further matter which is presently under consideration. It concerns nuclear matter lost, stolen, jettisoned or abandoned. This is dealt with in Article 8 (b) of the Paris Convention and sections 15(2), 16(3) (c) and 19 (1) (c) (ii). The problem which has arisen is essentially a practical one, but is mentioned now for completeness.
49. It is summed up in the statement in the Department's Notes on the Nuclear Installations (Amendment) Act 1965 section 4(6) which is now section 16 (3) (c). It says:
"Under the Act the first ten years of the limitation period, or whatever shorter period remains after the occurrence within the twenty year period provided for by section 15(2)_7, will be covered by insurance or will be the direct liability of the Atomic Energy Authority or Government Department; later claims will be made to the appropriate Minister and met out of funds provided by such means as Parliament may determine." A copy of the whole note is enclosed for reference (Enclosure 7).
50. The problem is that it seems that insurance cover may not in fact be available. It is limited to incidents which occur in the period of insurance cover (to be distinguished from a "cover period" defined by section 19 (2)). This means that, particularly in the case of transport, where matter is lost etc during the period of insurance cover the occurrence may well not happen until after that period has expired. The "operator", meanwhile, remains liable under section 7 in respect of a current "cover period" for which he is required by section 19(1) to have financial security available. In practice, that
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