Despite a
satisfactory outcome from the 2000 NPT Review Conference, there are still some
major challenges to be addressed in making further progress towards the
reduction and eventual elimination of weapons of mass destruction. While neither India nor Pakistan has
conducted full scale nuclear tests since 1998, neither shows any signs of
winding back its nuclear weapons programs or signing the CTBT in the near
future. The security of fissile
material in Russia continues to be the focus of international programs. Concluding a protocol to strengthen the
BWC,
and unlocking the work program of the Conference on Disarmament (CD) to enable
commencement of negotiations on the FMCT, are other areas requiring major
effort.

Generally, States have been slow to
conclude Additional Protocols, and the hope that the Protocol would have become
the safeguards norm by the 2000 NPT Review Conference was not realised. As at 30 June 2000, there were only 11
Protocols in effect, though a further 44 Protocols had been signed or approved
by the IAEA Board of Governors, and ratification of these can be expected
during the year as the necessary legislation is put in place. However, this leaves 23 non-nuclear-weapon States Party to the NPT that have nuclear
activities but as yet have made no commitment to conclude Additional
Protocols. A major priority for 2000-01
will be continuing encouragement for other States to conclude their Protocols
as quickly as possible, so that strengthened safeguards measures can be brought
into general application without delay.

In the nuclear non-proliferation/safeguards
area, ASNO will continue to work closely with the IAEA and our counterpart
organisations in the further development of strengthened and integrated
safeguards. ASNO expects to commence
significant new projects under our safeguards R&D program in support of the
IAEA, in collaboration with the US. ASNO will also be closely following developments in nuclear technology,
with regard to their possible non-proliferation implications.

Notwithstanding difficulties in the
Conference for Disarmament, ASNO will continue to develop technical proposals
in support of the FMCT, under which the production of fissile material for
nuclear weapons would be prohibited. ASNO has established itself internationally as a leader in this area.
The FMCT will be complementary to the
CTBTtogether they would place a quantitative cap on the nuclear material
available for weapons and a qualitative cap on nuclear weapon development.

The initial phase of the international
review of the CPPNM is likely to be concluded, and ASNO expects there will be
follow-up work to progress this review to a more formal stage, possibly leading
to a revision of the Convention.

ASNO is engaged in informal discussions
with regional counterparts on possibilities for increasing cooperation on
safeguards matters, and hopes to progress this work during the year.

Work on the operation of Australias bilateral safeguards
agreements is ongoing. In the coming
year ASNO will participate in nuclear policy discussions with Japan, the ROK
and Euratom. Also there will be
technical discussions with ASNOs counterparts on holdings of AONM and on international safeguards
issues. Of relevance both to ASNO's
bilateral and domestic activities, it is expected that arrangements for the
transfer of Silex laser enrichment technology to the US will come into
operation, and a determination is likely to be made that Silex is associated
technology under the Safeguards Act.

ASNO will be working closely with ANSTO on
physical protection aspects of the replacement research reactor project, and
will be collaborating with DFAT on international matters associated with this
project.

As Australias national authority for the CWC, ASNO will
collect national information for, and make declarations to, the OPCW, while
facilitating OPCW inspections of relevant facilities in Australia. Similarly, we will strive to strengthen
the CWC verification regime by, inter alia, helping to
resolve outstanding technical
implementation issues, particularly those affecting industry. In conjunction with the OPCW and the Royal
Australian Chemical Institute, ASNO will co-host, in May 2001, a regional
conference designed to enhance knowledge of the CWC among government and
non-government organisations and to promote the peaceful application of
chemistry.

Pending the conclusion of negotiations for
a protocol to strengthen the BWC (with its attendant national responsibilities
and obligations) and formal establishment of a BWC national authority, ASNO
will provide technical support to DFAT for the negotiations, which could be
concluded in 2000-01.

ASNO will work to ensure that Australias CTBT obligations are
met, primarily by coordinating the establishment and operation of Australian
stations in the Treatys International Monitoring System. ASNO will also make a significant contribution to development of
procedures for the conduct on an On-site Inspection under the CTBT.

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