TEPCO must regain public trust to ensure Fukushima’s steady recovery — The Yomiuri Shimbun

” To ensure the steady recovery of Fukushima, Tokyo Electric Power Company Holdings, Inc.’s revised business plan must not be allowed to end up as pie in the sky.

TEPCO has compiled a new business plan. The utility has strengthened its steps to improve profitability to raise funds for costs including decommissioning reactors and compensation related to the March 2011 accident at its Fukushima No. 1 nuclear power plant. This is the second time the plan has been revised.

The total cost of cleaning up the nuclear accident has ballooned from ¥11 trillion to ¥21.5 trillion. TEPCO will shoulder ¥16 trillion of this amount over about 30 years. The ¥300 billion TEPCO spent in fiscal 2016 on compensation and reactor decommissioning costs will be increased to ¥500 billion annually.

TEPCO must boost its “earning power” to secure sufficient capital to meet those costs. Restarting reactors at TEPCO’s Kashiwazaki-Kariwa nuclear power plant in Niigata Prefecture will be essential for this. Each reactor brought back online will raise TEPCO’s earnings by ¥40 billion to ¥90 billion per year.

TEPCO is working to gradually restart all seven reactors at the Kashiwazaki-Kariwa plant from fiscal 2019. However, as things stand, high hurdles remain in its way. This is because even if a reactor passes safety screenings conducted by the Nuclear Regulation Authority, local government authorities also must agree to the reactors’ restart.

The recent revelation that TEPCO did not disclose data about the insufficient earthquake-resistance of the main quake-resistant building at the plant has further heightened local distrust of the utility. Niigata Gov. Ryuichi Yoneyama is not budging from his cautious stance because he believes safety measures at the plant are insufficient. “At the moment, I can’t agree to the restart” of the reactors, Yoneyama said.

An expert panel of the Economy, Trade and Industry Ministry also had some stinging criticism for TEPCO, saying it “has not earned enough trust from the public.”

Transparency vital

On June 23, TEPCO will switch to a new leadership lineup when Hitachi, Ltd. Honorary Chairman Takashi Kawamura becomes TEPCO’s chairman. Kawamura will need to work hard to regain trust in TEPCO so restarting its reactors can become a reality.

Strengthening cooperation with other electric utilities and launching new operations, such as gas retailing, also will be effective in solidifying TEPCO’s revenue base. Another issue that needs to be addressed is the overseas development of its thermal power business, in which TEPCO is pursuing integration with Chubu Electric Power Co.

The new plan stipulates TEPCO will “prepare a basic framework for cooperation with other companies” by around fiscal 2020, keeping in mind the Higashidori nuclear plant TEPCO is constructing in Aomori Prefecture.

TEPCO is considering working with Tohoku Electric Power Co., which has a nuclear power plant in that region. If this tie-up comes to fruition, it will be useful for establishing a stable supply of electricity. TEPCO’s intentions on this issue are understandable.

Other utilities that could become partners with TEPCO during a realignment in the industry hold deep-rooted concerns that cooperating with TEPCO could result in the costs of dealing with the nuclear accident being shunted on to them. TEPCO must lay the groundwork to dispel such concerns.

TEPCO and the government will, as soon as this autumn, establish a forum at which they can listen to the opinions of other electric utilities on steps to reorganize nuclear power and electricity transmission businesses.

Profits will be distributed based on the capital contribution ratio in a joint venture. Other companies should not be forced to shoulder the costs of the Fukushima nuclear accident. Highly transparent rules such as these will need to be drawn up. ”

by The Yomiuri Shimbun

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Fukushima disaster sways former advocate of nuclear power — Bloomberg

” The man blocking the world’s largest nuclear plant says he grew opposed to atomic energy the same way some people fall in love.

Previously an advocate for nuclear power in Japan, Ryuichi Yoneyama campaigned against the restart of the facility as part of his successful gubernatorial race last year in Niigata. He attributes his political U-turn to the “unresolved” 2011 Fukushima Dai-Ichi disaster and the lack of preparedness at the larger facility in his own prefecture, both owned by Tokyo Electric Power Co. Holdings Inc.

