted that the ONR aim is to meet international standards as applied by the IAEA from 29 March 2019. This indicates that from day one it will not immediately be to the standard set by Euratom. The draft regulations published in January indicate that standards will be “broadly equivalent” as quickly and effectively as possible.
The amendment would bring certainty regarding standards. The UK would operate only to the high standards currently set by Euratom. The Government have four mechanisms by which standards could be maintained in the likelihood that the ONR will not be able to replicate Euratom standards. First, the Government could subcontract from Euratom to continue providing the inspections and monitoring currently done by its personnel after the UK leaves. Secondly, the Government can negotiate a standstill in safeguards by securing a transition period with Euratom as well as with the EU, during which time the ONR could be in a position to demonstrate equivalence to the standards set by Euratom. Thirdly, as your Lordships’ House heard last night in Committee on the withdrawal Bill, the UK could continue its membership of Euratom separately from that of the EU. I agree with the Minister, who this morning said that there were severe difficulties around this area, and I shall come to that again in a minute. Lastly, the Government could achieve some sort of continuing relationship with Euratom, which they profess that they wish to set up, whether that is called associate or similar status, whereby there would be no gap in standards or in time between Euratom and that undertaken by the ONR. I agree with the Minister that “associate membership” will not be the terminology, as the Government have ruled that out from their negotiations. Many of those alternatives are explored in further amendments before the Committee.
I welcome the Government’s commitment to undertake three-monthly reports to Parliament on the critical pathway to put all the necessary provisions in place. Your Lordships’ House will then be in a position to monitor progress, and we have already discussed amendments to give effect to that this morning. This amendment would make sure that there was no drop in standards and that the UK safeguards regime will be to the high standard set by Euratom. The amendment would enable the Government and Minister to fulfil their commitments. I beg to move.