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National Nuclear Regulator Amendment Bill Briefing 2024

The National Nuclear Regulator Amendment Bill aims to align with international best practices, expand regulatory functions, set aside funds for facility rehabilitation, establish a Dose Register, and introduce fines for non-compliance. The Bill's provisions include redefining regulatory scope, oversight over radiation sources, and exclusion of certain activities.

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National Nuclear Regulator Amendment Bill Briefing 2024

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  2. DEPARTMENT OF MINERAL RESOURCES & ENERGY BRIEFING THE SELECT COMMITTEE ON LAND REFORM, ENVIRONMENT, MINERAL RESOURCES AND ENERGY (NATIONAL COUNCIL OF PROVINCES) ON THE NATIONAL NUCLEAR REGULATOR AMENDMENT BILL [B25B – 2023] TUESDAY, 09 APRIL 2024

  3. PRESENTATION OUTLINE 1. BACKGROUND 2. PUBLIC HEARINGS UNDERTAKEN BY PARLIAMENT 3. OBJECTS OF THE BILL 4. PROVISIONS OF THE BILL

  4. 1. BACKGROUND  The National Nuclear Regulator Amendment Bill, 2023 [B2B – 2023] (the “Bill”), seeks to amend the National Nuclear Regulator Act, 1999 (Act No. 47 of 1999) (the “Act”).  The Act establishes the National Nuclear Regulator (Regulator) to regulate nuclear activities and provides for safety standards and regulatory practices for protection of persons, property and the environment against nuclear damage.  The Bill proposes to amend the Act to align the Act with the revised international regulatory best practices. South Africa is one of the founding members of the International Atomic Energy Agency (IAEA) and is a signatory to various international conventions governing nuclear safety which have been promulgated under the auspices of the IAEA.  On 24 May 2023 Cabinet approved the Bill for transmission to Parliament and the Bill was submitted to Parliament on 25 August 2023 by the Department of Mineral Resources and Energy (DMRE).

  5. 2. PUBLIC HEARINGS UNDERTAKEN BY PARLIAMENT  The DMRE presented the Bill to the Portfolio Committee on Mineral Resources and Energy (PCMRE) on 06 September 2023.  Parliament published the NNR Bill calling for public inputs on 17 September 2023 with the closing date for public inputs being 13 October 2023.  About comprising of Non-Profit Organizations, Trade Unions, Business Organizations, State Owned Entities and individuals. 29 written submissions were received from different stakeholders  The PCMRE conducted oral public hearings on the NNR Bill on 08 December 2023 and 8 participants made oral submissions. The Bill was supported by all stakeholders.  The National Assembly adopted the Bill on 26 March 2024.

  6. 3. OBJECTS OF THE BILL The main purpose of the Bill is to effect amendments to the Act in order to: Align the Act with current international regulatory best practices as recommended by the IAEA; Expand the scope of the Regulator’s powers to perform additional regulatory functions; Introduce requirements for operators to set aside money for the safe rehabilitation of land and decommissioning of nuclear facilities; Provide for the establishment of the National Dose Register; and Introduce administrative fines for non-compliances with the Act.

  7. 4. PROVISIONS OF THE BILL Clause 1 of the Bill seeks to amend section 1 of the Act, to provide for the insertions, amendments, and deletion of certain definitions in order to align with the IAEA international best practices.  Clause 2 of the Bill seeks to amend section 2 of the Act:  To amend section 2(1)(a), to expand the scope of the application of the Act to cover “site evaluation”, “manufacturing of component parts” and “extended shutdown”.  To delete section 2(1)(c). This provision is incorporated under section 2(1)(f).  To insert a new section 2(1)(c) to empower the Regulator to have oversight over unregulated radiation sources.  To insert a new section 2(1)(d), to extend the scope of the regulatory oversight of the Regulator to cover the decontamination, decommissioning and closure of any of the Republic’s National Defence Force facilities, equipment, machinery or scrap, including remediation or rehabilitation of land, which is designated for release for civilian use.  To insert a new section 2(1)(e), to extend the scope of the regulatory oversight of the Regulator to cover the exposure of aircrew to cosmic radiation.  To insert a new section 2(1)(f), to extend the scope of the regulatory oversight of the Regulator to cover any other activities involving radiation conducted in the Republic which are capable of causing nuclear damage. 

