India today asserted that there will be no dilution in Liability Law while negotiating any civil nuclear agreement with the US. This came in response to media reports suggesting that an agreement may be signed with the US which might not be in tune with the Indian law.

External Affairs Minister Salman Khurshid told the media in New Delhi that while India needs energy, it will get it at its own terms and conditions.

Minister of State in the Prime Minister's Office V Narayanasamy said the law passed by Parliament will prevail and the government will go by it.

CPI(M) leader Prakash Karat said the reported efforts of the government to dilute the law to exempt US suppliers of reactors from the liability clause will be unlawful to bypass Parliament.

AIR correspondent reports, the US sees the Civil Liability for Nuclear Disaster Act as hurdle in selling nuclear reactors to India. The law allows Nuclear Power Corporation of India to seek compensation from suppliers of reactors in case of a nuclear accident.

Department of Atomic Energy , DAE, today asserted that any contract signed with an American company will be fully consistent with Indian law. It also said Nuclear Power Corporation of India Ltd (NPCIL), will enter into a preliminary contract with the American Company only with the approval of Atomic Energy Commission (AEC) and the government.