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The need to strengthen financial support to technology transfer by the IAEA in compliance with article IV of the Treaty on the Non-Proliferation of Nuclear Weapons

Working paper submitted by Mexico

1. The Conference reaffirms that the Non-Proliferation Treaty fosters the development of the peaceful uses of nuclear energy by providing a framework of confidence within which those uses can take place.

2. The Conference acknowledges the importance of the work of the International Atomic Energy Agency (IAEA) as the principal agent for technology transfer among the international organizations referred to in article IV, paragraph 2, of the Treaty on the Non-Proliferation of Nuclear Weapons and welcomes the successful activities of the Agency's Technical Cooperation Programme.

3. The Conference notes that the objectives of the Agency as stated in article II of its Statute are "to accelerate and enlarge the contribution of atomic energy to peace, health and prosperity throughout the world" and to ensure that the assistance provided is not used "to further any military purpose".

4. The Conference recognizes the benefits of the peaceful applications of nuclear energy and nuclear techniques in the fields of, inter alia, food, agriculture, human health, industry, environment and water resource management and its contribution to achieving sustainable development in developing countries and for generally improving the well-being and the quality of life of the peoples of the world.

5. The Conference recognizes that the major instrument of IAEA for cooperation with developing countries is the Technical Cooperation Programme, which comprises national projects, regional projects and interregional projects. The cost of Technical Cooperation project components and their delivery is funded from voluntary contributions provided by member States. Most of their voluntary contributions are paid into the Technical Cooperation Fund, which accounted for over 92 per cent of the total resources available to the Technical Cooperation Programme in 1999.

6. The Conference further recognizes, however, that resources for this technology transfer, which had increased to meet the needs of developing member States in past decades, have levelled off in the last five years. Therefore, the Conference expresses its concern that at a time when IAEA membership has increased from 122 in 1995, to 130 in 1999, the available resources have not increased accordingly to meet the objectives mandated in article II of the Statute, thus preventing the Agency from fulfilling its undertakings. In this context, the Conference stresses its concern that during the last five years there has been a growing gap between the approved target figures for the Technical Cooperation Fund and the actual payments.

7. The Conference emphasizes that the Agency's resources for technical cooperation activities must be assured, predictable and sufficient in order to enable the effective and efficient planning of the programme activities. The Conference underlines the need to ensure that IAEA has the human and financial resources necessary in order to meet its responsibilities in the area of technical cooperation effectively. In doing so, the Conference recalls that article IV of the Treaty on the Non-Proliferation of Nuclear Weapons provides for the legal obligation of the Parties to facilitate the fullest possible exchange of equipment, materials, scientific and technological information and to cooperate in contributing to the further development of the peaceful uses of nuclear energy.

8. The Conference commends IAEA for its effort to enhance the effectiveness and efficiency of its Technical Cooperation Programme and to ensure the continuing relevance of the programme to the changing circumstances and needs of recipient member States.

9. The Conference welcomes the Medium Term Strategy adopted in 1999 by IAEA which establishes goals and specific objectives for the period from 2001 to 2005 related to the transfer of technology, in particular through the Technical Cooperation programmes. The enhancement of the contribution of nuclear technology towards meeting, in a sustainable manner, the needs and interests of member States and the development of a comprehensive and effective worldwide nuclear safety culture constitute significant goals relevant to the purposes set forth in article IV.

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