Nuclear Issues

On 24 and 25 November 2016 experts from politics and academia, including FDP Executive director Cathryn Clüver, discussed the impact of Brexit on several policy areas in a series of workshops at the Hertie School of Governance in Berlin. All events took place under Chatham House rules.

Dr. Ian Bremmer, expert in political risk and founder of the Eurasia Group, gave a seminar sponsored by the the Future of Diplomacy Project on Thursday, November 9 at the Harvard Kennedy School, titled “Managing Risk in an Unstable World."

Indian Prime Minister Narendra Modi traveled to Washington last week, making his fourth trip to the United States since taking office just two years ago. India and South Asia Program Fellow, Ronak Desai examines the strategic approach to India's relations with the United States.

Last week, a National Academies of Sciences, Engineering, and Medicine panel affirmed the goal of eliminating highly enriched uranium (HEU) from civilian use, while recommending step-wise conversion of high performance research reactors using weapon-grade uranium fuel and that the White House coordinate a 50-year national roadmap for neutron-based research. (Full disclosure:  I sat on that committee, and oversaw the NNSA reactor conversion program from 2006-9; this post, however, represents my views, not necessarily those of the committee or NNSA.)

In 1998, in Operation Auburn Endeavor, the U.S. government helped fly 4.3 kilograms of highly enriched uranium (HEU) and low-enriched uranium (LEU) from vulnerable facilities in war-torn Georgia to the Dounreay reprocessing plant in the United Kingdom. At the time, those in the U.S. government involved in the project, myself included, thought that was all the HEU there was in Georgia. So it was a surprise when the IAEA announced the removal of another 1.83 kilograms of HEU from Georgia – apparently now really the last of the HEU there.

Aaron Arnold, Associate of the Project on Managing the Atom at the Belfer Center for Science and International Affairs, writes that while Iran may receive sanctions relief as part of a final nuclear deal, it needs to take actions to strengthen its financial laws and regulations in order for it to truly be integrated into the global economy. He argues that Iranian financial laws, specifically those relating to money-laundering, terrorism financing, and proliferation financing, remain weak and do not meet the standard of the international financial community. These legal weaknesses have caused Iran to remain designated by the U.S. Treasury as a "jurisdiction of primary money-laundering concern," making it much harder for the Iranian financial sector to operate using American currency or the American financial system, which, despite recent developments such as the launch of the Asian Infrastructure Investment Bank, maintains the dominant role in global finance. He concludes that without these reforms to Iran's banking sector, its benefits from the ending of sanctions will be much smaller than desired by Iranian policymakers.

Aaron Arnold, Associate with the Project on Managing the Atom at the Belfer Center, and Nikos Passas, Professor of Criminal Justice at Northeastern University, argue in The Bulletin of the Atomic Scientists that an important, and generally overlooked, aspect of any deal with Iran is the role of banks and financial institutions in monitoring proliferation related transactions and keeping Iran from cheating on the agreement. They point out that banks are necessary for the monitoring and verification of a nuclear agreement because they provide the information used by sanctions enforcers to track illicit proliferation financing. At this point, several holes exist in detecting proliferation financing, including the lack of a clear template for banks and regulatory agencies to be searching for, and the lack of binding regulations for all forms of financial institutions, such as money remitters. They suggest that the Iranian nuclear deal offers a chance for these systematic holes to be plugged by centralizing analysis of data for proliferation financing and seeking reforms in the Iranian financial system.

The Obama administration is proposing to boost Department of Energy nonproliferation funding to $1.94 billion—more than a $300 million increase from what Congress appropriated last year—in fiscal year 2016. But this is an increase over the very low fiscal year 2015 budget proposed by the administration and then further cut by Congress. Both Congress and the Russian government have cut back on further U.S.-funded nuclear security work in Russia, and the Obama administration has yet to develop major new initiatives that could absorb those resources.

Russia’s state nuclear corporation, Rosatom, has put out a statement on the Boston Globe story on Russia calling a halt to nearly all U.S.-Russian nuclear security cooperation.  (See Russian stories based on the statement here and here.)  The statement, in essence, tries to avoid responsibility by saying that cooperation is continuing (citing work on returning highly enriched uranium from other countries to Russia), and to blame the United States for any interruption (citing the U.S. cutoff of nuclear energy and nuclear science cooperation as part of the sanctions over Ukraine).

As the Boston Globe reported Monday, Russia has put a stop, for now, to most U.S.-Russian nuclear security cooperation.  Russian, U.S., and world security will be in more danger as a result.  But some small pieces of cooperation continue – and with creativity and effort, it may be possible to rebuild a robust nuclear security dialogue of equals, rather than a donor-recipient relationship.