“Changing my opinion wasn’t an instant realization,” Yoneyama said in an interview. “It was gradual. As people say, you don’t know the exact moment you’ve fallen in love.”

Yoneyama won’t support the restart of the Kashiwazaki-Kariwa plant in Niigata until an investigation is complete into the chain of events that resulted in the triple meltdown at Fukushima, which he plans to visit Wednesday. While utilities don’t need approval of local authorities to restart plants, Japanese power companies are tradition-bound not to move ahead until they get their consent.

Local Opposition

Yoneyama, a 49-year-old doctor and native of Niigata, is one of the highest-profile local opponents pitted against a political establishment led by Prime Minister Shinzo Abe, which sees nuclear power as crucial for the country’s long-term energy security and environmental goals. Regulations and public opinion are keeping nearly all of Japan’s atomic stations shut almost six years after the accident at Fukushima, where the search has barely begun for fuel that burned through to the bottom of the reactors.

“If the local governor remains firmly opposed to the restart, it will be very difficult for the reactors to come back online,” said James Taverner, an analyst at IHS Markit Ltd. “In addition to the local government, building the support and trust of local residents is key.”

A Kyodo News poll on the day of Yoneyama’s October election showed about 64 percent of Niigata voters opposed the restart of Kashiwazaki-Kariwa, known popularly as KK. The restart of the facility was one of the key issues in the race to replace Governor Hirohiko Izumida, who was famous for his tough stance on Tokyo Electric. He unexpectedly announced in August that he wouldn’t seek a fourth term.

To the residents of the prefecture, Yoneyama was the candidate who would make nuclear safety a priority, while his main opponent gave off the vibe that he was a member of the nuclear restarts camp, the former governor said by e-mail.

Switching Sides

In last year’s gubernatorial race for the southern prefecture of Kagoshima, where Kyushu Electric Power Co. operates the Sendai nuclear plant, a three-term incumbent was defeated by an opponent campaigning to temporarily close the reactors. A district court last year barred Kansai Electric Power Co. from running two reactors at its Takahama station in western Japan only weeks after they’d been turned back on.

Yoneyama supported bringing back online Japan’s reactors during his unsuccessful bid in 2012 for a seat in Japan’s lower house. The country was being forced to spend more on fossil fuel imports after the disaster, so restarting the plants was needed to help the economy recover, he said at the time.

Though Yoneyama’s position switch helped secure his first electoral victory after four failed campaigns for the country’s legislature, nuclear opponents see him driven by more than political opportunism.

“I had my reservations about Yoneyama,” said Takehiko Igarashi, an official at the Niigata division of the anti-nuclear group Nakusou Genpatsu. “But after he was vetted and endorsed by the Japanese Communist Party and other smaller parties that have an anti-nuclear slant, I knew that I could trust him.”

evTokyo Electric and Abe’s government see restarting KK as one way for Japan’s biggest utility to boost profits and help manage its nearly 16 trillion yen ($139 billion) share of the Fukushima cleanup. Resuming reactors No. 6 and No. 7 will boost annual profits by as much as 240 billion, the utility has said.

The economic argument, however, is beginning to hold less sway, with Yoneyama saying the benefits to the local economy are ‘overstated.’ While the prefecture risks missing out on 1.1 billion yen a year in government support without the restart, that represents a small slice of the prefecture’s budget, which tops 1 trillion yen, according to Yoneyama.

Abe, a strong backer of atomic power, leads a government aiming for nuclear to account for as much as 22 percent of Japan’s energy mix by 2030, compared with a little more than 1 percent now.

While restart opponents like Yoneyama demand the government guarantee the safety of the reactors, they’ve also criticized evacuation and emergency response plans as inadequate.