  8. 4. PROVISIONS OF THE BILL…  Clause 2 of the Bill seeks to amend section 2 of the Act (continued):  To amend section 2(2)(a) and (b) to exclude the application of the Act to exposure to cosmic radiation at ground level which distinguishes it from section 2(1)(e) which applies the Act to exposure of aircrew to cosmic radiation. The substitution of the word “action” with “activity” is to align the Bill with IAEA best practices in the usage of terms and concepts.  To delete section 2(2)(c) and (d), in light of the insertion of section 2(1)(d) which enables the Regulator to exercise regulatory oversight over unregulated radiation sources.  To insert a new section 2(2)(e) into the Act, to exclude naval vessels of a foreign state that are invited into the Republic through diplomatic channels, from the application of the Act.  To insert a new section 2(2)(f) into the Act, to exclude the application of the Act to nuclear security matters which are covered under the Nuclear Energy Act, 1999 sections 33, 34 and 35 (nuclear safeguards matters).  To amend section 2(3) to empower the board of the Regulator to make recommendations to the Minister the declaration of any facility to be a nuclear facility. The previous position was to do this “after consultation” with the Minister,

  9. 4. PROVISIONS OF THE BILL… Clause 3 of the Bill seeks to amend section 3 of the Act, to expressly clarify that the Regulator is a Schedule 3A entity in alignment to the Public Finance Management Act.  Clause 4 of the Bill seeks to amend section 5 of the Act:  To amend section 5(a), to provide for the protection of persons, property and the environment against the harmful effects of radiation associated with nuclear facilities and activities through the establishment of safety and related security standards and regulatory practices to align with AEA best practices in the usage of terms and concepts.  To amend section 5(b), for textual alignment with section 2(1) of the Act.  To delete section 5(c). This provision is covered in section 5(b) of the Act.  To amend section 5(d), (e), and (f), for textual alignment with AEA best practices in the usage of terms and concepts.  To insert a new section 5(g) into the Act, to empower the Regulator to disseminate scientific, technical, and regulatory information concerning the activities of the Regulator and the effects on the environment and on the health and safety of persons, property and the environment from facilities and activities using radiation and nuclear technology.  Clause 5 of the Bill seeks to amend section 6(1)(a) of the Act, to extend the scope to ensure the effective monitoring and control of radiation hazards in addition to nuclear hazards. 

  10. 4. PROVISIONS OF THE BILL…  Clause 6 of the Bill seeks to amend section 7 of the Act: To amend section 7(1)(a), to strengthen the Regulator by extending the statutory functions of the Regulator to refuse, suspend or revoke an authorisation.  To amend section 7(1)(b), to align the powers of the Regulator to acquire assets to be done in terms of the provisions of the PFMA.  To amend section 7(1)(c), (d), (e), (g), (h), (i), and (j). These are textual amendments to align the Bill.  To insert new sections 7(k) – (s) into the Act, to expand the functions of the Regulator for the purpose of achieving the objects of the Act. These functions include issuing directives, assessing the activities of applicants for authorisation, implement enforcement measures in case of non-compliance, maintaining a national dose register and maintain a national register of radiation sources, etc.  To amend section 7(2), to remove the period of 14 days within which the Minister was required to table the Annual Public report in Parliament.  To delete section 7(3) as it is superfluous. 

  11. 4. PROVISIONS OF THE BILL…  Clause 7 of the Bill seeks to amend section 8 of the Act:  To amend section 8(1) to replace “Board of Directors” with “Board”.  To amend section 8(4)(a) (iv) and (v) to replace “Department of Minerals” with “department responsible for Mineral Resources and Energy” and replace “Department of Environmental Affairs and Tourism” with “department responsible for the Environment”.  To insert a new section 8(4)(c), to make the Chief Financial Officer of the Regulator to become a member of the Board.  To amend section 8(7)(b) by substituting the “Minister’s appointed panel” with “a relevant portfolio committee of the National Assembly” as the body that must be responsible for shortlisting board candidates.  To amend section 8(7)(d) to replace “may” with “must” to make it obligatory for the Minister to appoint an alternate board members for representative board members.

