Question:

The India-US Nuclear Deal is called 123 Agreement. What does 123 denote?

Updated On: Aug 20, 2025
  • The deal governed by the clause number 123 of International Atomic Energy Agency, in the context of peaceful use of atomic energy.
  • This number denotes a cluster of clauses of Hyde Act of US Government
  • This is the simple number related to chain reaction for creation of atomic energy.
  • Section 123 of the US Atomic Energy Act.
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The Correct Option is D

Solution and Explanation

The India-US Nuclear Deal, commonly referred to as the 123 Agreement, is officially known as such because it is governed by Section 123 of the United States Atomic Energy Act of 1954. Here is a detailed breakdown:
  • Context: This section is a condition in the Atomic Energy Act that outlines how the United States can engage in civilian nuclear cooperation with other countries. It ensures that any cooperation abroad meets certain safety and non-proliferation standards.
  • Historical Background: The U.S. Atomic Energy Act of 1954 was amended by the 123 Agreement to allow the U.S. to assist other countries in nuclear energy research and development, provided they adhere to specific legislative frameworks.
  • Significance: The 123 Agreement between India and the U.S. was strategic and noteworthy because it allowed India to receive technology and resources for its civilian nuclear energy program, despite not being a signatory to the Nuclear Non-Proliferation Treaty (NPT). This agreement was pivotal in strengthening U.S.-India relations.
  • Conclusion: Thus, the "123" denotes the legal framework under Section 123 of the U.S. Atomic Energy Act, which facilitates peaceful nuclear cooperation, ensuring both parties comply with non-proliferation measures.
Correct Answer: Section 123 of the US Atomic Energy Act.
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