Ensuring peaceful use via international licensing of the nuclear fuel cycle

Abstract

Under the NPT, all States have an inalienable right to the peaceful use of nuclear technology. However, what this right means in practice is uncertain because: (1) many technologies that can be used to produce fuel for nuclear power plants can also be used to produce materials for nuclear weapons; and (2) peaceful use is not defined in the NPT. As a consequence of this uncertainty, a global expansion of nuclear power, as advocated by some climate change experts, may lead to more States having enrichment facilities, increase the risk of proliferation, and inhibit movement towards a world with few, if any, nuclear weapons. This chapter presents a new idea for resolving the inherent ambiguity of peaceful use through a legal principle: peaceful use activities would be those that are licensed by an international agency, while any non-licensed activity would be irrebuttable presumed non-peaceful. This licensing approach is an alternative to other proposals for managing the proliferation risk of an expansion of nuclear power, such as international ownership of enrichment facilities or strengthened IAEA inspections. By resolving the ambiguity of peaceful use, the licensing approach may be able to manage the proliferation risks of an expansion of nuclear power better than these proposals and offers several other safety and security advantages. The licensing approach is discussed in detail, including key license terms, international relationships and obligations, an implementation path, and existing precedents for controlling sensitive technology through licensing. The author also explains why a new approach to non-proliferation may be needed if nuclear power expands substantially and compares licensing to other reform proposals, which are briefly described.