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Cablegate: Brazil Views On Demarche On Convention On Supplementary

VZCZCXRO9166
PP RUEHRG
DE RUEHBR #0822 1651937
ZNR UUUUU ZZH
P 131937Z JUN 08
FM AMEMBASSY BRASILIA
TO RUEHC/SECSTATE WASHDC PRIORITY 1881
RUEHUNV/USMISSION UNVIE VIENNA 0117
INFO RUEHSO/AMCONSUL SAO PAULO 2235
RUEHRI/AMCONSUL RIO DE JANEIRO 6265
RUEHRG/AMCONSUL RECIFE 8140

UNCLAS BRASILIA 000822

SIPDIS

PLEASE PASS TO IO, IO/T, ISN/NESS Richard J.K. Stratford; and
DOE/MNSA Adam Scheinman, Richard Goorevich, and Melissa Krupa

E.O. 12958: N/A
TAGS: KNNP TRGY ENRG KSTC IAEA PARM BR
SUBJECT: BRAZIL VIEWS ON DEMARCHE ON CONVENTION ON SUPPLEMENTARY
COMPENSATION FOR NUCLEAR DAMAGE (CSC)

REF: STATE 054213

This cable is sensitive but unclassified. Please protect
accordingly. Not for internet distribution.

1. (SBU) On 12 June 2008, EST officer delivered ref talking points
and non-paper to Minister Santiago Mourao, Head of the Division of
Disarmament and Sensitive Technologies for Brazil's Foreign
Ministry. Minister Mourao indicated that Brazil was already part of
a civilian nuclear liability convention included in the 1963 Vienna
convention, which Brazil became party to in 1993, and did not see a
reason for the additional Convention on Supplementary Compensation
for Nuclear Damage (CSC). Mourao stated that the Vienna Convention
already indicated how liability will be impinged on governments to
cover civilian damages.
2. (SBU) Mourao did not envision Brazil ratifying the CSC in the
near future. From Brazil's point of view, it will take a long time
to get enough countries on board for the CSC to come into effect.
Mourao also did not foresee participation by American firms in
Brazil's nuclear energy industry because Brazil's nuclear sector is
a state monopoly and there is no political will to move in the
direction of opening up the nuclear market. In addition, the
nuclear industry is still viewed with suspicion by the Brazilian
public. Mourao further explained that while these factors impede a
present agreement to the CSC, he could not rule out future
participation as a possibility. Mourao spoke of the nuclear
renaissance and agreed that there would be potential benefit for
Brazil of having increased competition in the nuclear sector.
3. (SBU) Mourao agreed to read ref paper and contact EST with any
questions or comments. EST will follow up with Mourao and will
advise.

SOBEL

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