Iran appears to be headed -- once again -- toward conflict with the rest of the world over its nuclear programs. Tehran has rejected a European proposal that was designed to end concerns over its determination to develop facilities that would allow Iran to build a nuclear weapon -- an objective the Iranian government says it does not have. The International Atomic Energy Agency (IAEA), the world's nuclear watchdog, last week expressed serious concern over the program, but it has given the parties a few more weeks to find a solution. A great deal rides on that solution -- including perhaps the ultimate contours of any agreement with North Korea.

There are many questions surrounding Iran's nuclear energy program, not least of which is why a country so rich in energy resources even needs such an effort. Iranian officials have long maintained that Iran should diversify its energy supplies and that it has a right to do so as a member of the IAEA and the Nuclear Nonproliferation Treaty (NPT). Iran's credibility has been eroded by the steady drip of revelations that show Tehran has been less than forthcoming in its declarations to the IAEA, the discovery of undisclosed facilities, and programs and research seemingly at odds with a peaceful program. Nonetheless, the IAEA has only expressed concern over Iranian activities; it has yet to find Iran in violation of its NPT obligations.

The key concern is Iran's intent to develop the capacity to enrich and reprocess uranium. This capability is needed to ensure that Iran has fuel for its nuclear-power reactors -- natural uranium is not sufficient -- and to dispose of the waste generated by the production of energy. Enriched uranium can also be used for a bomb, however, and there is no way to ensure that the fuel developed for peaceful purposes is not diverted for weapons. There is also concern over the spent fuel; it too could be processed to provide materials to make a bomb.