In his first meeting with Tokyo Electric executives since taking office, Yoneyama earlier this month told Chairman Fumio Sudo and President Naomi Hirose that he won’t support KK’s restart until a new evacuation plan is drawn up using the results of a Fukushima investigation. Tepco will fully cooperate with the probe and stay in communication with the governor, the company said in response to a request for comment.
“Once I realized that the Fukushima disaster couldn’t be easily resolved, of course my opinion changed,” Yoneyama said. “If another accident occurs, overseas tourism will become a distant dream. Even Japanese may flee the country.” ”

by Stephen Stapczynski and Emi Urabe

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Japan governor tells Tepco bosses nuclear plant to stay shut — Yahoo! News

” NIIGATA, Japan (Reuters) – The governor of Japan’s Niigata prefecture reiterated his opposition to the restart of Tokyo Electric Power’s (Tepco) Kashiwazaki-Kariwa nuclear plant, adding it may take a few years to review the pre-conditions for restart.

During a meeting on Thursday with Tepco Chairman Fumio Sudo and President Naomi Hirose, Governor Ryuichi Yoneyama, who was elected in October on his anti-nuclear platform, repeated his pledge to keep the plant shut unless a fuller explanation of the 2011 Fukushima nuclear disaster was provided.

He also said that evacuation plans for people in Niigata in case of a nuclear accident and the health impacts that the Fukushima accident have had would need to be reviewed before discussing the nuclear plant’s restart.

The restart of the Kashiwazaki-Kariwa plant, the world’s largest, is key to helping Tepco rebound from the aftermath of the 2011 disaster at its Fukushima-Daiichi plant.

The Japanese government last month nearly doubled its projections for costs related to the disaster to 21.5 trillion yen ($185 billion), increasing the pressure on Tepco to step up reform and improve its performance.

Many of Japan’s reactors are still going through a relicensing process by a new regulator set up after the Fukushima disaster, the world’s worst since Chernobyl in 1986.

Shutting the Kashiwazaki-Kariwa plant for additional years would mean that the company would have to continue relying heavily on fossil fuel-fired power generation such as natural gas.

Governors do not have the legal authority to prevent restarts but their agreement is usually required before a plant can resume operations.

Three reactors at Tepco’s Fukushima-Daiichi nuclear plant melted down after a magnitude 9 earthquake struck Japan in March 2011, triggering a tsunami that devastated a swathe of Japan’s northeastern coastline and killed more than 15,000 people. “

by Kentaro Hamada, Reuters

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A Maverick former Japanese prime minister goes antinuclear — The New York Times

” TOKYO — William Zeller, a petty officer second class in the United States Navy, was one of hundreds of sailors who rushed to provide assistance to Japan after a giant earthquake and tsunami set off a triple meltdown at the Fukushima Daiichi nuclear power plant in 2011. Not long after returning home, he began to feel sick.

Today, he has nerve damage and abnormal bone growths, and blames exposure to radiation during the humanitarian operation conducted by crew members of the aircraft carrier Ronald Reagan. Neither his doctors nor the United States government has endorsed his claim or those of about 400 other sailors who attribute ailments including leukemia and thyroid disease to Fukushima and are suing Tokyo Electric, the operator of the plant.

But one prominent figure is supporting the American sailors: Junichiro Koizumi, the former prime minister of Japan.

Mr. Koizumi, 74, visited a group of the sailors, including Petty Officer Zeller, in San Diego in May, breaking down in tears at a news conference. Over the past several months, he has barnstormed Japan to raise money to help defray some of their medical costs.

The unusual campaign is just the latest example of Mr. Koizumi’s transformation in retirement into Japan’s most outspoken opponent of nuclear power. Though he supported nuclear power when he served as prime minister from 2001 to 2006, he is now dead set against it and calling for the permanent shutdown of all 54 of Japan’s nuclear reactors, which were taken offline after the Fukushima disaster.

“I want to work hard toward my goal that there will be zero nuclear power generation,” Mr. Koizumi said in an interview in a Tokyo conference room.

The reversal means going up against his old colleagues in the governing Liberal Democratic Party as well as Prime Minister Shinzo Abe, who are pushing to get Japan, once dependent for about a third of its energy on nuclear plants, back into the nuclear power business.

That Mr. Koizumi would take a contrarian view is perhaps not surprising. He was once known as “the Destroyer” because he tangled with his own party to push through difficult policy proposals like privatization of the national postal service.