  12. 4. PROVISIONS OF THE BILL…  Clause 7 of the Bill seeks to amend section 8 of the Act (continued):  To amend section 8(12)(a) and (b) to extend the period of holding office by the chairperson of the Board and directors from three to five years.  To delete section 8(13)(b). Since the terms of appointment of a replacement director will be addressed in the appointment letter, this provision is unnecessary.  To delete section 8(14). These were transitionary provisions which have been fulfilled.  To insert new sections 8(15) and (16), to designates the Board as the accounting authority of the Regulator and sets out the standards and qualifications which must be possessed by members of the Board.  Clause 8 of the Bill seeks to amend section 9 of the Act, to propose the substitution of the words ‘‘of board members’’ with ‘‘by director’’ since the content of this section refers to only “the director”.

  13. 4. PROVISIONS OF THE BILL… Clause 9 of the Bill seeks to amend section 12(b) of the Act, to substitute holder of “nuclear authorisation” with “authorisation holder”.  Clause 10 of the Bill seeks to amend section 14 of the Act, to provide for the delegation or assignment of powers or duties to also include a director or the chief executive officer.  Clause 11 of the Bill seeks to amend section 15 of the Act:  To amend section 15(1) to enable the Board to make appointment recommendations to the Minister.  To amend section 15(3) to align period of appointment of the Chief Executive Officer with that of the Board, from three to five years.  To delete section 15(5)(a), since it has been fulfilled and has become redundant.  To delete section 15(6)(c) , to provide certainty that issuance of authorizations remains the decision of the Board.  To amend sections 15(6)(d) and 15(9)(a) are consequential amendments to replace Reporting by Public Entities Act, 1992 with Public Finance Management Act.  To amend section 15(10), to replace “an employee” with “a staff member”.  To delete section 15(11). An acting Chief Executive Officer In the ordinary course of events will have all the powers incumbent upon that office. 

  14. 4. PROVISIONS OF THE BILL…  Clause 12 of the Bill seeks to amend section 16 of the Act, to propose the deletion of sections 16(3), (4) and (6) since these provisions were transitional matters that have been fulfilled. Clause 13 of the Bill seeks to amend section 17 of the Act:  To amend section 17(1)(b) , to expand the source funds of the Regulator to include fines levied.  To delete section 17(7). This is intended to align with the Public Finance Management Act and eliminate duplication.  Clause 14 of the Bill seeks to amend section 18, to subject the financial year of the Regulator with the Public Finance Management Act.  Clause 15 of the Bill seeks to amend the heading of Chapter 3 of the Act, to replace “Nuclear Authorisation with ‘‘Authorisations’’.  Clause 16 of the Bill seeks to amend section 20 of the Act, to provide for the expanded scope activities which cannot be undertaken without an authorisation.  Clause 17 of the Bill seeks to amend section 21 of the Act, to set out the application procedure for persons wishing to obtain authorisation in the form of a nuclear licence, nuclear site licence, nuclear vessel licence or regulatory evaluation of design for the activities restricted in section 20. 

  15. 4. PROVISIONS OF THE BILL… Clause 18 of the Bill seeks to amend section 22 of the Act, to set out the application process for persons wishing to obtain an authorisation in the form of a certificate of registration, exemption, authorisation to design or authorisation to manufacture for the activities restricted in section 20. The amendments in subsection (4) gives the chief executive officer the power to conduct an examination of the applicant and the insertion of subsection (5) provides for the validity period for an authorisation and that such authorisation may be renewed.  Clause 19 of the Bill seeks to amend section 23 of the Act, to provide for a textual alignment in line with the definition of authorisation which refers to all different forms of authorisations.  Clause 20 of the Bill seeks to amend section 24 of the Act, are textual amendments to provide context to align with the Bill.  Clause 21 of the Bill seeks to amend section 25 of the Act, to provide for conditions under which an authorisation may be transferable.  Clause 22 of the Bill seeks to amend section 26 of the Act, to extend and clarify the responsibilities of holders of authorisation.  Clause 23 of the Bill seeks to insert a new section 26A of the Act, to provide for authorisation holders to set aside financial resources for rehabilitation, remediation, or decommissioning activities in line with IAEA best practices. 

