251. Letter From the Secretary of State to the Chairman of the Atomic Energy Commission (McCone)1
Dear John: I am pleased to learn from your letter of February 3, 19602 that you are sending a mission of senior personnel to India to evaluate the economic prospects of nuclear power in that country, as well as the technical capability of the Indians to proceed with a nuclear power program of modest size.
As you have noted, Ambassador Bunker has strongly recommended that the United States participate in India’s nuclear power program. Subject to financial considerations, the Department supports [Page 529] this point of view if further studies indicate the Indian objectives are technically feasible and well conceived. Any nuclear power development in India would appear bound to have great impact not only on the Indians but also on other free Asian peoples in view of the standing of India throughout the world. In our view, it would, therefore, be most desirable if India’s nuclear projects could continue to be supported by free world countries and not by others. Should the Soviet Union, for instance, enter the Indian nuclear power field in any important fashion, the credit which it would get therefrom would certainly be comparable to that which the Soviet Union won for itself by its substantial participation in the development of India’s steel making program. This would not be to the interest of the free world.
As you know, there is apparently some difference of opinion within the Government of India as to whether and how any nuclear power development above the presently planned 250,000 kilowatt nuclear power plant based on natural uranium, in which the United Kingdom has been interested, will be financed. It would appear, therefore, advisable to await the findings of your technical mission before exploring in detail with either the Indian Government or our own lending agencies the financial aspects of our assisting any nuclear power development.
We look forward, I assure you, to an early report by your mission.3
With warmest personal regards,
Most sincerely,
- Source: Department of State, Central Files, 891.1901/2–1360. Confidential. Drafted by Bartlett on February 10 and concurred in by S/AE, U/CEA, U/MSC, ED, and OFD. On February 12, Jones forwarded a draft of this letter to Secretary Herter who approved it without change. (Ibid., 891.1901/2–1260)↩
- This letter reads in part as follows: “From the Commission’s standpoint, any cooperative program involving substantial financial assistance would have to be justified, in large part, on political or economic grounds. Accordingly, I would be interested in receiving your comments concerning the political desirability of our developing a joint program either along the lines proposed by Dr. Bhabha or one of more modest scope, if further studies indicate the Indian objectives are technically feasible and well conceived. I also would like to suggest that the Department explore further the possibilities of financing the Indian program with the appropriate lending agencies.” (Ibid., 611.9145/2-360)↩
- In telegram 3090 from New Delhi, March 16, the Embassy informed the Department in part as follows: “Final meeting held with Bhabha on March 15. Team advised Bhabha it had received all information desired and had not encountered information which significantly affected conclusion expressed in memorandum of record that atomic power costs in selected areas India would be in range of conventional costs.” (Ibid., 891.1901/3–1660)↩
- Printed from a copy that bears this stamped signature.↩