Mr. Koizumi first declared his about-face on nuclear power three years ago, calling for Japan to switch to renewable sources of energy like solar power and arguing that “there is nothing more costly than nuclear power.”

After spending the first few years of his retirement out of the public eye, in recent months Mr. Koizumi has become much more vocal about his shift, saying he was moved to do more by the emotional appeal of the sailors he met in San Diego.

Scientists are divided about whether radiation exposure contributed to the sailors’ illnesses. The Defense Department, in a report commissioned by Congress, concluded that it was “implausible” that the service members’ ailments were related to radiation exposure from Fukushima.

To many political observers, Mr. Koizumi’s cause in retirement is in keeping with his unorthodox approach in office, when he captivated Japanese and international audiences with his blunt talk, opposition to the entrenched bureaucracy and passion for Elvis Presley.

Some wonder how much traction he can get with his antinuclear campaign, given the Abe administration’s determination to restart the atomic plants and the Liberal Democratic Party’s commanding majority in Parliament.

Two reactors are already back online; to meet Mr. Abe’s goal of producing one-fifth of the country’s electricity from nuclear power within the next 15 years, about 30 of the existing 43 reactors would need to restart. (Eleven reactors have been permanently decommissioned.)

A year after the Fukushima disaster, antinuclear fervor led tens of thousands of demonstrators to take to the streets of Tokyo near the prime minister’s residence to register their anger at the government’s decision to restart the Ohi power station in western Japan. Public activism has dissipated since then, though polls consistently show that about 60 percent of Japanese voters oppose restarting the plants.

“The average Japanese is not that interested in issues of energy,” said Daniel P. Aldrich, professor of political science at Northeastern University. “They are antinuclear, but they are not willing to vote the L.D.P. out of office because of its pronuclear stance.”

Sustained political protest is rare in Japan, but some analysts say that does not mean the antinuclear movement is doomed to wither.

“People have to carry on with their lives, so only so much direct action can take place,” said Koichi Nakano, a political scientist at Sophia University in Tokyo.

Antinuclear activism “may look dormant from appearances, but it’s there, like magma,” he said. “It’s still brewing, and the next trigger might be another big protest or political change.”

Some recent signs suggest the movement has gone local. In October, Ryuichi Yoneyama was elected governor in Niigata, the prefecture in central Japan that is home to the world’s largest nuclear plant, after campaigning on a promise to fight efforts by Tokyo Electric to restart reactors there.

Like Mr. Koizumi, he is an example of how the antinuclear movement has blurred political allegiances in Japan. Before running for governor, Mr. Yoneyama had run as a Liberal Democratic candidate for Parliament.

Mr. Koizumi, a conservative and former leader of the Liberal Democrats, may have led the way.

“Originally, the nuclear issue was a point of dispute between conservatives and liberals,” said Yuichi Kaido, a lawyer and leading antinuclear activist. “But after Mr. Koizumi showed up and said he opposed nuclear power, other conservatives realized they could be against nuclear power.”

Since he visited the sailors in San Diego, Mr. Koizumi has traveled around Japan in hopes of raising about $1 million for a foundation he established with another former prime minister, Morihiro Hosokawa, an independent who has previously been backed by the opposition Democratic Party, to help pay some of the sailors’ medical costs.

Mr. Koizumi is not involved in the sailors’ lawsuit, now before the United States Court of Appeals for the Ninth Circuit in San Francisco. Tokyo Electric is working to have the case moved to Japan.

Aimee L. Tsujimoto, a Japanese-American freelance journalist, and her husband, Brian Victoria, an American Buddhist priest now living in Kyoto, introduced Mr. Koizumi to the plaintiffs. Petty Officer Zeller, who said he took painkillers and had tried acupuncture and lymph node massages to treat his conditions, said the meeting with Mr. Koizumi was the first time that someone in power had listened to him.

“This is a man where I saw emotion in his face that I have not seen from my own doctors or staff that I work with, or from my own personal government,” said Petty Officer Zeller, who works at the Naval Medical Center in San Diego. “Nobody has put the amount of attention that I saw in his eyes listening to each word, not just from me, but from the other sailors who have gone through such severe things healthwise.”

