Fukushima nuclear disaster and water release

Estimated clean-up cost for Fukushima nuclear disaster is nearly doubled

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The Fukushima Daiichi nuclear power plant in northeastern Japan. Photo: Kyodo

Published: 3:33pm, 28 Nov 2016

Japan’s industry ministry now expects the combined cost of dealing with the aftermath of the Fukushima nuclear disaster to total more than 20 trillion yen (US$178.8 billion), nearly double the previous estimate, sources familiar with the matter said Monday.

The Ministry of Economy, Trade and Industry, which previously estimated the overall cost at 11 trillion yen, is considering passing a portion of the costs that include compensation payments and the expense of the scrapping of the Fukushima Daiichi nuclear plant on to consumers through higher electricity rates.

The six-reactor plant, operated by TEPCO, was damaged by the March 2011 earthquake and tsunami and three of its reactors subsequently suffered meltdowns due to loss of cooling power in the worst nuclear crisis since the 1986 Chernobyl disaster.

According to the new estimate, compensation payments will increase to 8 trillion yen from 5.4 trillion yen and decontamination costs will double at around 5 trillion yen from 2.5 trillion yen. Several additional trillion yen will be needed for decommissioning the reactors and dealing with radioactive water at the plant on top of the earlier estimate of 2 trillion yen, the sources said.

The Fukushima nuclear power plant in northeastern Japan. Photo: Kyodo

The ministry has been discussing reforming the crisis-hit Tokyo Electric Power Company Holdings Incorporated at meetings of a panel and is set to formulate a support plan for TEPCO within the year, based on the new estimate.