  16. 4. PROVISIONS OF THE BILL… Clause 24 of the Bill seeks to amend section 27 of the Act, to clarify circumstances under which an authorisation may be suspended, modified, revoked or surrendered. The provision expands the powers of the Regulator to suspend or modify an authorisation and sets out the conditions under which this can happen.  Clause 25 of the Bill seeks to insert a new section 28(c) of the Act, to expand the scope for fees that can be determined to include any work the Regulator may be required to undertake pursuant to the receipt of a notification in terms of sections 20(1), (2) and (3).  Clause 26 of the Bill seeks to amend section 30 of the Act, to provide for a textual alignment to replace installation with facilities and to remove the reference to installation. The provision further inserts subsection (3) which provides for when the liability will end in relation to strict liability of a holder of nuclear installation licence for nuclear damage.  Clause 27 of the Bill seeks to amend section 32 of the Act is a textual amendments to align with the Bill on terminologies.  Clause 28 of the Bill seeks to amend section 33 of the Act is a textual amendments to align with the Bill on terminologies.  Clause 29 of the Bill seeks to amend section 34 of the Act, to provide a relief for claimants who suffered damage at an earlier period and enables them amend the claim to take into account any aggravation of the damage, even after the expiration of the prescription period, provided that a final judgment has not been entered. 

  17. 4. PROVISIONS OF THE BILL…  Clause 30 of the Bill seeks to amend section 35 of the Act, to align with previous textual amendments.  Clause 31 of the Bill seeks to amend section 36 of the Act, to introduce the concept of nuclear security in relation to safety standards and regulatory practices.  Clause 32 of the Bill seeks to amend section 37 of the Act, to align with previous textual amendments. Further a new insertion of section 37(6) obligates the Regulator to act as an adviser to emergency response organisations and Government organs, other than authorisation holders in terms of the Act, in case of a nuclear or radiological emergency.  Clause 33 of the Bill seeks to amend section 38 of the Act, to align with previous textual amendments and to insert new section 38(5) – (12) to extend the role of the Regulator in emergency planning, to emergency preparedness and response. The insertions set out the factors to be taken into account for the preparations of emergency plan, coordination amongst the relevant organisations, the requirement for several role players including Government.  Clause 34 of the Bill seeks to amend section 39 of the Act, to align with previous textual amendments.

  18. 4. PROVISIONS OF THE BILL…  Clause 35 of the Bill seeks to amend section 40 of the Act, to expand the regulatory scope of the Regulator to include radiation accidents and incidents.  Clause 36 of the Bill seeks to amend section 41 of the Act:  To align with previous textual amendments.  To insert new section 41(4) (e) (iii), (f) and (iv), to extend the powers of inspectors  To insert new section 41(6) to provide for the circumstances under which a decision of an inspector may cease to be valid.  Clause 37 of the Bill seeks to amend section 47 of the Act, to insert a new subsection (5) to empower the Minister, on the recommendation of the Board and the Minister of Finance to prescribe a schedule of administrative fines to be imposed by the Regulator to licence holders.  Clause 38 of the Bill seeks to amend section 48 of the Act, to align with previous textual amendments.

  19. 4. PROVISIONS OF THE BILL…  Clause 39 of the Bill seeks to amend section 49 of the Act:  To amend section 49(1) to include all the sections in the Act under recommendations can be made to the Minister.  To amend section 49(2) to clarify that, in the event the Minister rejects a recommendation and has endeavoured to resolve it, the Minister will take a final decision after consultations with the necessary parties.  Clause 40 of the Bill seeks to amend section 51 of the Act, to align with previous textual amendments.  Clause 41 of the Bill seeks to amend section 52 of the Act, to prescribe a process to be followed if a person has failed to comply with an administrative fine prescribed in section 47.  Clause 42 of the Bill provides for the short title and commencement of the Act.

  20. Thank You

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