Mr. Koizumi, whose signature leonine hairstyle has gone white since his retirement, said that after meeting the sailors in San Diego, he had become convinced of a connection between their health problems and the radiation exposure.

“These sailors are supposed to be very healthy,” he said. “It’s not a normal situation. It is unbelievable that just in four or five years that these healthy sailors would become so sick.”

“I think that both the U.S. and Japanese government have something to hide,” he added.

Many engineers, who argue that Japan needs to reboot its nuclear power network to lower carbon emissions and reduce the country’s dependence on foreign fossil fuels, say Mr. Koizumi’s position is not based on science.

“He is a very dramatic person,” said Takao Kashiwagi, a professor at the International Research Center for Advanced Energy Systems for Sustainability at the Tokyo Institute of Technology. “He does not have so much basic knowledge about nuclear power, only feelings.”

That emotion is evident when Mr. Koizumi speaks about the sailors. Wearing a pale blue gabardine jacket despite Japan’s black-and-gray suit culture, he choked up as he recounted how they had told him that they loved Japan despite what they had gone through since leaving.

“They gave their utmost efforts to help the Japanese people,” he said, pausing to take a deep breath as tears filled his eyes. “I am no longer in government, but I couldn’t just let nothing be done.” “

by Motoko Rich

contributions from Makiko Inoue

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Residents who fled Fukushima meltdown fear return to ghost town — Bloomberg

” Weed-engulfed buildings and shuttered businesses paint an eerie picture of a coastal Japanese town abandoned after a monstrous earthquake and tsunami triggered meltdowns in the Fukushima nuclear plant.

Namie, one of the communities hardest hit by the 2011 disaster, had 21,000 residents before they fled radiation spewing from the reactors eight kilometers (five miles) away. Prime Minister Shinzo Abe is now looking to repopulate the town as early as next year, a symbolic step toward recovery that might also help soften opposition to his government’s plan to restart Japan’s mostly mothballed nuclear industry.

“The national and local governments are trying to send us back,” said Yasuo Fujita, 64, a sushi chef who lives alongside hundreds of other Fukushima evacuees in a modern high rise in Tokyo more than 200 kilometers away. “We do want to return — we were born and raised there. But can we make a living? Can we live next to the radioactive waste?”

So far few evacuees are making plans to go back even as clean-up costs top $30 billion and Abe’s government restores infrastructure. That reluctance mirrors a national skepticism toward nuclear power that threatens to erode the prime minister’s positive approval ratings, particularly in areas with atomic reactors.

Mothballed Reactors

Officials in his government are calling for nuclear power to account for as much as 22 percent of Japan’s electricity supply by 2030, nearly the same percentage as before the Fukushima meltdown, in part to help meet climate goals. Only two of the nation’s 42 operable nuclear plants are currently running, leaving the country even more heavily reliant on imports of oil and gas.

A poll published by the Asahi newspaper this week found 57 percent of respondents were opposed to restarting nuclear reactors, compared with 29 percent in favor. One of Abe’s ministers lost his seat in Fukushima in an upper house election in July, and the government suffered another setback when an anti-nuclear candidate won Sunday’s election for governor of Niigata prefecture, home to the world’s largest nuclear plant.

Some 726 square kilometers — roughly the size of New York City — of Fukushima prefecture remain under evacuation orders, divided by level of radioactivity. While the government is looking to reopen part of Namie next year, most of the town is designated as “difficult to return to” and won’t be ready for people to move back until at least 2022.

“We must make the area attractive, so that people want to return there,” Reconstruction Minister Masahiro Imamura said this week. “I want to do everything I can to make it easy to go back.”

Workers are cleaning by scraping up soil, moss and leaves from contaminated surfaces and sealing them in containers. Still, the operation has skipped most of the prefecture’s hilly areas, leading to fears that rain will simply wash more contamination down into residential zones. Decommissioning of the stricken plant itself is set to take as many as 40 years.

The bill for cleaning up the environment is ballooning, with the government estimating the cost through March 2018 at $3.3 trillion yen ($32 billion). That’s weighing on Tokyo Electric Power Co. Holdings Inc., which is already struggling to avoid default over decommissioning costs.

