[en] The document reproduces the text of the Convention on Supplementary Compensation for Nuclear Damage which was adopted on 12 September 1997 by a Diplomatic Conference held between 8-12 September 1997 in Vienna

[en] The use of liability law to improve incentives for safety is supported by certain recent theoretical results. The main ideas and the key argumants are summarized. Basic weaknesses of the theory are discussed, namely: (1) the simple model of Calabresi does not generalize; (2) the more complex systems of J.P. Brown, P. Diamond, and J. Green require that courts possess a great deal of information and use it to set appropriate standards of due care; (3) in practice safety incentives also depend upon fear of criminal penalties and the sense of social responsibility. The questions whether and when liability rules can significantly affect incentives are addressed. It is concluded that the theory in its present state can hardly serve as a basis for altering liability rules

[en] The purpose of this study is to take an overview of large technological systems in society to ascertain the prevalence, if any, of situations that can lead to catastrophic effects where the resultant liabilities far exceed the insurances or assets subject to suit in court, thereby imposing de facto limits on liability recoveries. In part, interest in this topic is spurred by the continuing discussion and controversy over the Price-Anderson Act which requires operators of nuclear plants to waive certain defenses and which limits the combined liability of the operator and the government to an amount less than the maximum potential public cost of a major nuclear reactor accident. A variety of technological events could result in assignable liabilities up to $25 billion, or more, depending on the value of life. These postulated events include: (1) the crash of a large aircraft into a crowded sports facility (an estimated $20.3 billion liability); (2) an explosion and subsequent dispersion of a chemical (such as chlorine or LNG) into a population center from a large manufacturing, storage, or transport facility (estimated $25.5 billion liability); (3) a massive nuclear power plant accident and the subsequent dispersal of large quantities of radioactive material to a large downwind population center ($25 billion liability); (4) the collision of two ships, such as a large LNG tanker and a large passenger liner, resulting in the deaths of all passengers on board ($5.5 billion liability); and (5) collapse of a large building in an earthquake, known by the owners to be seismically deficient and no steps having been taken to warn occupants or to remedy the situation (major deficiencies). All these events are found to involve potential liability far exceeding the available resources, whether they be insurance, corporation assets, or government revenues

[en] The problems of the legal use of the results of dosimetry, for the solution of an action for instance, are considered first with respect to civil and occasionally administrative third part liability law making a distinction between common law and the special regime of civil liability for nuclear damage, secondly with respect to social security law

[en] Survey of the coming into being and the present state of the 'pool', a risk joint company, organized on a national level, of all insurance enterprises offering financial security on a proportional basis (DKVG = Deutsche Kernreaktor-Versicherungsgemeinschaft (German nuclear reactor cooperative insurance company)), and of cooperation with insurance pools of other western countries. (HP)

[en] Following ratification by the F.R. of Germany of the Paris Convention and Brussels Supplementary Convention and subsequent amendment of the Atomic Energy Act, the Federal Government also amended the Nuclear Financial Security Ordinance. This new Ordinance came into force on 1 March 1977 and cancelled the previous Ordinance of 10 November 1970. It deals with the type and extent of financial security, and contains provisions concerning the amount of financial security with respect to different activities. In particular, it takes account of the increase of the maximum amount of the operator's liability to DM 1,000 million, DM 500 million of which must be covered by financial security. For handling and transport, coverage is determined according to the licensed type, mass activity of the radioactive substances according to two technical Annexes to the Ordinance. The same applies to installations for production, processing or treatment of nuclear fuel. Finally, the licensing authority may increase or reduce the coverage where the standard coverage is inappropriate for the particular case concerned. (N.E.A.)

[en] This Decree by the Minister of Industry, Commerce and Crafts, in consultation with the Minister of Transport, approves the model certificate of financial security for the transport of nuclear materials. This type of certificate issued by nuclear insurers is intended to provide detailed information on the nature of the financial security for damage likely to be caused by the materials in the course of transport; it is required to supply the certificate according to the Paris Convention on Third Party Liability in the Field of Nuclear Energy, ratified by Italy in 1975. The standardised presentation of this certificate enables it to be used in international transport between countries parties to the Paris Convention as proof of the existence of the financial security. (N.E.A.)

[en] The Price-Anderson Act is viewed as meeting public needs in a unique and responsible way, reflecting the far-sightedness of those involved in the early development of nuclear power who saw the importance of building safety into each step of the program. An extension of the Act is advised as a first step in recognizing that many potential and real disasters (e.g., dam breaks, floods, etc.) are man-made rather than ''Acts of God''. Rather than abolish the Price-Anderson Act because it is unique, the case is made for extending it to cover these other situations. Provisions of the Act are examined in terms of the role of negligence in nuclear accidents, and the conclusion is reached that public concern for reactor safety should not be affected. Limited assets on the part of insurers and insurance pools have made government involvement important but not a real subsidy because of high premiums. Premiums in the new amendment are paid retroactively when there is an accident, which relieves the problem of anticipating what premiums may be needed in the future. This limits government liability and, combined with the waiver of defenses against liability, offers better protection for the public. Recommendations for allowing tort law to operate above the $560 million Price-Anderson limits are criticized, and a counter proposal is made for reassessing the figure at an appropriate limit and extending insurance to competitive industries

[en] The German Federal Ministry of the Interior has plans to reform nuclear liability law. The main point of these reforms is the complete abolition of an upper limit of liability; the coverage provisions by operators of nuclear power plants are to be raised to DM 1 billion and to be followed by unlimited liability of the government for which, however, the operator would have to pay: In a paper presented at the 6th German Atomic Energy Law Symposium at Muenster these concepts leading to the creation of liability law not yet achieved in any other country in the world were termed 'normalization' by members of the Ministry, for the present procedures reflected the social system of the Federal Republic of Germany. (orig.) 891 HP/orig. 892 MB

[en] Every 10 years Congress reviews, amends, and extends the Price-Anderson Act of 1957, which was designed to encourage the new nuclear industry by guaranteeing insurance beyond the level provided by private insurers. The Nuclear Regulatory Commission is recommending five congressional actions for the 1987 extension: reauthorization, replacement of the absolute insurance limitation with an annual limitation of liability, raising the retrospective premium per reactor per incident from $5 million to $10 million, raising the statute of limitations on claims for 20 to 30 years, and retaining current language dealing with extraordinary events. Two bills, H.R. 421 and H.R. 3277, were introduced with provisions that broaden the opportunity for victims compensation and eliminate the subsidy aspect. Hearings began in July, with reactions from the National Taxpayers Union and Nuclear insurance underwriters in conflict over the limitations on liability. DOE and DOE contractors urge continuation of the Price-Anderson limitation