“They are spending money in the name of returning things to how they were” without having had a proper debate on whether this is actually possible, said Yutaka Okada, senior researcher at Mizuho Research Institute in Tokyo. “Was it really right to spend this enormous amount of money?”

Namie officials, operating from temporary premises 100 kilometers away in the city of Nihonmatsu, are plowing ahead with preparations. A middle school in the town is scheduled for remodeling to add facilities for elementary pupils — even though they expect only about 20 children to attend. Similar efforts in nearby communities have had limited success.

Only 18 percent of former Namie residents surveyed by the government last year said they wanted to return, compared with 48 percent who did not. The remainder were undecided.

Staying Put

Fujita, the sushi chef, has joined the ranks of those starting afresh elsewhere. He opened a seafood restaurant near his temporary home last year, and is buying an apartment in the area. In a sign the move will be permanent, he even plans to squeeze the Buddhist altar commemorating his Fukushima ancestors into his Tokyo home.

For those that do return, finding work will be a headache in a town that was heavily dependent on the plant for jobs and money.

Haruka Hoshi, 27, was working inside the nuclear facility when the earthquake struck, and she fled with just her handbag. Months later she married another former employee at the plant, and they built a house down the coast in the city of Iwaki, where they live with their three-year-old son. They have no plans to return.

“It would be difficult to recreate the life we had before,” she said. “The government wants to show it’s achieved something, to say: ‘Fukushima’s all right, there was a terrible incident, but people are able to return after five years.’ That goal doesn’t correspond with the reality.” ”

by Isabel Reynolds and Emi Nobuhiro

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Prospect of Niigata nuke plant delay threatens Tepco’s Fukushima plans — Nikkei Asian Review

” TOKYO — The election of an anti-nuclear candidate as governor of Japan’s Niigata Prefecture could hit the finances of not only Tokyo Electric Power Co. Holdings but the public as well, as the utility is relying on a reactor restart in Niigata to cover Fukushima cleanup costs.

The central government reached an arrangement in 2014 to extend up to 9 trillion yen ($86.6 billion currently) in interest-free loans to pay for dealing with the fallout of the 2011 Fukushima Daiichi nuclear plant disaster. Of this, 5.4 trillion yen is to go toward compensating those affected, with Tepco and other power companies, including Kansai Electric Power and Chubu Electric Power, to repay the loans. Another 2.5 trillion yen is earmarked for decontamination work, with the costs to be recouped through the sale of Tepco shares held by the government.

But more than 6 trillion yen in compensation has been paid out so far, and cost overruns on decontamination are seen as all but certain. Decommissioning work at Tepco’s Fukushima plant, such as extracting fuel, falls outside the 9 trillion yen framework.

The 2 trillion yen Tepco had aimed to secure on its own to pay for scrapping the plant will be nowhere near enough. The utility and Japan’s industry ministry had counted on bringing the Kashiwazaki-Kariwa nuclear plant in Niigata Prefecture back online, which would improve Tepco’s earnings by 240 billion yen a year. But Gov.-elect Ryuichi Yoneyama has indicated that he is not amenable to a quick restart.

An expert panel set up by the ministry started discussing how to handle the additional costs this month. It laid out a scenario in which improved profit margins at Tepco via restructuring, along with profits from the Kashiwazaki-Kariwa facility, would be used to minimize the amount shouldered by taxpayers.

The longer it takes to restart the plant in Niigata, the larger the hit will be to Tepco’s available funding for Fukushima costs. Though the utility will squeeze out some money via internal reforms, Tepco may use rate hikes to pass on to the public what it cannot cover itself. Tepco and other utilities already have raised rates to recoup part of the compensation costs. A top industry ministry official indicated that rate increases will also be on the table to pay for decommissioning.

Power companies besides Tepco could be affected as well. Since many nuclear plants in eastern Japan use boiling-water reactors like those at the Kashiwazaki-Kariwa plant, further delays could hold up other reactor restarts in the region. ”

by Nikkei

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